South Dakota governor signs eminent domain ban on carbon pipelines

Summit Carbon Solutions was recently dealt a major blow in South Dakota. Governor Larry Rhoden signed a bill removing eminent domain as an option for pipeline companies.

Carbon pipelines have been a major topic in the state over the years. The bill that was signed was in response to complaints from land owners who say Summit did land surveys without their permission. There have also been concerns of the company using misleading information to get leases signed.

Governor Rhoden says he gave the bill a lot of thought, but says Summit needs to earn back trust before moving forward.

“Without the threat of eminent domain, the opportunity might finally be available for trust to be rebuilt, and maybe more productive conversations can occur between Summit and South Dakota land owners.”

The law is considered a major win for some land owners. Still, the American Carbon Alliance says it is a lost opportunity for the state to capitalize on low-carbon biofuels. They say it comes at a time when farmers desperately need new markets to restore profitability.

Summit called the new law unfortunate, claiming South Dakota changed the rules in the middle of the game. They say, “This kind of regulatory uncertainty creates real challenges—not just for our project, but for the ethanol plants in South Dakota that now face a competitive disadvantage compared to their counterparts in neighboring states. While this presents obstacles, our project moves forward in states that support investment and innovation, and we will have more news on that soon.”

Related Stories
USDA and EPA officials aim to maintain America’s robust food supply while ensuring farmers have access to key resources and crop protection tools.
The Senate failed to pass a continuing resolution that had been approved by the House the previous week. They could take it up again today, but it would take seven democrats to end the stalemate.
The USDA is working with 14 different states, including Georgia, to develop and implement block grants to address the unique disaster recovery needs for each state.
The USDA’s August Cold Storage report shows shifting stock levels across major dairy, meat, and poultry products.
The total value of the U.S. potato crop was $4.60 billion in 2024, representing an 8% decrease from the previous year.