Investing.com -- The U.S. Army Corps of Engineers has granted national energy emergency status to Enbridge (NYSE: ENB )’s proposed tunnel for its Line 5 pipeline, thus accelerating a critical federal permitting process. The decision was made on Wednesday, following President Donald Trump’s order to the Army Corps to issue permits for the filling of wetlands and the construction or dredging in waterways. The order was part of an emergency energy declaration made on January 20, aimed at boosting U.S. energy production to meet the expected surge in demand.

The Army Corps, a federal engineering service, has the authority to permit projects that involve wetlands and waterways. In a public notice, the Detroit district of the Army Corps stated that the emergency permit request complied with Trump’s executive order. The order sought to address "an energy supply situation which would result in an unacceptable hazard to life, a significant loss of property, or an immediate, unforeseen, and significant economic hardship" if not acted on promptly.

Previously, Michigan regulators had given the green light to Enbridge’s plan to construct a $750 million tunnel under the Great Lakes to accommodate its aging Line 5 oil pipeline in 2023. However, the project was pending Army Corps approval. As part of the process, the Army Corps was carrying out an environmental impact study of the pipeline, taking into account the views of impacted Native American tribes.

Earlier, in February, the Army Corps had published a list of over 600 projects that required expedited environmental approvals. However, the list was soon taken down from its website to allow the agency more time to scrutinize the projects.

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