By Phil Mckenna for Inside Climate News - The Minnesota Department of Commerce recommended this week that a major tar sands oil pipeline should not be expanded and that the old, existing line should be shut down. Its reason: the state's refineries don't need additional crude oil, so there's no point in taking on extra risks. The recommendation is the latest sign of opposition to fossil fuel pipelines at the state level, just as the federal government is strongly supporting them. The Minnesota Department of Commerce's report, submitted to state regulators who will eventually decide whether or not to approve the pipeline, cites a consulting firm that determined Minnesota's refineries are already running at peak capacity and that there's no sign of a long-term increase in local demand for fuel. The analysis concludes that the proposed Enbridge Line 3 pipeline project, from Hardisty, in Alberta, Canada, to Superior, Wisconsin, isn't worth the risks. "In light of the serious risks and effects on the natural and socioeconomic environments of the existing Line 3 and the limited benefit that the existing Line 3 provides to Minnesota refineries, it is reasonable to conclude that Minnesota would be better off if Enbridge proposed to cease operations of the existing Line 3, without any new pipeline being built," the department states. Environmental advocates said that the line might still be approved, despite the report's conclusions.