The coal industry’s efforts to export huge amounts of taxpayer-owned coal from Montana and Wyoming to Asia has generated unprecedented opposition in the Pacific Northwest - tens of thousands of people have rallied, attended public hearings, and called on their elected officials to oppose coal export terminals that would disrupt and pollute communities and pose one of the biggest threats to the climate of any fossil fuel project in the world.
This controversy, along with the high risk nature of these proposals, has meant that many investors have avoided backing them. A major signal of these investor concerns came in January 2014, when Goldman Sachs dropped its coal export investment, especially since it followed a report from Goldman Sachs’ own analysts titled “The window for thermal coal investment is closing.”
But one key coal export investor apparently hasn’t yet received the memo. Ross Bhappu, a partner at a Denver-based private equity firm called Resource Capital Funds, has been the main source of money for Ambre Energy, the shaky Australian company behind two of the three remaining coal export proposals in Oregon and Washington, the Millennium Bulk Terminal and Morrow Pacific Project proposals on the Columbia River. That’s why ten community and environmental groups wrote a letter to Ross Bhappu last month, calling on him and his firm to drop its investment in Ambre Energy and its controversial and risky coal export proposals.
That’s also why we’ve launched a new website, www.RossBhappu.com. The website details how Ross Bhappu has used a $110 million bet on Ambre Energy - along with the company’s difficulties attracting other outside investment - to take more control of the company at the expense of other shareholders. We want to make sure that elected officials, investors, and communities that would be impacted by coal export projects know who is bankrolling these proposals. So check out the new website, read the details about Ross Bhappu’s bet on coal exports, and help us share the information. We’ll update the site with the latest news, so if you have a tip, let us know.
crossposted from rossbhappu.com
Test your BS meter with this one question quiz:
Which part of Obama's State of the Union was written by the oil industry?
a) “America is closer to energy independence than we’ve been in decades”
b) “natural gas – if extracted safely, it’s the bridge fuel that can power our economy with less of the carbon pollution that causes climate change.”
c) fracking for oil and gas can be "sustainable"
d) all of the above
The answer is literally, "all of the above."
During his State of The Union speech, President Obama said:
"The all-of-the-above energy strategy I announced a few years ago is working, and today, America is closer to energy independence than we’ve been in decades."
The phrase “all of the above,” which the president used in his 2012 State of the Union address as well, is the creation of the oil industry’s most powerful lobbying and public relations arm, the American Petroleum Institute (API). According to the New York Times, the phrase was introduced in 2000 by API to advocate for oil drilling. API’s position at the time was “that an effective national energy policy must, at a minimum, allow for all of the above.” API, proud of the hegemony of their ideas, actually predicted the president would champion the pro-fossil fuel message in this most recent State of the Union address, the day before the speech was given.
After The American Petroleum Institute debuted the phrase in 2000, it was quickly picked up by republicans with wells to drill. John Mccain made it a central part of his 2008 campaign for president. Republicans in the house and senate used it to promote offshore drilling. The former governor of Virginia, Bob McDonnell, now under federal indictment for corruption, listed the phrase on his campaign website.
ExxonMobil, the most profitable corporation in world history, continues to use the phrase in advertisements today.
This isn't just etymological trivia. The use of oil industry talking points by the president indicates how ingrained and powerful the fossil fuel industry is in the U.S’s energy conversation.
It also casts a revealing light on other pro-fossil energy comments made by President Obama in the speech, like promoting “Energy Independence.” The idea is, if we allow oil and gas corporations to exploit our land and water to extract fossil fuels, it will benefit the average citizen by lowering energy prices and reducing dependence of “foreign” energy supplies. This is completely false, as Rex Tillerson, CEO of Exxon Mobil will tell you. The oil industry wants to sell it's product on an open market, to the highest bidder, no matter who that is. Currently there are plans for 25 Liquified Natural Gas export terminals in the US, and the American Petroleum Institute is spending millions of dollars to undo a decades old law that prohibits the export of crude oil. As more oil and gas is drilled from American soil and water, more gas and oil will be exported. We will continue to import oil and other goods from around the world, regardless of how much drilling happens in the U.S.
Another energy myth promoted by the Obama administration and the fossil fuel industry is natural gas as a bridge fuel to renewable energy.
The truth is that gas is primarily comprised of methane, an extremely powerful greenhouse gas. Some scientists believe that methane could be up to 105 times as destabilizing to the global climate as carbon dioxide. When fully burned, gas releases less CO2 than coal or oil, but currently huge amounts of methane are escaping unburned into the atmosphere. An increase in spending on gas infrastructure, like pipelines, Liquified Natural Gas export terminals, or vehicle refueling stations, is not a bridge to renewable energy. It is the same old fossil fuel infrastructure that poses serious threats to the earth’s climate and local environments. The U.S doesn’t need more spending on fossil fuels, it needs a real commitment to renewable energy, efficiency, and cutting carbon pollution.
Written by David Pomerantz, crossposted from Greenpeace USA's blog, the EnvironmentaLIST.
The new hot spot for solar energy in the US is North Carolina. The state was second in the nation in solar growth in 2013, behind only California. In fact, if US states were considered as countries, North Carolina would have been among the top 10 countries in the world for solar growth last year.
All of that solar growth, driven by policies like the state’s renewable energy portfolio law, has been great for the NC economy, generating $1.7 billion in revenue for the state. At the end of 2012, 137 solar companies employed 1,400 people in NC - a number that increased during solar’s record 2013 year.
But while North Carolina’s solar sector shines brighter, a cloud is approaching on the horizon that places all of the benefits of solar power at risk of disappearing: Duke Energy, the state’s monopoly utility and the largest power company in the country, is about to launch a major attack on solar energy.
On Jan. 7, Duke’s president of North Carolina operations, Paul Newton, fired the first shots of the war. Speaking in front of a joint energy committee of the state’s legislature, Newton attacked net metering, one of the key policies to North Carolina’s solar growth.
Net metering allows customers with rooftop solar panels to get credit for any extra electricity that they send back to the grid, like rollover minutes on a cell phone bill.
Newton argued that solar customers aren’t “paying their fair share” to Duke, and that his company would thus be forced to charge higher rates to all of its other customers in response.
Those allegations are false. A study conducted last year showed that the benefits of rooftop solar in North Carolina - even for customers who don’t have the panels - would outweigh any costs by 30%. That’s because as more homes and businesses go solar, Duke wouldn’t have to keep building expensive gas and coal plants and raising rates on its customers to finance them. Those rate benefits are aside from the job creation, climate, and public health positives of solar power.
But Duke’s shareholders profit by building those gas and coal plants, which is exactly why rooftop solar is in the crosshairs.
Duke’s key ally in its war on solar: ALEC
Duke isn’t the first utility in the country to attack net metering; utilities in California, Arizona and Colorado began similar campaigns in 2013, and others are forming battle plans now.
In December, The Guardian newspaper revealed that these power companies have been coordinating their efforts under the guise of the American Legislative Exchange Council, (ALEC), a group that lets corporations like Duke ghostwrite laws for right-wing state legislators.
Many utilities are ALEC members, and they have made it ALEC’s top priority to attack net metering laws around the country. Forty percent of NC state lawmakers are ALEC members, and Duke will rely on them to do their bidding.
So far, Duke and ALEC’s communications strategy has been to stigmatize solar energy as being only for the wealthy. Their argument is that we shouldn’t be letting rich families with solar panels get even richer on the backs of non-solar households.
It wouldn’t be surprising if early adopters of solar do have higher incomes, since buying the panels involves an upfront cost. But recent research shows that solar penetration is increasingly happening in middle class neighborhoods. In any case, if ALEC and utilities are so worried about the poor, they should be trying to give more solar access to working and middle class communities, since it will help them save money, not take away their chance to go solar by attacking policies like net metering.
The idea that the nation’s power companies, which have raised rates on customers to pad corporate profits and sited coal plants in the nation’s poorest communities for decades, suddenly want to act as champions for social justice doesn’t pass the smell test.
Duke will eventually learn to bask in the sun.
— Duke Energy (@DukeEnergy) January 16, 2014
It’s not the only public display of support for solar power Duke has shown in recent months. Previous CEO Jim Rogers said that he saw rooftop solar as an opportunity as much as a threat, and in March, Duke bought a stake of a distributed solar power financing company, Clean Power Finance.
Were these moves signs that Duke is embracing the solar revolution, or just greenwashing? Both answers may be true: Duke is feeling its way around the edges of solar opportunities while it mostly stalls for time by attacking net metering. One thing that would hasten Duke’s solar transition is if it loses on net metering, since that would force the company to more quickly come to terms with the inevitability of rooftop solar.
A Duke loss on net metering is far from a given, considering Duke and ALEC’s almost unlimited influence in North Carolina politics. But for all of Duke’s money and political power, it can’t change a simple reality: Rooftop solar is immensely popular. A 2013 poll showed that 88 percent of North Carolinians support solar energy. Last year, when ALEC attacked North Carolina’s renewable energy law, the effort failed because Republicans in the legislature recognized solar power as a job creator. In fact, ALEC’s efforts to attack renewable energy laws failed in every state where it tried in 2013.
Now, solar advocates will gear up to bat away the next attack wave in 2014. The sooner they win, the sooner utilities like Duke will have to face the music and realize that they need to join their customers in the sun.
Yet another Google-funded organization is out promoting conspiracy theories about the threat of man-made global warming. On Monday, September 23, the Google-financed Heritage Foundation hosted hosted Heartland Institute president Joseph Bast, Willie Soon, and Bob Carter to present “Climate Change Reconsidered II,” in which they argued that the world’s scientific community have systematically overstated the dangers to humanity of unregulated carbon pollution.
Like the Heritage Foundation, the Heartland Institute, Soon, and Carter have significant funding from the fossil-fuel industry and a long record of questioning not only the economics of regulating climate pollution but the underlying science itself, as explained in our new Dealing in Doubt report
Greenpeace activists confronted Bast at Heritage after the event, asking him to reveal whether Chicago magnate Barre Seid funded the multimillion-dollar climate-denial initiative. Bast refused to answer the question.
Since Google’s selection of former Republican representative Susan Molinari as their chief lobbyist, the Internet giant has embraced key players in the climate-denial machine. In the last few months, Google was the top funder of the annual dinner of the Competitive Enterprise Institute, famed for its “CO2: We Call It Life” ads, held a fundraiser for the re-election of Sen. Jim Inhofe (R-Okla.), who penned the book “The Greatest Hoax,” and was revealed to be a member of the American Legislative Exchange Council, which has argued that “substantial global warming is likely to be of benefit to the United States.”
Google’s support of the Heritage Foundation elicited new criticism from climate scientists associated with the company.
“Their motto may be ‘don’t be evil,’ but they apparently don’t have any problem with giving it money,” climate scientist Andrew Dessler, Professor of Atmospheric Sciences at Texas A&M University, told Hill Heat in an e-mail interview.
“If you want to be a corporate leader on climate change or science education, you should fund groups to combat the anti-science garbage produced by Heritage, not the other way around,” said climate scientist Simon Donner, Associate Professor, Department of Geography, University of British Columbia, when asked for comment.
Dr. Dessler and Dr. Donner were Google Climate Science Communication Fellows in 2011. They and 15 other Fellows recently sent an open letter to the company criticizing its fundraiser for Sen. James Inhofe (R-Okla.), writing that “in the face of urgent threats like climate change, there are times where companies like Google must display moral leadership and carefully evaluate their political bedfellows.”
In a campaign led by climate accountability organization Forecast the Facts, over 150,000 people have signed petitions challenging Google’s support for climate deniers, and have staged protests in Washington DC, New York City, and Google’s headquarters in Mountain View, Calif.
Since it was first proposed in 2008 the argument for building the Keystone XL pipeline, which would pump tar sands crude oil from Canada to the Gulf coast for refining and export to foreign countries, has had some major holes. Literally.
Sunlight is visible through a faulty weld in the Keystone XL pipeline. Picture taken from inside a section of pipe by activists with Tar Sands Blockade
If approved, Keystone will pump a super-heated mixture of tar, sand, and chemicals from the most carbon polluting oil development on earth, while the effects of global warming manifest themselves across the country and the world. In order to mine and refine tar sands the oil industry must burn 1 barrel of oil for every 3 barrels of oil produced, a marvel of inefficiency. The potential builders of the Keystone XL have been caught in scandal after scandal in their attempts to get government and popular approval for the pipeline. The last few months have revealed the lengths that TransCanada (the company building the pipeline) and other Keystone proponents will go to secure approval for Keystone. [caption id="" align="alignnone" width="600"]
A tar sands mining pit in what was once boreal forest
Here are 3 of the most important Keystone XL Scandals that have been revealed since April: 1) The State Department doesn't know where the Keystone XL pipeline will be located. A year and a half ago, Thomas Bachand, a researcher mapping the route of the proposed Keystone XL pipeline, asked the State Department - the agency responsible for approving the pipeline - for the coordinates of the Keystone XL. He hoped to accurately map the pipeline route so that people would know which waterways, neighborhoods, and back yards would be affected. After 14 months of waiting and haggling for what should have been an easy answer, the State Department admitted in June that they did not possess the GIS coordinates of the pipeline, and therefore did not know its exact route. Yet the State Department has promised that the Keystone XL would be environmentally safe and does not threaten water supplies in its path. From the Environmental Impact Study used by the State Department:
“A limited number of public water supply wells are located within one mile of the proposed pipeline area (39 along the entire route; Montana-1, South Dakota-0, Nebraska-38), and a very limited number of private water supply wells are located within 100 feet of the pipeline (Montana-6; South Dakota-0, Nebraska-14).”
A tar sands spill from Exxon's pipeline in Mayflower, Arkansas
2) The private contractors hired to gauge the environmental impact of the Keystone XL for the State Department work for TransCanada and other oil companies that would benefit from building the pipeline, a major conflict of interest that the State Department tried to hide. The most recent Environmental Impact Study (EIS) of the Keystone XL was conducted by the oil industry contractor Environmental Resource Management (ERM). Since it's release, the study has been widely criticized for both its glaring oversights and questionable findings. For instance, the EIS claims that building the Keystone XL, a giant among pipelines, would not have any effect on greenhouse gas emissions or the development of the Athabasca tar sands, even though the entire purpose of building the KXL is to increase tar sands development. Even the Environmental Protection Agency (EPA) has questioned the trustworthiness of the study. As it turns out, ERM works for Transcanada, Koch Industries, Shell Oil, and other oil corporations that stand to benefit from building the Keystone XL. ERM is also a dues paying member of the American Petroleum Institute, which spent $22 million lobbying for the pipeline. Not only did the State Department know about these conflicts of interest, they redacted this information from public filings in an attempt to conceal the truth. ERM has a history of producing environmental studies that seem skewed toward befitting the oil companies that hire them. In March of this year, ERM released a study claiming that a tar sands refinery in Delaware made the air around the plant cleaner. The study, which was funded by the tar sands refinery in question, was challenged by independent air quality studies that found Benzene and other cancer-causing compounds far in excess of EPA standards. As the News Journal explains:
"Air-quality tests commissioned by a Delaware City citizens group show a jump in local chemical, soot and sulfur levels after the opening of the Delaware City refinery, with at least three toxic pollutants exceeding some public health limits in one spot a mile from the plant"
3) Obama Administration insiders have significant ties to TransCanada, which the company has tried to exploit. As was recently reported by Steve Horn at DeSmog Blog, President Obama’s personal attorney, former White House Counsel Robert Bauer, has direct ties to TransCanada. Bauer works for Perkins Coie LLP, a major corporate law firm which represents TransCanada’s South Central LNG project. Furthermore, Robert Baur's wife, Anita Dunn, is the co-owner of the PR firm SDKnickerbocker, which handles public relations work for TransCanada. Dunn, who was a Communications Director for Obama and Senior Adviser for Obama's 2012 re-election campaign, has met with top Obama administration officials more than 100 times since leaving in 2009, according to a recent New York Times investigation. However, Robert Bauer and Anita Dunn are just the latest tie between TransCanada and US regulators to be uncovered. TransCanada and the government of Alberta, Canada have purposefully stacked their ranks with lobbyists that have ties to the Obama administration and/or John Kerry, who is now in charge of the State Department. From Friends of the Earth:
The Financial Times has found that Alberta made a point to hire former Obama officials and Kerry staff in order to win approval from the State Department instead of focusing on Congress like most lobby groups. TransCanada and Alberta’s lobbyists have been trying to convince the administration that the pipeline will create jobs and pose no threats to the environment, in the hopes that they can get the pipeline approved.
TransCanada also snapped up people leaving the State Department to help grease the wheels of approval for Keystone XL within the State Department. From Businessweek:
David Goldwyn, an aide to Hillary Clinton, was something of a mole for TransCanada, coaching the company’s executives on how to win favor at State with “better messaging.” After leaving the State Department, Goldwyn testified before Congress in favor of Keystone XL.
These latest 3 scandals are just the most recent examples of the extent to which TransCanada and other Keystone XL boosters have manipulated the approval system in favor of the pipeline. Help stop the Keystone XL and protect the families and water sources in it's path by telling President Obama not to approve pipeline. Sign the petition here.
James Inhofe, the Senator from Oklahoma, is one of the most outspoken and bombastic deniers of climate change and attackers of science, bar none. He tried to criminally investigate 17 climate scientists whose emails were hacked and leaked. He "wrote" a "book" called The Greatest Hoax, about climate change. He compares the EPA to the Gestapo. He also receives a huge percentage of his campaign money from the fossil fuel sector. Most of the rest comes from arms manufacturers. James Inhofe is exactly the kind of politician that has stopped any meaningful action of climate change in the United States.
And Google just threw him a fundraiser at their Washington DC Lobbying Headquarters.
Google has made lots of promises along their rise to global dominance of the internet. One of them is their motto "don't be evil." Another is to do their part to head off climate change. To that end, Google has invested in data centers powered by renewable energy and publicly promoted solutions to global warming. Google's Executive Chairman has made strong statements against climate change science deniers, saying “You can hold back knowledge. You cannot prevent it from spreading. You can lie about the effects of climate change, but eventually you'll be seen as a liar.”
That's why more than 12,000 people signed a petition asking Google not to fund Senator Inhofe. And when Google decided to hold the fundraiser anyway, people gathered outside of Google's DC office. Activists even made it in to Google's office, to ask Google employees their thoughts on funding such an outspoken enemy of the environment.
To fund raise off "upsetting the environmentalists" and Google's support. See Senator Inhofe's gloating email:
This is why we can't let corporations like Google and the enormous wealth that they bring with them to continue to support politicians like Inhofe. Sign this petition and help stop Inhofe's climate change lies.
Written by Nick Surgey, crossposted with permission from PR Watch.
In October 2012, nine U.S. state legislators went on an industry paid trip to explore the Alberta tar sands. Publicly described as an "ALEC Academy," documents obtained by CMD show the legislators were accompanied on a chartered flight by a gaggle of oil-industry lobbyists, were served lunch by Shell Oil, dinner by the Canadian Association of Petroleum Producers, and that the expenses of the trip were paid for by TransCanada and other corporations and groups with a direct financial interest in the Alberta tar sands and the proposed Keystone XL (KXL) pipeline.
Among the nine legislators on the tour was the new ALEC national chairman, Representative John Piscopo from Connecticut, and Senator Jim Smith from Nebraska who has sponsored legislation in his state to speed up the building of the Nebraska segment of KXL. Email records obtained by CMD show that after the trip, legislators were asked by ALEC to send “thank you notes” to the lobbyists for their generosity in Alberta.
Far better than a mere "thank you," Rep. John Adams from Ohio returned from the trip and sponsored a bill given to him by a TransCanada lobbyist calling for the approval of KXL. As previously reported by CMD, similar legislation, reflecting both an ALEC “model” bill and language taken from a TransCanada set of talking points, has been introduced in seven states in 2013.
The tar sands of Alberta are estimated to be the third largest reserve of crude oil on the planet. But the process of turning the tar-like bitumen into a refined product that can be used as fuel is extremely energy intensive and highly polluting. The former NASA scientist James Hansen, warned that the extraction and use of Canadian tar sands would mean "game over" for the climate. TransCanada is the operator of the proposed KXL pipeline, which would carry the tar sands to Texas for processing and likely for exports to markets abroad.
In Private Jets and "Petroleum Club" Dinners, U.S Politicians Get the Dirt on Canadian Tar Sands
Officially, ALEC organized the Alberta tour as an "ALEC Academy." In ALEC’s description of corporate sponsorship opportunities, this type of event is described as being "an intensive, two--day program for legislators that focus on a specific area of policy." It comes with an $80,000 fee to sponsor. Unofficially however, and made clear to legislators on the trip in emails from ALEC obtained by CMD, the expenses were paid for by lobbyists from the oil-industry and by the government of Alberta. In an email sent to Ohio representative John Adams ahead of the trip, ALEC staffer Karla Jones reassured participants that all transportation, accommodation costs and meals would be paid for.
According to a copy of the trip itinerary obtained via a public records request, legislators flew into Alberta on Tuesday October 16, 2012, and were met by TransCanada lobbyists who took them on a tour of their facilities in Calgary.
TransCanada, which is a member of ALEC, sponsored ALEC’s Spring Task Force Summit in Oklahoma City in May 2013, alongside other corporations with tar sands interests including BP, Devon Energy and Koch Industries. TransCanada’s Vice President Corey Goulet presented to legislators at the conference during a session called "Embracing American Energy Opportunities."
Dinner on the first night was at the up-market Ruth’s Chris Steakhouse in downtown Calgary, paid for by American Fuel and Petrochemical Manufacturers (AFPM). The dinner included a presentation to the captive audience of lawmakers from AFPM about Low-Carbon Fuel Standards (LCFS), a mechanism designed to reduce the carbon intensity of transportation fuels. As CMD has reported recently, LCFS is considered a real threat to the tar sands industry, because it might restrict the U.S. market for fuels derived from the tar sands. AFPM, which has funded one of the other groups on the tour – the Consumer Energy Alliance (CEA) – to work to oppose LCFS legislation, would successfully sponsor an ALEC "model" bill on this issue just weeks after the trip, called "Restrictions on Participation in Low-Carbon Fuel Standards Programs."
On Wednesday morning, after breakfast at the hotel, legislators were taken to the airport where a private charted plane was waiting to fly them around a number of different tar sands operations. Accompanying the legislators and ALEC staffer Karla Jones, were lobbyists from AFPM, TransCanada, Devon Energy, CEA, Shell Oil, and the Government of Alberta. The flight was chartered by the Alberta Government, at a cost of $22,000, with the costs split evenly between them and another unknown entity.
During the day, legislators toured facilities owned by Shell – which also provided lunch – and Devon Energy, where they viewed the massive "Jackfish" tar sands projects. At these facilities, Devon utilizes Steam Assisted Gravity Drainage (SAGD), an energy intensive process that injects steam into the dirty bitumen to access otherwise inaccessible deposits too deep for mining. This process is expected to open up further areas of Alberta for tar sands extraction, including by Koch Industries subsidiary Koch Exploration Canada which has a pending permit request in Alberta to utilize SAGD.
Dinner on Wednesday night was served at the Petroleum Club, sponsored by the Canadian Association of Petroleum Producers. On the Thursday morning, just before their return flight, legislators did have a brief meeting with a representative from the Pembina Institute, an Alberta environmental group that calls for responsible exploitation of the tar sands. According to the ALEC trip itinerary, this was to "provide the opposing point of view."
Although Pembina does represent a different view from those that want completely unrestrained extraction of the tar sands, the group is not representative of those that oppose tar sands extraction. There are plenty of organizations that could have provided alternative viewpoints, particularly first nation tribes who are campaigning vigorously on this issue, but perhaps unsurprisingly they were not included. Even Pembina’s - somewhat limited - opposing voice was not wanted during the tour of the oil sands facilities, and they were not invited to the lobbyist-sponsored dinners.
ALEC as Emily Post
A month after the trip, the Director of International and Federal Relations at ALEC, Karla Jones, sent participants an email helpfully reminding them of what each industry lobbyist had paid for on the tour. CMD obtained a copy of that communication via a public records request, which included a spreadsheet containing the names, telephone numbers and mailing addresses of each of the lobbyists on the trip. The ALEC email also prompted legislators to send each of the sponsoring corporations a "thank you note."
The phenomenon of ALEC legislators sending such letters to lobbyists is something CMD has previously reported on. Ohio Rep. Adams, for example, sent at least a dozen letters to corporate lobbyists in 2010, thanking them for writing checks to the ALEC scholarship fund, which paid his and his colleagues way to an ALEC conference.
"Because of your help and others like you, the trip to ALEC was made possible for our legislators," Adams wrote to AT&T lobbyist Bob Blazer.
“Rather than sending thank you notes to their corporate lobbyist sponsors, these legislators should instead consider an apology to their constituents,” Stephen Spaulding, Staff Counsel for the good government group Common Cause told CMD. "I doubt lobbyists want thank you notes in return for bankrolling legislators' international vacations – they would rather a bright, shiny souvenir in the form of corporate-drafted legislation."
Better Than a Thank You Note, Payback in Ohio
After the trip to Alberta, Rep. Adams, the Assistant Majority Floor Leader and Ohio ALEC state chair, led the calls in Ohio for the approval of the KXL pipeline, sponsoring a bill (HCR 9) and talking publicly about the proposed pipeline. "It is of the upmost importance that we strongly urge the U.S. government to take the necessary steps towards operation of the Keystone Pipeline," Adams wrote in March 2013 while promoting his bill. Rep. Rosenberger, the other Ohio legislator on the ALEC trip to Alberta, accordingly co-sponsored the Adams bill.
According to documents CMD obtained from public record requests in Ohio, a draft bill was sent to Adams on January 23, from Steve Dimon of 21 Consulting LLC, who represents TransCanada. The bill was sent as an attachment to the Dimon email.
The email message itself simply read, "Thank you so much!"
Dimon stayed in touch with Adams' office over the proceeding months, providing his staff with further materials about Keystone XL, including a set of talking points stamped with the TransCanada logo.
By February 14, Adams had an updated draft that had been reviewed by the Ohio legislative service commission, the non-partisan body that assists legislators with drafting legislation. Adams staffer Ryan Crawford sent this language to Rob Eshenbaugh, a lobbyist with Ohio Petroleum Council, the state affiliate of the American Petroleum Institute. "Please let me know if I can be of further assistance," Crawford wrote to the lobbyist. Eshenbaugh responded with some requested changes, which Crawford then incorporated into the bill.
All this occurred prior to Adams sharing the bill with his fellow legislators, which didn't happen until February 20. Adams finally introduced his bill in the Ohio Assembly on March 9, without any public statement about his involvement with the ALEC Academy or that the source of the bill was a tar sands lobbyist.
The route of the proposed KXL pipeline takes it through Montana, South Dakota, Nebraska, Kansas, Oklahoma, and Texas. This is a long way from Ohio, but the debate over the KXL project has become a national issue. The ALEC Academy, and subsequent lobbying from the oil-industry, demonstrates that TransCanada sees value in developing a list of states supportive of the project to influence the federal debate over KXL approval.
The precise details of the ALEC tour, including the trip being part-sponsored by TransCanada, are not mentioned in Adams’ financial disclosures, which only reports his expenses as being from ALEC and the Alberta Government. Adams is not breaking the law here. This is because of the way ALEC works to fund legislator travel. Its scholarship system allows corporations to “sponsor” legislator’s expenses, which are then simply disclosed as being a payment from "ALEC" and not from the sponsoring corporations or groups. CMD documented the ALEC scholarship fund in a 2012 report released jointly with Common Cause: "How the American Legislative Exchange Council Uses Corporate-Funded “Scholarships” to Send Lawmakers on Trips with Corporate Lobbyists."
Graduates of the Keystone Academy appear to be learning a lot about how ALEC works behind the scenes to promote special interest legislation while keeping the public entirely in the dark.
10 out of 11 Tea Party spokespeople quoted in major news outlets regarding the IRS scandal have ties to the Koch funded Americans for Prosperity.
The Internal Revenue Service, not the most popular government agency to begin with, has been in the midst of a scatological squall for the past 3 weeks over their treatment of tea party groups. According to an agency spokesperson, organizations garnered additional scrutiny of their applications for non-profit status for having “Tea Party, Patriot, or 9/12” in the application materials. Non-profit status is granted by the IRS for “social welfare organizations” and federal law puts legal limits to the amount of overtly political things you can do if you are applying to be a non-profit, and thus tax-exempt.
In the coverage of this story, now a scandal, there are a couple of important facts that some of the reporting has missed.
First is the fact that the tea party is a creation of enterprising political and public relations professionals, constructed to accomplish a political purpose. A study published in the Tobacco Control Journal actually traced the origins of the tea party to “free-market” groups founded by tobacco corporations and the oil industry billionaires David and Charles Koch.
[caption id="" align="alignnone" width="738"] This map, created by researchers at UC San Francisco, shows the historical links between tobacco corporations, moneyed interests like the Koch brothers, and the modern tea party.[/caption]
According to researchers at UC San Francisco:
“Rather than being a grassroots movement that spontaneously developed in 2009, the Tea Party organizations have had connections to the tobacco companies since the 1980s. The cigarette companies funded and worked through Citizens for a Sound Economy (CSE), the predecessor of Tea Party organizations, Americans for Prosperity and FreedomWorks, to accomplish their economic and political agenda.”
Citizens for a Sound Economy (CSE), was founded in 1984 by the Koch brothers.
There is even a tea party website registered to a Koch group in 2005, long before the conservative outcry we now know as the tea party began.
The second thing to keep in mind is that the tea party is still controlled by enterprising political and public relations professionals, funded by the David and Charles Koch. In coverage of the IRS scandal, there were 11 people who were involved in tea party groups quoted about IRS scrutiny. Of those 11, 10 have substantial ties to Americans for Prosperity (AFP). As you can see from the chart above, AFP (also founded and funded by the Kochs), is the direct descendent of CSE - one of the groups who registered a tea party site in 2005. Of those 10 with ties to AFP, 2 actually work for the organization currently. All 10 have received aid from AFP which included help with messaging and communication.
The tea party groups that were scrutinized by the IRS are not just separate grassroots citizen groups unfairly accused of political shenanigans, as the Koch associated spokespeople in the media would have you believe. They are one part of a wider political strategy, funded and managed by a very wealthy few. they have uniform and coordinated messages, such as attacking climate science and opposing environmental regulations.
As this IRS scandal progresses, it is important to keep in mind that many of the tea party groups in question deserve to have their non-profit, tax-exempt status questioned. The New York Times has already found that several tea party groups investigated by the IRS were engaged in activities that are illegal for tax exempt groups.
For the record, Greenpeace and Rainforest Action Network experienced expensive and debilitating audits by the IRS during George W Bush’s presidency. Those audits were most likely at the behest of an Exxon funded front group.
Tea Party Spokespeople with ties to Americans For Prosperity (AFP)
Tom Zawistowski: quoted in the Wall Street Journal and other sources
- AFP funded his tea party conference
Margie Dresher: Quoted by ABC news
- Currently works for AFP
Toby Marie Walker: Quoted by Business Insider
- earned the "Watchdog of the Month" award in March and the “Tea Party Leader of the Year -2010” from Americans for Prosperity
Jennifer Stefano: Quoted by ABC news
- currently works for Americans for Prosperity as state director of Americans for Prosperity - Pennsylvania
Carol Waddell: Quoted by ABC news
- AFP trained Waddell and her Waco tea party group
- AFP coordinated and helped fund the "Waco Tea Party’s Grassroots- Campaign, Leadership & Activist Survival School"
- Waddell and the Waco tea party joined tax day protest organized by AFP:
Tim Savaglio: Quoted by the Associated Press
- AFP trained Savaglio and his tea party group in tactics and messaging
- Radke was a key speaker at the "Smart Girl Summit", funded by AFP
- Radke, who is running for state senate in Virginia, has an "alliance" with AFP
Larry Norvig: Quoted by CNN
- Norvig's tea party group is part of AFP campaigns
- Norvig's tea party group in Virginia runs AFP funded campaigns and displays AFP messaging prominently on their website
Tim Curtis: Quoted by CNN
- Curtis is a speaker at AFP events
Susan McLaughlin: Quoted in Reuters
- AFP ran tactics and messaging strategy training for Mclaughlin's group in Liberty Township, Ohio.
- McLaughlin served on the Romney campaign's Conservative Leadership Coalition with representatives from AFP
Jay Devereaux: Quoted by Fox News
- The only tea party spokesman quoted in the media with no obvious ties to AFP
New Documents show Exxon knew of contamination from the Maryflower oil spill, still claimed lake was "oil-free"
On March 29 ExxonMobil, the most profitable company in the world, spilled at least 210,000 gallons of tar sands crude oil from an underground pipeline in Mayflower, Arkansas. The pipeline was carrying tar sands oil from Canada, which flooded family residences in Mayflower in thick tarry crude. Exxon’s tar sands crude also ran into Lake Conway, which sits about an eighth of a mile from where Exxon’s pipeline ruptured.
A new batch of documents received by Greenpeace in response to a Freedom of Information Act (FOIA) request to the Arkansas Department of Environmental Quality (DEQ) has revealed that Exxon downplayed the extent of the contamination caused by the ruptured pipeline. Records of emails between Arkansas’ DEQ and Exxon depict attempts by Exxon to pass off press releases with factually false information. In a draft press release dated April 8, Exxon claims "Tests on water samples show Lake Conway and the cove are oil-free." However, internal emails from April 6 show Exxon knew of significant contamination across Lake Conway and the cove resulting from the oil spill.
When the chief of Arkansas Hazardous Waste division called Exxon out on this falsehood, Exxon amended the press release. However, they did not amend it to say that oil was in Lake Conway and contaminant levels in the lake were rising to dangerous levels, as they knew to be the case. Instead, they continue to claim that Lake Conway is "oil-free." For the record, Exxon maintains that the "cove," a section of Lake Conway that experienced heavy oiling from the spill, is not part of the actual lake. Exxon maintains this distinction in spite of Arkansas Attorney General Dustin McDaniel saying unequivocally "The cove is part of Lake Conway…The water is all part of one body of water." Furthermore, Exxon water tests confirmed that levels of Benzene and other contaminants rose throughout the lake, not just in the cove area.
Though Exxon was eventually forced to redact their claim that the cove specifically was "oil-free," the oil and gas giant has yet to publicly address the dangerous levels of Benzene and other contaminants their own tests have found in the body of Lake Conway. The Environmental Protection Agency and the American Petroleum Institute don’t agree on everything, but they do agree that the only safe level of Benzene, a cancer causing chemical found in oil, is zero. Benzene is added to tar sands oil to make it less viscous and flow more easily through pipelines. Local people have reported fish kills, chemical smells, nausea and headaches. Independent water tests have found a host of contaminants present in the lake.
According to Exxon’s data, 126,000 gallons of tar sands crude oil from the pipeline spill is still unaccounted for.
Exxon's spill emanated from the Pegasus Pipeline, which like the proposed Keystone XL pipeline, connects the Canadian Tar Sands with refineries in the Gulf of Mexico.
This article by Sue Sturgis was crossposted from Facing South, the online magazine of the Institute for Southern Studies.
A bill that would have ended North Carolina's renewable energy program was voted down this week by a state House committee in a bipartisan vote by a surprisingly wide margin.
House Bill 298 was backed by more than a dozen conservative advocacy groups including the American Legislative Exchange Council, Americans for Prosperity, the Competitive Enterprise Institute, and the John Locke Foundation -- organizations that have considerable influence in North Carolina's Republican supermajority-controlled legislature.
So how did the measure lose?
In a word: jobs.
From the moment talk of repealing the state's renewable energy standard began intensifying following last year's election among conservative groups that have long denied the reality of global warming, the state's sustainable energy industry and environmental advocates pushed back by focusing on the law's track record of creating jobs and other economic benefits.
The N.C. Sustainable Energy Association, an industry lobby group, commissioned an economic analysis of the law, which passed in 2007 by a wide bipartisan margin and was the first of its kind in the Southeast. Released in February, the study conducted by RTI International and La Capra Associates found that North Carolina's law has been a driver of clean energy development, which in turn as been an important job creator for the state.
The researchers found that while the state's economy lost more than 100,000 jobs from 2007 to 2012, clean energy development led to a net gain in employment of 21,162 "job years" (one job that lasts one year) over the same period. It also found that tax credits used by renewable energy projects were important revenue generators for state and local governments, and that the bill would save ratepayers millions of dollars over the long term by avoiding construction of costly new power plants.
In all, the study found that North Carolina has reaped $1.7 billion in total economic benefits from the law over the past six years.
When the repeal bill came up for its first public hearing earlier this month in a House Commerce subcommittee, the only people who spoke in favor of it were from Americans for Prosperity and the Civitas Institute, another conservative advocacy group. The overwhelming majority of speakers praised the renewable energy law's positive economic impact. Besides owners of clean energy companies, they included farmers who have begun investing in systems to generate power from livestock waste methane, which counts as a renewable under North Carolina's law. They were also joined by rural economic development advocates who spoke about how clean energy generation has created jobs and expanded the tax base in struggling rural communities.
Though the repeal bill squeaked by in its first subcommittee vote by 11-10, two key Republicans voted against it. State Rep. Mike Hager (R-Rutherford), a former Duke Energy engineer and House majority whip who was one of the bill's four primary sponsors and its most outspoken proponent, saw that his proposal was in trouble. He has made several revisions to the measure in an effort to win support.
This week the proposal was scheduled to be heard in the House Environment Committee chaired by Rep. Ruth Samuelson of Charlotte -- one of the Republicans who voted against the measure in the Commerce subcommittee. But on Monday, the measure was re-referred to the House Public Utilities Committee, which is chaired by Hager himself, for an April 24 hearing.
It was there that the repeal bill appears to have been defeated with the help of a half-dozen of Hager's fellow Republicans, including three GOP leaders. After a relatively brief half-hour debate in which lawmakers noted that the policy has brought investments and jobs to their districts, the committee voted 18-13 to kill the bill. The wide margin surprised many observers, who thought it would likely go either way by a single vote.
"This vote to defeat the REPS repeal bill was not just a good outcome, it was the right outcome," said Ivan Urlaub, executive director of the N.C. Sustainable Energy Association. "North Carolina businesses, ratepayers, workers, and state and local economies all had a stake in this outcome, and they all won a victory today."
While the bill appears dead for now, the possibility remains that it could come back in a revised form. Hager told the Associated Press after the vote that the sponsors are "going to try and patch it up."
In the meantime, Dallas Woodhouse, director of the North Carolina chapter of Americans for Prosperity (AFP), told The News & Observer of Raleigh that Republicans who voted against the repeal "need to be held accountable." AFP and allied opponents of North Carolina's renewable energy law portrayed it as a burdensome tax on consumers. Duke Energy's residential customers pay 22 cents a month and Progress Energy's 42 cents to subsidize renewables under the law.
AFP had joined with the John Locke Foundation, a North Carolina think tank that has been a leading voice of climate science denial and an opponent of renewable energy initiatives, to launch a StopGreenEnergyTax.com website to promote the repeal bill. Following the bill's defeat, the Locke Foundation posted a statement saying the committee voted to continue a "raw deal for tax payers and rate payers."
The effort to repeal North Carolina's renewable energy law is part of a broader conservative attack against such laws in a number of states including Texas, Virginia, and West Virginia. Many of the groups involved in the repeal effort, including AFP, have financial ties to fossil-fuel interests.