Koch Industries funds ALEC and State Policy Network front groups to kill Kansas clean energy standard
Crossposted from Greenpeace USA.
Correction: this post listed Sen. Julia Lynn as a supporter of the RPS freeze--she is not and her name was removed from SB 82 co-sponsors below.
A recent flood of Koch-supported think tanks, junk scientists and astroturf groups from inside and outside of Kansas are awaiting the outcome of a bill this week that could stall progress on the growth of clean energy in Kansas.
States around the country, including Texas, Ohio, Missouri and North Carolina are poised to cut back on government support for clean energy jobs using model legislation from the American Legislative Exchange Council. ALEC, which brings companies together with state lawmakers to forge a wish list of corporate state laws behind closed doors, is coordinating this year's assault on state laws that require a gradual increase of electricity generated by clean energy sources.
ALEC and a hoard of other Koch-funded interests operating under the umbrella of the State Policy Network have hit Kansas legislators hard with junk economic studies, junk science and a junk vision of more polluting energy in Kansas' future. Koch Industries lobbyist Jonathan Small has added direct pressure on Kansas lawmakers to rollback support for clean energy.
This fossil fuel-funded attack ignores the good that wind energy has done for Kansas, a state known for its bipartisan support for its growing wind industry (see key report by Polsinelli Shughart). The state now has 19 operating wind farms that have brought millions to farmers leasing their land and millions more to the state, county and local levels (NRDC). The American Wind Energy Association says that Kansas wind industry jobs have grown to 13,000 with the help of incentives like the renewable portfolio standard.
Unfortunately, clean energy is not palatable to the billionaire Koch brothers or the influence peddlers they finance.
All of the following State Policy Network affiliates (except the Kansas Policy Institute) are directly funded by the Koch brothers, while most of the groups get secretive grants through the Koch-affiliated "Dark Money ATM," Donors Trust and Donors Capital Fund, which have distributed over $120,000,000 to 100 groups involved in climate denial since 2002.
- $53,500 grant from Donors Trust in 2007
- Koch-funded (Washington Post)
- State Policy Network member
Based out of Suffolk University's economics department, the Beacon Hill Institute wrote the fundamentally flawed analysis that ALEC is using to scare legislators into thinking that renewable portfolio standards will destroy the economy. In reality, electricity prices do not correlate with state RPS laws (see also Kansas Corporation Commission).
An extensive debunk of the Beacon Hill report was done by Synapse Energy Economics, and similar critiques can be read in the Portland Press Herald and the Maine Morning Sentinel, the Union of Concerned Scientists, the Nature Resources Defense Council and the Washington Post.
The definitive Post article confirms that the Beacon Hill Institute is Koch-funded. This may be through $729,826 in recent grants (2008-2011) from the Charles G. Koch Foundation to Suffolk University. The Kochs tend to send grants to economics departments, causing controversy at Florida State University and other schools over professor hiring processes.
Beacon Hill's Michael Head co-authored the reports that ALEC and the State Policy Network are using in several states. Mr. Head specializes in STAMP modeling, a form of economic analysis that has been criticized for its limitations and poor assumptions in the case of energy analysis. Michael Head testified before the Kansas legislature on February 14th to promote the flawed findings of his report. Mr. Head testified alongside members of the Heartland Institute, Americans for Prosperity and the Kansas Policy Institute (see more on each, below), all of which are members of ALEC and SPN.
- State Policy Network member (and vice-versa)
- $858,858 from Koch foundations since 1997
- Ongoing funding from Koch Industries and numerous coal, oil & gas interests
- $45,000 grant from Donors Trust and Donors Capital Fund since 2010
- Koch lobbyist Mike Morgan sits on ALEC's corporate board
ALEC is leading the nationally-coordinated attack on state renewable portfolio standards as part of an ambitious dirty energy agenda for the members of its anti-environmental task force, like Koch Industries, ExxonMobil, Peabody Energy, Duke Energy and other major oil, gas and coal interests.
ALEC's "Electricity Freedom Act" is a full repeal of state laws requiring increasing electricity generation from clean sources, although in some states the model has morphed into a freeze of those targets rather than a full repeal. Kansas is one of those states.
The bills running through Kansas' House and Senate are co-sponsored by legislators who are members of ALEC. The Senate Utilities committee sponsoring SB 82 has at least three ALEC members and the House Energy & Environment committee that introduced HB 2241 has at least three ALEC members:
- Senators Forrest Knox, Ty Masterson and Mike Petersen.
- Representatives Phil Hermanson, Scott Schwab, and Larry Powell (a member of ALEC's anti-environmental task force that created the Electricity Freedom Act)
- State Policy Network member; ALEC anti-environmental task force member
- $55,000 from Koch foundations since 1997
- $14.5 million from Donors Trust since 2002
Heartland is based in Chicago and perhaps best known for its billboard comparing those who recognize climate change with the Unabomber (for which they lost over $1.4 million in corporate sponsorship along with the "mutiny" of their entire Insurance department, now the R Street Institute).
The Washington Post reports that ALEC's "Electricity Freedom Act" was created by the Heartland Institute. Heartland has long been a paying member of ALEC's Energy, Environment and Agriculture task force along with Koch, Exxon and others. Citing the flawed Beacon Hill reports, Heartland has encouraged a repeal of Kansas' clean energy incentives on its website.
Heartland lawyer James Taylor testified before the Kansas legislature in February, opining that the growth of Kansas' clean energy sector is "punishing the state’s economy and environment." James Taylor was flown into Kansas City for an Americans for Prosperity Foundation event intended to undermine the Kansas RPS law. The AFP Foundation is chaired by David Koch.
Americans for Prosperity was created by the Kochs with help from Koch Industries executive Richard Fink after the demise of their previous organization, Citizens for a Sound Economy (CSE), which split into AFP and FreedomWorks in 2004.
In addition to hosting an event against the Kansas RPS law featuring Heartland's James Taylor, AFP's Kansas director Derrick Sontag testified before the Kansas House committee on Energy and Environment. AFP's Sontag urged for a full repeal rather than a simple RPS target freeze:
"We believe that HB 2241 is a step in the right direction, but that it doesn't go far enough. Instead, AFP supports a full repeal of the renewable energy mandate in Kansas."
Derrick Sontag apparently only cited a range of debunked studies (the "Spanish" study and the flawed Beacon Hill report) and information from Koch-funded interests like the Institute for Energy Research and "State Budget Solutions," a project of several State Policy Network groups including ALEC and the Mercatus Center, a think tank founded and heavily-funded by the Kochs.
Kansas Policy Institute
$534,500 from Donors Trust and Donors Capital Fund, 2009-2011
- $340,000 in 2010--49% of 2010 budget
- $125,000 in 2011--20% of 2011 budget
- Member of ALEC; member of the State Policy Network
- KPI Trustee George Pearson is a Koch family friend who "worked for nearly three decades for the Koch family as manager of various Koch Foundations and for Koch Industries." Pearson helped Charles Koch start the Cato Institute as one of Cato's original shareholders and worked for the Institute for Humane Studies at George Mason University, one of Charles Koch's most heavily-financed projects.
The Kansas Policy Institute (KPI) has been the central coordinating think tank within Kansas as outside interests have backed ALEC's attack clean energy laws. KPI co-published the debunked Beacon Hill Institute report that ALEC has used for its clean energy standard repeal in Kansas (see sources in Beacon Hill section above for debunking).
Kansas Policy Institute Vice President & Policy Director James Franko testified in the Kansas legislature alongside representatives of Heartland Institute, Americans for Prosperity and Beacon Hill Institute on Feb. 14 to weaken Kansas's renewable portfolio standard.
Reasserting the false premise that clean energy standards substantially increase electricity prices, James Franko told the legislature's Energy & Environment committee:
We have no objection to the production of renewable energy. [...] Our objection is to government intervention that forces utility companies to purchase more expensive renewable energy and pass those costs on to consumers.
James Franko's free market logic comes with the usual holes--no mention of the "costs" of coal and other polluting forms of energy that taint our air, water and bodies, nor any mention of how the government spends billions each year propping up the coal and oil industries.
After KPI's Franko testified before Kansas legislators on February 14, KPI hosted a luncheon for legislators at noon on the same day. The luncheon, hosted at the Topeka Capital Plaza Hotel, featured Beacon Hill's Michael Head. From KPI's email invitation:
"Given the importance of this issue, we would like to invite you to join us for lunch on Thursday 14 February to hear from the author of a study we published last year exploring the costs and benefits of the Renewable Portfolio Standard (RPS). Not only will we be discussing KPI’s study but offering a review of different studies that have been presented to the Legislature."
KPI has served as the glue for other State Policy Network affiliates entering Kansas to amplify the opposition to clean energy.
Chris Horner -- Competitive Enterprise Institute & American Tradition Institute
- Competitive Enterprise Institute (CEI):
American Tradition Institute (ATI):
- Member of the State Policy Network
- 75% of 2010 funding from oil businessman Doug Lair
Chris Horner is a senior fellow at CEI and the lead lawyer at ATI, a close CEI affiliate known for its litigious harassment of climate scientist Michael Mann alongside Virginia attorney General Ken Cuccinelli, who just worked with coal utility companies to kill Virginia's renewable energy law. ATI was behind a leaked memo encouraging "subversion" among local groups opposed to wind energy projects.
Horner testified before the Kansas legislature on February 12 to encourage the false notion that the renewable energy portfolio standard is going to make consumer electricity bills skyrocket (again, there is no correlation between state RPS laws and electricity prices). He cited the long-debunked "Spanish" study, which Koch front groups have cited for years in attempts to undermine clean energy.
Grover Norquist and Americans for Tax Reform:
- $60,000 from Koch foundations since 1997
- $172,100 from Donors Trust since 2004
- Member of the State Policy Network
ATR president Grover Norquist wrote a Feb. 27, 2013 letter supporting the Rep. Dennis Hedke’s House bill shortly before the bill was kicked back into the House Utilities commission. This Kansas letter followed an ATR op-ed in Politico encouraging rollbacks of state clean energy incentives, claiming they are a "tax," which is Norquist's consistent tactic against anything the financiers of ATR don't feel like supporting.
Junk scientists with Koch and Exxon ties:
Disgraced scientists Willie Soon and John Christy were flown in by Americans for Prosperity to assure state legislators that global warming isn't a problem (it's already a $1.2 trillion problem annually). Doctor's Soon and Christy themselves directly funded by Koch or directly affiliated with several Koch-funded interests like the Competitive Enterprise Institute and Heartland.
Willie Soon in particular has a habit of conducting climate "research" on the exclusive dime of coal and oil interests over the last decade:
- ExxonMobil ($335,106)
- American Petroleum Institute ($273,611 since 2001)
- Charles G. Koch Foundation ($230,000)
- Southern Company ($240,000)
Dr. Soon's questionable climate research now receives funding through the Donors Trust network--$115,000 in 2011 and 2012.
See Skeptical Science's profile of John Christy for a through explanation of why he is not a credible voice in the scientific community studying climate change, using peer-reviewed climate research as refutation.
State Policy Network
- Umbrella organization to all groups listed above
- $49,000 from Koch foundations since 1997
Over $10 million from Donors Trust & Donors Capital Fund since 2002
- Donors Trust provided over 36% of SPN's 2010 budget and over 40% of SPN's 2011 budget (budgets for both years listed in their 2011 IRS filing).
- Based in Wichita, Kansas
- Operations in oil refining, oil and gas pipelines, fossil fuel commodity & derivatives trading, petrochemical manufacturing, fertilizers, textiles, wood and paper products, consumer tissue products, cattle ranching, and other ventures.
- $115 billion in estimated annual revenue
- 84% private owned between brothers Charles Koch and David Koch, each worth an estimated $34 billion (Forbes) to $44.7 billion (Bloomberg).
- Member of ALEC's anti-environmental task force
- Associated foundations fund State Policy Network, ALEC, Heartland Institute, Americans for Prosperity, Beacon Hill Institute, Competitive Enterprise Institute, Americans for Tax Reform and Dr. Willie Soon.
- Koch brothers founded Americans for Prosperity and helped establish the Heartland Institute.
The money trail of the out-of-state groups inundating Kansas with their sudden interest in killing the state's incentives for wind energy leads back to the Koch brothers. While Koch Industries has deployed its own lobbyists to compliment the effort, the brothers who lead the company have tapped into their broader national network to aid the fight against clean energy in Kansas.
Charles and David Koch, the billionaire brothers who own Koch Industries, have spent over $67,000,000 from their family foundations on groups who have denied the existence or extent of global climate change, promote fossil fuel use and block policies that promote clean energy development.
The Kochs obscure millions more in annual giving through Donors Trust and Donors Capital Fund, which collect money from the Kochs and other wealthy corporate interests and pass it on to State Policy Network groups. This video provides a visual overview of how the Koch-funded network amplifies unscientific doubt over climate science and blocks clean energy policies:
The film contains some gems, including this clip of "Lord" Monckton, reacting to a question about the consensus that climate change is real and man-made:
"Right...the only scientists who are capable of coming to a conclusion as barking mad as that are computer modelers. These are typically zitty teenagers, sitting in dark rooms with a can of CocaCola and too many donuts and playing on their X-Box 360s and they are making predictions about the climate..."
Most people have never heard of the DC lobbying and public relations firm DCI Group. When DCI Group does it’s job right, most people never do. That’s because DCI is a prime example what a highly effective, professional, and well-funded Public Relations firm can do. Are you a cigarette company that wants grassroots support for cigarette smoking? DCI can do that. Are you an Indonesian timber conglomerate that wants the “freedom” to sell illegal rainforest pulp? DCI can enlist thousands of liberty-lovin Americans to protect that freedom. Do you want people mobilized, in the streets, demanding that the government relax pollution laws and other regulations on your coal or oil corporation? DCI actually did that. It was called the Tea party.
1 DCI Group and Tobacco
Addictive, deadly, and rich, the tobacco industry is the perfect client for a crack PR team like DCI Group.
During the early days of tobacco regulation in the 1980’s, tobacco corporations were spending millions of dollars to convince Americans that tobacco really wasn’t that bad for them, and regulating tobacco was an infringement on the god given rights of every American.
Masterminding that message was DCI Groups founders, Doug Goodyear and Tom Synhorst, who were two of the tobacco PR men involved in the early days of “tobacco control opposition.”
Using a strategy DCI Group would repeat and hone in the coming decades, PR admen like Goodyear and Synhorst pioneered couching a pro-corporate agenda, in this case tobacco’s, in terms of rights, liberties and freedoms. They started “smokers rights groups,” whose anti-regulatory, pro-business bent is right at home in today’s Tea Party messaging. DCI Group has maintained those close ties through the years, and currently lobby for Altria (Philip Morris).
2 DCI Group and the start of the Tea Party
A recently released academic study has traced the origins of the Tea Party back to its roots. The popular creation myth of the Tea Party, in which a news anchor, fed up with the federal governments creeping socialism demands an uprising - a la Network - is only part of the story. In fact, PR agencies working for tobacco, and oil, and coal corporations had been pushing for a Tea Party for decades, and had even registered the websites and domain names under the name Tea Party, 6 years before president Obama’s election.
From the study:
“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.”
With the help of the oil billionaire Koch Brothers, DCI Group partner Dan Combs built “Citizens for a Sound Economy,”(CSE) during the 1990’s, right as the tobacco industry was busted for lying about the dangers of smoking. CSE’s self-described mission was "to fight for less government, lower taxes, and less regulation," which included opposing tobacco laws and pollution regulation on the oil industry.
3 DCI Group and Americans For Prosperity/ Freedomworks
In 2004, Citizens for a Sound Economy (CSE) split like a procreative amoebae into Americans for Prosperity and Freedomworks, the two largest and most powerful Tea Party organizations. AfP and Freedomworks employ hundreds of Tea Party organizers all over the country, and pay for rallies, promotional materials, and conventions.
DCI Group, and it’s alias FLS Connect, are currently the highest paid consultants for AFP and Freedomworks. DCI carefully crafts messaging for the Tea Party behemoths, and does extensive polling to make sure their pro-corporate, free-market PR is hitting the mark. Just as they directed anti-tax advocates to do big-tobacco and big-oil’s work through Citizens for a Sound Economy, DCI Group is using the Tea Party in the service of corporate America.
4 DCI Group and Climate Change Denial
DCI Group was a pioneer of brazen denial of scientific evidence while working for tobacco giants. They applied the same technique of creating fake science, misrepresenting impacts, and attacking legitimate scientists to their campaign denying the existence of climate change.
At the behest of major oil corporation and DCI Group client ExxonMobil, DCI became a hotbed of climate change science attacks, training and funding outspoken climate change deniers. DCI Group created and ran Tech Central Station, a platform for climate science denial. Tech Central Station was so egregiously disingenuous about climate science that a Senatorial committee asked ExxonMobil to stop funding it, which Exxon did in 2006.
However, a slap from the Senate did not stop DCI Group from continuing to specialize in anti-climate science messaging. DCI Group continues to hire and train professional climate change deniers. One such DCI Group alumnus, Andrea Saul, became candidate Mitt Romney’s press secretary during the 2012 presidential election, and helped push Romney’s anti-climate science positions. While at DCI, she wrote and distributed pres releases attacking legitimate climate science. Another DCI Group alumnus, Bob Paduchik, is now a Vice President of the coal front group called Americans for Clean Coal Electricity (ACCCE).
5 DCI Group and Foreign Criminal Entities
DCI specializes in manipulating America’s white, conservative class, using loaded buzzwords like “freedom,” and “liberty,” and couching a corporate agenda of reduced regulation as “small government.” As it turns out, this type of manipulation is an old shtick, predating the Tea Party.
And DCI Group does this for many clients, including an Indonesian timber company responsible for illegal deforestation of rainforests in southeast Asia. DCI helped create a front group for Asia Pulp and Paper, which has destroyed millions of miles of endangered rainforest in Indonesia. They found a self described “tea party patriot” to lead the effort, who made tea party themed speeches that advocated for the Indonesian paper corporation, APP.
Chart Source: New York Times
Freshly released today: a report by the Checks & Balances Project examining how often top U.S. newspapers fail to attribute fossil fuel ties to organizations or people that appear news articles to promote fossil fuels, demonize clean energy or promote delay of climate change solutions. Tracking ten of the top fossil fuel front groups in 58 leading U.S. newspapers, the new report finds over 1,000 instances where ties to or funding from coal, oil and gas interests was not disclosed when including a shill group or quoting one of its "experts."
Only 6% of the time were fossil fuel ties disclosed when these top 58 newspapers reported on the ten fossil fuel front groups examined in the study. These groups wind up in the paper, on average, at least once every other day. In the five-year window the report uses, the ten front groups got at least $16 million from coal, oil and gas interests.
According to Checks & Balances:
These groups, and their proponents, have been quoted on average every other day for the past five years in 60 of the largest mainstream newspapers and publications. Despite having received millions of dollars from fossil fuel interests, such as ExxonMobil and Koch Industries, these groups’ financial ties to the fossil fuel industry are rarely mentioned.
Deniers are already taking notice--see Steven Milloy's complaints here. Steve Milloy has been a central climate denier, who was paid to shill for tobacco company Phillip Morris and oil giant Exxon before work for the Cato Institute (see below) and starting the climate denial website "JunkScience."
The ten groups that Checks & Balances examined are well-established fossil fuel apologists. Here is a roundup of watchdog sites with more information on each of these organizations' historic funding from and work for fossil fuel interests like ExxonMobil and Koch Industries (2006-2010 funding figures compiled in the Checks & Balances Project report):
American Enterprise Institute (AEI): $1.675 million from fossil fuel interests (2006-2010)
- Funding from the Koch brothers - Greenpeace
- Funding from ExxonMobil - ExxonSecrets (Greenpeace)
- More information: AEI on SourceWatch and DeSmogBlog
Competitive Enterprise Institute (CEI): $88,279 from fossil fuel interests (2006-2010)
- Funding from the Koch brothers - Greenpeace
- Funding from ExxonMobil - ExxonSecrets (Greenpeace)
- More information: CEI on SourceWatch and DeSmogBlog
Cato Institute: $1.385 million from Koch/Exxon (2006-2010)
- Funding from the Koch brothers - Greenpeace (see also recent conflict between Cato and Charles Koch, one of Cato's co-founders)
- Funding from ExxonMobil - ExxonSecrets (Greenpeace)
- More information: Cato Institute on SourceWatch and DeSmogBlog
George C. Marshall Institute: $675,000 from fossil fuel interests (2006-2010)
- Funding from the Koch brothers - Greenpeace
- Funding from ExxonMobil - ExxonSecrets (Greenpeace)
- More information: Marshall Institute on SourceWatch and DeSmogBlog
Heartland Institute: $115,000 from Exxon (2006-2010, see also $25,000 grant from Charles Koch in 2011)
- Funding from the Koch brothers - Greenpeace
- Funding from ExxonMobil - ExxonSecrets (Greenpeace)
- More information: Heartland Institute on SourceWatch, DeSmogBlog and PolluterWatch
Heritage Foundation: $2.523 million from fossil fuel interests (2006-2010)
- Funding from the Koch brothers - Greenpeace
- Funding from ExxonMobil - ExxonSecrets (Greenpeace)
- More information: Heartland Institute on SourceWatch, and DeSmogBlog
Hudson Institute: $75,000 from fossil fuel interests (2006-2010)
- Funding from ExxonMobil - ExxonSecrets (Greenpeace)
- More information: Hudson Institute on SourceWatch and DeSmogBlog
Institute for Energy Research (IER): $310,000 from fossil fuel interests (2006-2010)
- Funding from the Koch brothers - Greenpeace
- Funding from ExxonMobil - ExxonSecrets (Greenpeace)
- More information: IER on SourceWatch and DeSmogBlog
Manhattan Institute: $1.38 million from fossil fuel interests (2006-2010)
- Funding from the Koch brothers - Greenpeace
- Funding from ExxonMobil - ExxonSecrets (Greenpeace)
- More information: Manhattan Institute on SourceWatch, DeSmogBlog and Media Matters
Mercatus Center: $8.06 million from fossil fuel interest (2006-2010)
This guest article was written by Mary Bottari and Sara Jerving of the Center for Media and Democracy, crossposted from PR Watch.
The fossil fuel industry has paid a hefty price for the privilege of framing the political discourse about America's energy future. Hundreds of millions have flowed into campaign coffers from energy companies attempting to purchase complete freedom to drill, frack, and burn. Huge "dark money" groups, the Koch's, Karl Rove, the U.S. Chamber of Commerce, join dozens of oil and gas industry associations in pouring money into television ad campaigns demanding "energy independence," while trashing wind and solar.
Things were going great. Even though hurricanes had slammed into two Republican National Conventions in a row, no one seemed to notice, and Romney's only mention of climate changes was as a punchline. No reporter asked a single climate change question of Romney or Obama during the debates. Even though the U.S. now had 175,000 wind and solar jobs, pro-green energy forces were disappointed in Obama and were less active. For big oil and gas the White House and the Senate were within reach. Critically, they had to move fast before the majority of voters started to not only notice the changing climate patterns, but really started to worry about them.
Then something happened that completely scrambled the board.
Hurricane Sandy blew New Jersey out of the water and inundated New York. The massive storm threw the Romney campaign completely off-message. Not only did they have nothing to say about the serious issue of climate change and the potential for more frequent and more devastating monster storms, the Romney-Ryan message of "smaller government" and "fewer first responders" sank in the Brooklyn Battery Tunnel.
In an unprecedented, last-minute move, Independent Mayor Michael Bloomberg threw his support behind Obama yesterday. His statement "A Vote for a President to Lead on Climate Change" lays out the seriousness of the situation. "In just 14 months, two hurricanes have forced us to evacuate neighborhoods -- something our city government had never done before. If this is a trend, it is simply not sustainable," Bloomberg states.
It wasn't supposed to be this way.
Polluting High Rollers Dominated the Airwaves
Until Sandy rolled in, the airwaves were completely dominated by the fossil fuel industry.
According to The New York Times, by mid-September there had already been a $153 million spent on TV ads that promoted the fossil fuel industry. The analysis showed that energy topics were mentioned more frequently than any other issue besides jobs and the economy. This figure is four times what clean energy advocates were spending.
The numbers stand in sharp contrast to the last presidential election in which the green energy industry and other forces spent $152 million compared to $109 million spent on fossil fuel interests.
Broadly, the ads promote fossil fuels in the context of jobs, domestic security, and energy prices. Combined, they try to convince Americans that "energy independence" should be the nation's top priority. Yet they neglect to point out that solar and wind also create high-wage jobs and energy independence too. According to Open Secrets, oil and gas campaign contributions are at historic highs and are more lopsided than ever before with 90 percent of the funds going to Republican candidates. Top contributors include William Koch's Oxbow Corp, Chevron, Exxon Mobil, and Koch Industries, who have already contributed $59 million to federal candidates. Leading coal mining corporations, such as Alliance Resource Partners, Cumberland Development, and Murray Energy, have kicked in $11.6 million to federal candidates.
But the money does not stop there. The Citizens United Supreme Court decision has opened the door to unprecedented spending by "dark money" nonprofits, SuperPACs and new constellations of trade associations that are on track to spend over $1 billion to "educate" voters about the issues, including the urgent need to extract and burn every last bit of fossil fuel.
- Karl Rove's Crossroads GPS, a "dark money" group and his American Crossroads SuperPAC, pledged to spend $300 million in this election, a large percentage on fossil fuel spin. There are dozens of ads in the presidential race and in Congressional races. One Crossroads ad blames Obama for higher gas prices. Another slams Obama for putting the Keystone Pipeline on hold. While Crossroads GPS does not disclose its donors, American Crossroads PAC does and it is loaded with fossil fuel contributors, including Alliance Resources Partners CEO Joe Craft who has given the group $1.25 million, Petco Petroleum which has given the group $1 million, and over $2 million from TRT holdings, which controls Tana Exploration, a Texas-based oil and gas company.
- David Koch's Americans for Prosperity "dark money" group, pledged to spend over $100 million this year in support of Republican candidates. The group's ads also attack Obama and clean energy when talking about Solyndra and the stimulus bill which allegedly sent some clean energy jobs overseas. More recently they have pushed pro-coal "Stand with Coal" ads in Ohio and Virginia.
- The U.S. Chamber of Commerce, an industry association and dark money group, has pledged to spend more than $50 million on the election and has fielded energy ads in key races such as Ohio with a messages like "Shale Works for Us," in promotion of expanding drilling for shale oil and gas.
- The American Coalition for Clean Coal Electricity, a coal industry front group, has pledged to spend some $40 million on coal related ads. One ad, targeting Ohio's Sherrod Brown, criticizes the Senator for endorsing "higher energy taxes" linking him to "Washington's costly energy policies."
- The American Petroleum Institute, an industry trade association, has pledged some $40 million this campaign season on efforts to push the expansion of oil and gas drilling. Two of their primary campaigns, "Vote 4 Energy" and "Energy Citizens" attempt to exert the aura of a grassroots base pushing for fossil fuel development. Their ads feature "energy voters" parroting fossil fuel talking points.
- The American Energy Alliance, a "dark money" group run by former Koch Industries lobbyist Tom Pyle, is spending millions alleging that Obama's policies would lead to $9 a gallon of gas and a recent ad airing in Ohio and Virginia harps on Obama for comments he made about coal industry in 2008.
Rarely are voters seeing any counter-narrative. Alternative energy forces have spent only $2 million, and some environmental groups are weighing in with modest resources. New ads by the League of Conservation Voters saying U.S. Senate Candidate Tammy Baldwin (D-WI) will stop the offshoring of U.S. jobs and "will end big oil subsidies" -- with cheerful Wisconsin windmills and pumpkins in the background -- started only in the final days of the campaign. Is it any wonder that candidates have been able to ignore the serious issues?
"To ignore a global crisis that has been fully understood for over 15 years and is quickly slipping out of control shows just how far coal and oil money have drowned out constituents all the way from the Statehouse to the White House," said Greenpeace's Connor Gibson.
What Does the Fossil Fuel Industry Want?
Although environmentalists are not happy with what they perceive as Obama's timidity, the fossil fuel industry is apoplectic about the steps he did take as president. They have leveled blistering criticism about Obama's efforts to slow down the Keystone Pipeline; they don't like his new auto emissions standards; they are unhappy with new EPA mercury emissions rules for boilers; and they don't like the fact that permits for drilling and fracking on federal lands have slowed.
The industry is looking for a victory in the battle over TransCanada's Keystone XL pipeline project, which would carry heavy tar-sands crude oil from Canada to Gulf Coast refineries, exporting some portion of the oil overseas. Construction of the pipeline was confronted by an active movement of citizens concerned about the impact that the pipeline would have on communities and on the threat burning the tar sands posed to the planet. Burning all the available tar sands would be "game over" for the climate, according to NASA scientist Jim Hansen, one of the nation's most respected climate change experts. Romney has vowed to give the project clearance on his first day in office, while Obama has approved a portion of the segment, and has allowed for further environmental impact study of the northern portion.
The industry also wants carte blanche to use federal lands for the highly controversial practice of hydraulic fracturing or "fracking" for shale oil and gas. Fracking has the documented potential to contaminate drinking water sources and foul both air and land -- in addition to spoiling millions of gallons of fresh water as part of the drilling process.
The industry is calling for a streamline on the permitting process for fossil fuel development on all lands. While industry's ads have argued that increased drilling will decrease gas prices, global gas prices largely follow international trends.
The industry is also keen to hold onto to the billions of fossil fuel subsidies it receives each year from the federal government. According to the International Energy Agency, fossil fuel subsidies from the government are 12 times greater than renewable energy.
No matter who wins the presidency, there will be major battles on each of these issues. The question is, after years of fossil fuel propaganda, how engaged will the American public be in the effort to save the planet from the fossil fuel industry?
The Price of Fossil Fuel Propaganda
According to author and activist Bill McKibben, "This will be the warmest year in American history. It came with the warmest month in American history, July. It featured a statistically almost-impossible summer-in-March heat wave. It brought us a drought so deep that food prices have gone up 40 percent around the world. It brought us this completely unprecedented mega-storm, the biggest storm, as one weatherman put it yesterday, to hit New York since its founding in 1624," McKibben told Time.
The problem according to McKibben is that "there's been a 20-year bipartisan effort in Washington to accomplish nothing, and it reached its comedic height this summer when our presidential candidates, despite barnstorming through the warmest summer in American history, seemed not to notice. The reason is the incredible power of the fossil fuel industry. Until we can diminish that power, I imagine nothing very large will be done to deal with climate."
Hurricane Sandy has launched a full frontal attack on fossil fuel industry propaganda.
It is up to us to follow in her path.
Will Dooling contributed to this article.
Written by Steve Horn, crossposted from DeSmogBlog
There's an old German proverb that goes, "Whose bread I eat his song I sing."
Enter a recent spate of reportage by the Public Broadcasting System's (PBS) "Newshour." In a September 17 story titled, "Climate Change Skeptic Says Global Warming Crowd Oversells Its Message" (with a URL titled, "Why the Global Warming Crowd Oversells its Message") the Newshour "provided an unchecked platform for Anthony Watts, a virulent climate change denier funded by the Heartland Institute," as described by Forecast the Facts.
Forecast the Facts created a petition demanding that the "PBS ombudsman...immediately investigate how this segment came to be aired," stating that, "This is the kind of reporting we expect from Fox News, not PBS."
Very true, this is exactly the type of reporting we've come to expect out of Rupert Murdoch's Fox News, a cable "news" network that provides a voice for right-wing propagandists on all policy issues, including climate change denial. But perhaps expectations are too high for PBS' "Newshour" and we should've expected exactly what we got: a friendly platform for the climate change denying merchants of doubt.
What's at play here goes above and beyond a single bad story by "Newshour." Rather, it's a small piece and the result of an aggressive campaign that's been going on for nearly two decades to destroy public television in the public interest.
Based on the shift in how the "Newshour" has funded itself over the years, it's evident that the once-esteemed "MacNeil/Lehrer NewsHour" streamed on the Public Broadcasting System has transformed PBS into what investigative reporter Greg Palast calls the "Petroleum Broadcasting System."
"Petroleum Broadcasting System" Sponsored by Chevron, Koch Industries, ExxonMobil, Et Al
In an October 2010 story, Palast pointed out that the "Newshour" is funded by Chevron in critiquing its softball coverage of the BP oil disaster. This led him to refer to PBS as the "Petroleum Broadcasting System."
Above and beyond funding from Chevron, "Newshour" also lists Burlington Northern Santa Fe (BNSF), owned by Warren Buffett under the auspices of Berkshire Hathaway, as a sponsor. As previously reported here on DeSmog, BNSF - the second largest freight rail company in the U.S. behind Union Pacific - is a major transporter of tar sands infrastucture to the Alberta tar sands. It's also a major mover of coal being sent to coastal terminals and exported to Asia.
BNSF also inked a deal in June 2012 with U.S. Silica Holdings Inc. to "build and run a major warehousing operation...to store sand destined for the Eagle Ford Shale." The Texas-based Eagle Ford Shale basin, like all shale basins, requires vast amounts of fracking sand (aka sillica sand) in order to tap into the gas located deep within the shale reservoir. This sand predominantly comes from western Wisconsin's "sand land," as we explained in a recent short documentary.
The San Antonio Business Journal explained the situation in-depth:
The proposed facility, scheduled to open in early 2013, will be constructed on 290 acres of land the railroad purchased late last year. It will be able to store up to 15,000 tons of sand used by drillers during the hydraulic fracturing process to release oil and gas from dense shale rock.
The Fort Worth-based railway will haul up to 40,000 tons of silica sand and other products per month to San Antonio from U.S. Silica operations in Ottawa, Ill., and Rochelle, Ill.
To top it off, Buffett himself has major personal investments in Big Oil, as we've written about on DeSmog. As of August 2011, he owned 29.1 million shares of stock in ConocoPhillips, 421,800 shares of stock in ExxonMobil, and 7.777 million shares of stock in General Electric, all three of which are involved in various aspects of the tar sands extraction industry and the shale gas extraction industry.
In sum, BNSF is cashing in big time from the shale gas boom, the tar sands boom, and the coal export boom.
Koch Industries - a major Heartland Institute funder and key behind its founding - has also funded PBS' "Nova" to the tune of $7 million. ExxonMobil has also provided funds to PBS' "Nova," "Nightly Business Report" and "Masterpiece Theatre." Both ExxonMobil and Koch Industries are among the top funders of the climate change denial machine.
The Plan: Cut Public Funding, Make PBS Rely on Fossil Fuel Industry Money
Looking at the situation more broadly, it's important to understand that PBS didn't always rely on fossil fuel industry largesse to keep itself afloat.
Rather, over the past two decades, PBS has been under attack by the Republican Party, with constant threats and a coordinated campaign to defund a network originally set up to be a public educational service via the Public Broadcasting Act of 1967.
As explained in a February 2011 ABC News story,
One of Newt Gingrich's first acts as speaker of the House in 1995 was to call for the elimination of federal funding for CPB, and for the privatization of public broadcasting. Neither attempt was successful, though it did keep the hot-button issue in the limelight for years.
During the early 2011 budget debates, ABC explained that "The House Republicans' budget would rescind any funding for the Corporation for Public Broadcasting -- which partially supports these two organizations -- for the remainder of the year, and zero out millions in funds after that."
President Barack Obama joined in on the attack on public television with his "bipartisan deficit commission" -- referred to as the "Catfood Commission" by FireDogLake -- calling for "eliminating funding for the CPB, estimating that it would save the government $500 million in 2015," ABC explained. His Republican Party opponent for the 2012 presidential race, Mitt Romney, has also called for the defunding of PBS.
Private funding of what was originally supposed to be a publicly-funded television station comes with its own agenda. This agenda departs from the mission set out by the 1967 Act, which deemed it "in the public interest to encourage the growth and development of public...television broadcasting, including the use of such media for instructional, educational, and cultural purposes" and said it "should be created...to afford maximum protection from extraneous interference and control."
The New York Times said it best in a May 2008 story: benevolent corporate underwriting of public television is "increasingly out of step with the...needs of corporations" as they don't "sponsor public television programs for purely philanthropic reasons."
Plenty of Money for PSYOPs Campaigns Abroad
Even PBS President Paula Kerger has internalized the message that the U.S. government is "broke," stating after the latest attempt to defund NPR by House Republicans, "While we understand the many difficult decisions appropriators must make and that the nation is facing challenging economic times, if enacted, such drastic cuts in federal funding could have a devastating effect on public television stations."
Far from being strapped for cash, though, the U.S. government has plenty of money to spend on overseas psychological operations (PSYOPs) campaigns around the world of the sort covered by DeSmog during the shale gas industry's PSYOPs revelation of November 2011.
Media scholar Bob McChesney explained this phenomenon in a March 2011 Democracy Now! appearance, during the middle of the previous round of PBS funding cuts debate in the U.S. House of Representatives:
You know, currently the United States spends roughly twice as much money bankrolling international broadcasting — Voice of America and the various Radio Martís and things like that — than it does paying for domestic public broadcasting and community broadcasting, roughly twice as much — $750 million, roughly, last year. And the idea of raising that and putting more propaganda out to sort of enhance the view of the United States vis-à-vis other nations of the world is entirely the wrong way to go.
That $750 million is more than the $500 President Obama said the U.S. could save by slashing publicly-funded media. In leiu of public funding, American citizens are being shafted with fossil fuel-funded disinformation here at home, while subsidizing it with their tax dollars abroad.
Unless we see big changes in funding for public television, it'll continue to be a standard operating procedure for outlets like PBS to transform into iterations of the newfangled "Petroleum Broadcasting System" - and to end where we began - play the game of "Whose bread I eat his song I sing."
Image Credit: Forecast the Facts
“Gov. Romney does not think greenhouse gases are pollutants within the meaning of the Clean Air Act, and he does not believe that the EPA should be regulating them,” said Romney spokeswoman Andrea Saul. “CO2 is a naturally occurring gas. Humans emit it every time they exhale.” Politico, July 2011 .
"Romney went from believing that humans contribute to global warming, though he was uncertain how much, to saying he didn't know what contributes to global warming." Andrea Saul denied that Romney had "flip-flopped" on his climate stance, responding:
"This is ridiculous. Governor Romney's view on climate change has not changed. He believes it's occurring, and that human activity contributes to it, but he doesn't know to what extent. He opposes cap and trade, and he refused to sign such a plan when he was governor. Maybe the bigger threat is all the hot air coming from career politicians who are desperate to hold on to power."
ANDREA SAUL AND DCI GROUP
- Saul was hired March 2011 as a Romney campaign spokesperson. Today, she regularly appears in the media as the main messenger for the campaign.
- While employed with the PR firm DCI Group as an account executive between 2004-2007, Ms. Saul helped to orchestrate a multi-faceted, covert operation to undermine science, attack scientists and confuse the public and reporters.
- DCI was, at that time, contracted as lobbyists by Exxon and many other corporations. Exxon remains a DCI client today.
"Traffic to the penguin video, first posted on YouTube.com in May, got a boost from prominently placed sponsored links that appeared on the Google search engine when users typed in "Al Gore" or "Global Warming." The ads, which didn't indicate who had paid for them, were removed shortly after The Wall Street Journal contacted DCI Group on Tuesday."
- PART 1) Ms. Saul advanced the opinions of contrarian scientists and corporate-funded pundits on the Exxon-funded Tech Central Station, a purported news web site;
- PART 2) Ms. Saul sought to promote contrarian voices into the debate over hurricanes and climate change in the aftermath of Hurricane Katrina;
- PART 3) Ms. Saul promoted the views of a scientist who had no training in climate change to undermine a study on climate change effects on the Antarctic ice sheet;
- PART 4) Ms. Saul led a public relations campaign to undermine scientific consensus on the science of climate change;
- PART 5) Ms. Saul pushed out press releases for a front group linked to Grover Norquist designed to undermine pending climate change legislation.
(click links above to jump down to a section of the briefing)
"Tech Central Station looks less like a think-tank-cum-magazine than a kind of lobbying practice. Which makes sense: Four of the five co-owners of TCS are also the co-owners of the DCI Group, the Washington public affairs firm founded by Republican operative Thomas J. Synhorst. TCS's fifth owner is Charles Francis, who is also a senior lobbyist at DCI and is listed on TCS's phone directory. And as it happens, three of TCS's sponsors--AT&T, General Motors, and PhRMA--have also retained DCI for their lobbying needs. (Both DCI's spokeswoman and TCS's chief executive officer declined to be interviewed for this article. However, after I requested comment, the Web site was changed. Where it formerly stated that 'Tech Central Station is published by Tech Central Station, L.L.C.,' it now reads 'Tech Central Station is published by DCI Group, L.L.C.')"Like its publishing arm, DCI's business is to influence elite opinion in Washington. But instead of publishing articles, DCI specializes in what's known as 'corporate-financed grass-roots organizing,' such as setting up front groups to agitate for a client's position, placing letters to the editor with key newspapers, and using phone banks to generate calls to politicians. TCS, for its part, includes a disclaimer on its site noting that 'the opinions expressed on these pages are solely those of the writers and not necessarily those of any corporation or other organization.' But it is startling how often the opinions of TCS's writers and sponsors converge."
"There’s a lot of debate as to what’s been causing all of these hurricanes. Some scientists say it’s part of a naturally occurring cycle, while others have made the claim global warming is to blame."Dr. William Gray and Dr. James O’Brien, two of the nation’s top weather and oceans scientists, point to scientific data for the answer [...]."Gray and many of his colleagues believe it’s not global warming that’s creating these massive hurricanes, but the cycle of nature itself."
"Trends in human-influenced environmental changes are now evident in hurricane regions. These changes are expected to affect hurricane intensity and rainfall, but the effect on hurricane numbers remains unclear. The key scientific question is not whether there is a trend in hurricane numbers and tracks, but rather how hurricanes are changing."
"My results suggest that future warming may lead to an upward trend in tropical cyclone destructive potential, and—taking into account an increasing coastal population—a substantial increase in hurricane-related losses in the twenty-first century."
“Coming off one of the most devastating hurricane seasons in recent memory, many are quick to blame the strength and frequency of these storms on global warming. Leading climate scientists, however, say there is no link between increased storm activity and a massive change in global climate.”
- James J. O’Brien, director of the Center for Ocean-Atmospheric Prediction Studies, Florida State University – As an expert in oceanography and weather, Dr. O’Brien appeared to have little to no expertise in climate change according to his CV of published studies.
- Roy Spencer, Research Scientist at the University of Alabma – Spencer has long been a denier of anthropogenic global warming and has been affiliated with many contrarian groups including the George C. Marshall Institute.
- Patrick Michaels, Professor of Environmental Science at the University of Virginia – A denier of anthropogenic global warming, Dr. Michaels has maintained strong ties to several denialist and front groups for oil and gas interests including the Cato Institute and the Greening Earth Society.
- George Taylor, Manager of the Oregon Climate Service at the University of Oregon – With no training in climate change or hurricanes, Taylor’s job was “to help advise Oregon farmers, fishermen, skiers and motorists about likely weather conditions, both short- and long-term” (Jeff Wright, Eugene Register-Guard, Feb. 22, 2008).
- Anthony R. Lupo, Associate Professor of Atmospheric Science at the University of Missouri – A global warming denier and conservative activist, Lupo has been affiliated with numerous denialist organizations including the Science and Environmental Policy Project, the Heartland Institute, and the Marshall Institute (see also Dr. Lupo's resume).
"TCSDaily Science Roundtable member and Oregon state climatologist George Taylor, expressed his concern over the legitimacy of recent claims that the Antarctic ice sheet is melting. The Washington Post article titled 'Antarctic Ice Sheet Is Melting Rapidly' (www.washingtonpost.com/wp- dyn/content/article/2006/03/02/AR2006030201712.html) looked to Taylor to provide an expert view on the validity of a recent study published in Science magazine on global warming."
"Today United for Jobs (UFJ) warned that federal legislation to impose a so-called "windfall profits tax" on U.S. oil companies would have a severe economic impact on public employee trust funds. The Missouri Highway Patrol Retirement System, the Public School Employees' Retirement System of Missouri, the Missouri State Employees' Retirement System, and other public retirement funds could lose as much as $325 million per year in foregone gains, according to a recent study by the Investors Action Foundation (http://www.windfallprofitstax.org/)."
- American Council for Capital Formation
- American Enterprise Institute
- American Legislative Exchange Council (ALEC)
- Black Chamber of Commerce
- Cato Institute
- Center for Science and Policy
- Competitive Enterprise Institute (CEI)
- CRA International
- Frontiers of Freedom
- George C. Marshall Institute
- Manhattan Institute
- National Taxpayers Union Foundation (NTUF)
- Phoenix Strategies
“(announced Feb. 15, 2010) A vice president with DCI Group, May 2007-Feb. 2010. Communications director on Romney's presidential campaign, Jan. 2007-March 2008. A deputy communications director in charge of research for the RNC during the 2006 election cycle. Research director for the 2004 Bush/Cheney re-election campaign. Deputy research director at the RNC, 2003-04. White House Liaison at the U.S. Office of Personnel Management in the Bush Administration, and earlier an Associate Director in the White House Presidential Personnel Office. B.A. from Syracuse University, 1997; and an M.A. from The George Washington University, 1999.”
“announced March 3, 2011 as communications advisor to Free and Strong America PAC) Press Secretary for Carly Fiorina’s U.S. Senate race in California. Communications director for Gov. Charlie Crist during his recent U.S. Senate run but resigned in April 2010 upon his decision to switch party affiliation. Press secretary to U.S Sen. Orrin Hatch (R-UT) during much of 2009. Director of media affairs for McCain-Palin, responsible for organizing all television, radio and surrogate activity. Director of media affairs at the Republican National Committee, 2007-08. Associate account executive at DCI Group, 2005-07. Graduate of Vanderbilt University, 2004. twitter”
“(June 2011) M.B.A. in finance, accounting from Rice University, 2011. A director at DCI Group, 2007-09. Deputy director of research on John McCain 2008 in 2007. Special assistant for strategic initiatives in the Office of Senate Majority Leader Bill Frist, 2005-06. B.A. in English literature from The Johns Hopkins University, 2000.”
In the lead up to this fall's Democratic National Convention, polluter giant Duke Energy has offered a $10 million loan. Good thing, since Duke CEO Jim Rogers has taken the lead on the remaining fundraising for the DNC and is now being criticized for doing a shoddy job of it amid his controversial takeover as CEO following a big merger with Progress Energy.
Lost amid this dramatic transition is Duke's ironic role in the American Legislative Exchange Council, or ALEC. ALEC is the infamous corporate bill mill that connects notably-conservative state lawmakers with lobbyists, PR agents and other representatives of companies ranging from Koch Industries to Phillip Morris to Pfizer. ALEC's agenda spans across Big Business priorities, creating template state laws that serve to deny climate change science, privatize schools, protect killers (as with the Trayvon Martin "castle doctrine" legislation) and disenfranchise voters through Voter ID laws.
Voter ID laws that Democrats call "suppressive," an ironic contrast to Duke's $10 million line of credit to the DNC.
Duke Energy is heavily invested in ALEC in several ways. Duke sponsors ALEC's meetings, dedicates its staff to help oversee ALEC's state operations, and consistently operates in ALEC's anti-environmental task force, a who's-who of polluters and apologists attacking clean energy legislation that Duke purportedly supports. Here's an overview of Duke's notable role in ALEC:
- Duke pays heavily for ALEC's operations--they have spent $116,000 on ALEC meetings since 2009, including $50,000 for ALEC's May 2012 meeting in Charlotte, NC where Duke is headquartered (Charlotte Business Journal). This well exceeds the top annual ALEC membership fee of $25,000.
- Duke representatives Chuck Claunch and Bonnie Loomis are liaisons to ALEC's Energy, Environment & Agriculture (EEA) task force, which ghostwrites state laws attacking regional climate programs, controls for hazardous coal ash storage, renewable energy standards, EPA enforcement of clean air and water laws, and numerous other polluter handouts written and approved by the oil, coal and public relations companies in the EEA task force's filthy roster.
- Progress Energy's Kathy Hawkins and Jeanelle McCain are also involved in ALEC's EEA task force, further bloating Duke's influence within ALEC now that Progress is part of Duke Energy.
Duke has told the press that it doesn't agree with all of the EEA model bills, specifically attacks on renewable energy and reductions in greenhouse gases. This is deceitful, since such laws are at the core of ALEC's anti-environmental task force and have constantly evolved to match changes in political trends. If Duke doesn't support the purpose of this task force, then why is it offering up Duke stafff and money beyond its ALEC membership dues?
Beyond Duke's active participation within ALEC's anti-environmental task force, Duke has also positioned its operatives in two states to help oversee further fundraising and recruitment for ALEC.
Duke and ALEC in South Carolina
Duke's South Carolina Regional Director Chuck Claunch was handpicked by ALEC's State Chairmen in South Carolina to help fulfill their obligations to recruit new ALEC members, raise money, and other responsibilities detailed in ALEC's own IRS tax filings [PDF p.36]. Since Mr. Claunch is also part of ALEC's anti-environment task force, it's possible he helped create model bills that became South Carolina law. Also acting as a private sector co-chair in South Carolina is Progress Energy's Jeanelle McCain, another member of ALEC's anti-environmental task force. With the Duke-Progress merger now made official, it is unclear how Mr. Claunch and Ms. McCain may shift roles, or if Duke's influence in South Carolina is expanding through ALEC.
- Rep. Dwight Loftis
- Rep. Nelson Hardwick
- Rep. Bill Sandifer
- Rep. Jeffrey Duncan
- Rep. David Wolkins (EEA task force chair, 2011 ALEC legislator of the year, ALEC State Chairman in IN)
- Rep. Wesley Culver
- Rep. Brian Bosma
- Rep. Heath Van Natte
ALEC: Duke Energy partners with Koch Industries, Exxon, Peabody, Heartland, ACCCE, Art Pope...
While over 25 companies have dropped ALEC, including Walmart, Best Buy, Coca-Cola, McDonalds, John Deere, Dell and numerous others, Duke continues to staff and fund ALEC alongside ExxonMobil, BP, Koch Industries, Peabody Energy, and other major polluters to dismantle state environmental protections across the country.
So even though Jim Rogers says we should wean off of foreign oil, Duke conspires with multinational oil companies to attack climate solutions.
The oil majors are only one example of Duke's secretive partnerships that contradict its statements on climate change and sustainability. ALEC's EEA task force includes operatives from climate science denying groups like the Heartland Institute, Americans for Prosperity, the Atlas Economic Research Foundation, the Goldwater Institute, and the John Locke Foundation, all of which have enjoyed support from the billionaire Koch brothers and North Carolina political overlord Art Pope.
By participating in ALEC's anti-environmental task force, Duke continues to partner with representatives of the American Coalition for Clean Coal Electricity (ACCCE), a front group that Duke abandoned in 2009 when ACCCE's aggressive lobbying against national climate legislation became an obvious conflict of interest (and when ACCCE was caught up in a scandal involving fraudulent letters to Congress opposing climate legislation). Let us not forget that national climate legislation in 2009 essentially became a handout for major polluters like Duke who helped write the legislation.
Greenpeace recently released a new report detailing a Clean Energy Roadmap for Apple, highlighting progress Apple has made in using clean energy sources for its Cloud data centers while stressing that Apple is still far too dependent on coal-burning utilities like Duke Energy for its energy. While Greenpeace calls upon Apple to help shift the energy market in a cleaner direction, we are also asking Duke Energy to make a dramatic shift away from dirty coal, especially from destructive mountain top removal mining. Responding to Greenpeace, Duke Energy told CBS, "In North Carolina, we are allowed to buy non-mountaintop coal as long as the cost is not higher than conventional coal supply. Even if we wanted to pay more, we couldn't because the state mandates it."
Come on, Duke--you gave money to 115 of the 170 North Carolina legislators elected in 2010 and spent $19 million on federal and state political contributions during that election cycle alone. You are wrapping up your scandalous merger into the nation's largest utility company. If Duke wanted to strike down a mandate to use coal from the most destructive sources available, they could do it. Instead, Duke plays to its major strength: using clean PR to hide the dirty money it spends to hold our air, water and climate hostage with outdated, 20th Century energy.
Amid the sudden ouster of former Progress Energy CEO Bill Johnson and conflicts with ratepayers in multiple states, Duke already has plenty to be embarrassed about. Using ALEC to partner with the world's worst corporate citizens and climate science deniers gives Duke's other shames a run for their money.
In the name of transparent democracy, Greenpeace challenges Duke to disclose which ALEC model bills they have supported at ALEC meetings, whether by vote or through Duke sponsorship. Better yet, Duke should join the 30 companies and organizations who have cut ties with ALEC and its poisonous role in American politics.
Wake up and smell the frack fluid! But don't ask what's in it, at least not in Ohio, cause it's still not your right to know.
Ohio is in the final stages of making an Exxon trojan horse on hydrofracking into state law, and it appears that the American Legislative Exchange Council (ALEC) connected Exxon's lawyers with co-sponsors of Ohio Senate Bill 315: at least 33 of the 45 Ohio legislators who co-sponsored SB 315 are ALEC members, and language from portions of the state Senate bill is similar to ALEC's "Disclosure of Hydraulic Fracturing Fluid Composition Act."
...disclosure of fracking fluids? On behalf of ExxonMobil?!
Frack fluids include unknown chemicals that gas drillers mix with sand and large amounts of water. The mixture is pumped underground at high pressure in order to retrieve gas and oil by fracturing shale formations. These are the chemicals that have caused widespread concern among residents near gas fracking operations, concerns echoed by doctors who don't know how to treat patients harmed by exposure to chemicals that oil companies keep secret. Oil companies like XTO Energy, a subsidiary of ExxonMobil, the first company lined up to drill in Ohio's Utica shale.
Concern over unconventional energy like gas fracking may be the reason by Ohio SB 315 also addresses clean energy standards and drilling regulations. While the new law will allow doctors to obtain disclosure of fracking chemicals, it places a gag order on them...meaning some chemicals aren't disclosed to the public at all (Cleveland Plain Dealer). Instead, chemicals that subsidiaries of Big Oil use during fracking can remain exempt from public disclosure as "trade secrets," mirroring language of ALEC's model law.
What's most suspicious is that seven of the ten Ohio Senators co-sponsoring SB 315 are ALEC members, as are 26 of the 35 co-sponsoring Representatives.*
Among the co-sponsors are Ohio Senate President Tom Niehaus and state Senator Troy Balderson. Senators Niehaus and Balderson are members of ALEC's Energy, Environment and Agriculture task force, which approved the fracking "disclosure" bill internally sponsored by ExxonMobil, modeled after a Texas bill (see New York Times and ProPublica).**
Four of the co-sponsors of SB 315 attended ALEC's meeting in Scottsdale, AZ, although it is unclear which (if any) of them may have been inside the EEA task force meeting the day that the fracking chemical loophole bill was discussed and approved:***
- Rep. Cheryl Grossman
- Rep. Casey Kozlowski
- Rep. Louis Terhar
- Rep. Andrew Thompson
Some co-sponsors became ALEC members in the lead up to ALEC's late 2011 meeting in Scottsdale, AZ, where the fracking disclosure loophole model bill was finalized by ALEC's Energy, Environmental and Agriculture task force. Emails between representatives of ALEC, the Ohio state government and Time Warner Cable's Ed Kozelek show that last-minute recruitment of new ALEC members before the Scottsdale meeting brought in three state legislators who ended out co-sponsoring SB 315 (PDF pp. 71-76): Rep. Lou Terhar, Rep. Brian Hill and Sen. Bob Peterson (who was appointed to the Ohio Senate in 2012).
Head spinning yet? Let's summarize:
- Exxon pushed the fracking loophole bill through ALEC's [anti]environment task force,
- A couple of key Ohio legislators directly involved in that task force brought the bill back home...
- ...and then a pile of Ohio legislators used ALEC's model to mold Exxon's Ohio fracking disclosure loopholes into state law!
Beyond their involvement in these ALEC task force meetings, Exxon and API were involved in the creation of a similar fracking bill through the Council of State Governments before the ALEC model even existed. As if being a Private Empire isn't enough...
ALEC, CSG, OMG!
ALEC isn't the only group that peddles corporate-written state laws, as DeSmogBlog's Steve Horn pointed out in a blog on state fracking bills and the "Council of State Governments." With direct financial support from Exxon, API, TransCanada and others, the Council of State Governments (CSG) drafted a similar fracking chemical "disclosure" bill two months before ALEC's was internally approved, although they both appear to be modeled off of a Texas law.
While one of the co-sponsoring Senators of Ohio SB 315, Troy Balderson, is a member of CSG Midwest's Energy Committee, Ohio politicians aren't part of the Suggested State Legislature (SSL) committee that vetted the Council's version of the fracking bill. Because of that disconnect and the overwhelming influence of ALEC politicians sponsoring SB 315, ALEC appears to be the keeper of Exxon's fracking secrets in Ohio.
Regardless of the varying influence of groups like ALEC and CSG forging Big Business state laws, ExxonMobil is getting what it wants. According to Don't Frack Ohio!--a project of 350:
- Fracking companies can hide which chemicals they use in the fracking process by calling them ‘trade secrets’. That means they are exempt from telling you what they put in your water. What little they do disclose is 60 days after drilling takes place, too late for communities to test to show what was in their water before drilling, rendering the disclosure meaningless.
- The gas industry pays nothing for the mess they create. Gov. Kasich’s minor tax on individual wells is offset by new tax breaks on property taxes and other giveaways, which means the gas industry will pay less in Ohio taxes than they do in any other state in the country.
- No citizen notification or input will be allowed on any part of the fracking industry. There is no public notice, no public comment, and no right to appeal for drill sites, pipelines, or compressor stations.
Ohio Governor John Kasich has numerous ties to ALEC and was "involved with ALEC in its formative years," but he called for SB 315 to include full disclosure of chemicals used in hydraulic fracturing. Senators replaced true disclosure requirements with Exxon's loopholes and ALEC Representatives decided to leave them.
ALEC secrecy in Ohio
ALEC legislators have found ways to make their moves harder to track in light of repeated exposure of ALEC's pollution of democracy in the United States over the last year, and sometimes existing state laws don't help. Ohio's financial disclosure forms for legislators specifically mention that expenses or reimbursements from ALEC conferences do not need to be publicly disclosed. In Ohio and other states, ALEC dodges lobby laws through corporate-funded "scholarship" programs that are thoroughly documented by the Center for Media and Democracy through open records requests.
People for the American Way and Progress Ohio report that ALEC's scholarship fund in Ohio is financed donations from the American Petroleum Institute, Duke Energy, Reynolds Tobacco, and other major corporations interested in buying the loyalty of Ohio lawmakers.
I'm sure you'd understand if you were in the same position. Sometimes steak and cigars are more important than energy that doesn't poison us.
*Cross-referenced between a list of ALEC legislators listed in an Aug. 9, 2011 email from the legislative aid of ALEC's Ohio State Chairman, Rep. John Adams, obtained through a public records request (see PDF pp. 82-84 and PFAW p.12).
**ALEC documents published by Common Cause show that Sen. Balderson was a member of ALEC's EEA task force throughout 2011, although Sen. Balderson did not attend the ALEC task force meeting last December in Pheonix, AZ, according to a staffer at his office over the phone, nor is he listed in emails obtained through a public records request as attending the previous meetings in New Orleans (Aug. 2011) or Cincinnati (Apr. 2011). Ohio Senate President Tom Niehaus was a consistent member of ALEC's [anti]environment task force from August 2010-August 2011, the time period for which ALEC's EEA task force rosters are available. SB 315 co-sponsoring Representatives Carey, Damschroder and Derickson were all listed as members of ALEC's EEA task force as of August, 2011.
***Co-sponsors cross referenced with an email from ALEC Ohio State Chairman John Adams' legislative aid to Emily Petrovich of US Steel, dated 11/22/2011--eight days before the Scottsdale meeting (see PDF p. 138).
For those who missed the deep investigative piece published by InsideClimate News last week documenting a half-century of Koch Industries involvement in the destructive tar sands of Alberta, Canada, it has finally closed the coffin on a vicious round of lies straight from Koch Industries.
Through its aggressive KochFacts PR website, Koch lawyers, lobbyists and communications advisors hammered InsideClimate for its initial reports on the Koch connection to tar sands and the Keystone XL pipeline, specifically attacking the outlet's publisher and calling the reporting "deceptive," "untrue" and "utterly false," among other claims that, ironically, are deceptive, untrue and utterly false.
A major indicator of InsideClimate's diligence is the response from KochFacts this time around, which mentions nothing of InsideClimate's damning new documentation of ongoing Koch operations in the tar sands, including the following points from the article:
• The company is one Canada's largest crude oil purchasers, shippers and exporters, with more than 130 crude oil customers.
• It is among the largest U.S. refiners of oil sands crude, responsible for about 25 percent of imports.
• It is one of the largest holders of mineral leases in Alberta, where most of Canada's tar sands deposits are located.
• It has its name attached to hundreds of well sites across Alberta tracked by Canadian regulators.
• It owns pipelines in Minnesota and Wisconsin that import western Canadian crude to U.S. refineries and also distribute finished products to customers.
• It owns and operates a 675,000 barrel oil terminal in Hardisty, Alberta, a major tar sands export hub.
• And this year it kicked off a 10,000 barrel-a-day mining project in Alberta that could be the seed of a much larger project.
Zing! And since KochFacts says InsideClimate is simply driving "agenda-driven, dishonest journalism," let's see where exactly the outlet sourced this new round of information:
InsideClimate News has pieced together a rough picture of the company's involvement in the industry, using published reports from the National Energy Board of Canada; documents and data extracted from the website of Canada's Energy Resource Conservation Board; securities disclosures and filings of Koch businesses in Canada; court documents from an inheritance battle that pitted Charles and David Koch against their two other brothers; Canadian and U.S. media reports; company newsletters and press releases; and two books, one written by Charles Koch and the other the autobiography of a long-time Koch company director.
What say you now, Koch? Answer: not very much. The response from the Kochaganda machine this time around was delayed and notably underwhelming, recycling their previous talking points (which are dishonest) and ignoring all of InsideClimate's newest revelations.
This is probably because of the rock-solid documentation of Koch's historic and ongoing operations in the tar sands of Alberta. That and the fact that Koch lawyers directly told Representative Henry Waxman (D-CA) that they have "no financial interest in the project whatsoever," which I believe means they lied to a Congressman--expect them to split hairs over the definition of "financial interest" if Mr. Waxman follows up with Koch Industries, not that he hasn't tried. Both Energy & Commerce Committee chairman Fred Upton (R-MI) and Energy & Power Subcommittee chairman Ed Whitfield (R-KY) denied Waxman's requests to bring Koch before Congress to speak about Keystone XL.
Also noteworthy: the almost $60 million that the billionaire Koch brothers have funneled to groups that deny climate science, notably Koch support for the anti-environmental American Legislative Exchange Council (ALEC), and their million-dollar attack on California's Global Warming Solutions Act and its provisions to cut back high-carbon fuels from--you guessed it--the tar sands.
Read the new InsideClimate report at InsideClimate News: Koch Brothers' Activism Protects Their 50-Year Stake in Canadian Heavy Oils, as well as previous reports:
Stacy Feldman, "Koch Subsidiary Told Regulators It Has 'Direct and Substantial Interest' in Keystone XL," October, 2011.
David Sassoon, "Koch Brothers Positioned To Be Big Winners If Keystone XL Pipeline Is Approved," February, 2011.