renewable

Oops! CEO of Corporate Front Network Lied to Reporters - State Policy Network

  • Posted on: 18 November 2013
  • By: Connor Gibson

State Policy Network CEO Tracie Sharp

Last week, the Center for Media and Democracy and ProgressNow released a series of reports on how the State Policy Network coordinates an agenda carried out by affiliate "Stink Tanks" in all 50 states. Responding to questions from reporters, SPN's CEO Tracie Sharp demanded that each of the seemingly independent groups were "fiercely independent."

But Jane Mayer at the New Yorker reports Tracie Sharp said the opposite to attendees of SPN's recent annual meeting. In Oklahoma City last September, Ms. Sharp plainly told her associates how to coordinate a broad agenda and pander directly to the interests of billionaire funders like the Koch brothers and the Searle family for grants:

Sharp went on to say that, like IKEA, the central organization would provide “the raw materials” along with the “services” needed to assemble the products. Rather than acting like passive customers who buy finished products, she wanted each state group to show the enterprise and creativity needed to assemble the parts in their home states. “Pick what you need,” she said, “and customize it for what works best for you.” During the meeting,

Sharp also acknowledged privately to the members that the organization’s often anonymous donors frequently shape the agenda. “The grants are driven by donor intent,” she told the gathered think-tank heads. She added that, often, “the donors have a very specific idea of what they want to happen.” She said that the donors also sometimes determined in which states their money would be spent.

Tracie Sharp responded to the New Yorker with a generic statement that didn't address her contradictory statements. And who knows if there's anything useful she could say at this point, The State Policy Network was just caught with its pants down.

For those who don't spend their days reading about the inner workings of the corporate-conservative political machine, the State Policy Network isn't a familiar name. But it's an important entity. SPN serves as the umbrella of ALEC (American Legislative Exchange Council) and all of its state and national allies pushing a coordinated corporate-friendly agenda through all 50 states.

SPN and ALEC have led the coordinated attack on clean energy in states like North Carolina, Kansas and now Ohio. Dozens of SPN groups are longtime players in the Koch-funded climate change denial movement. By orchestrating against policies to lessen global warming impacts or by directly undermining the science, SPN's efforts have ranged from urging inaction on global climate treaties and forcing teachers to misrepresent climate science to their students.

Beyond shilling for the coal, oil, gas and nuclear companies bankrolling ALEC and SPN's operations, these coordinated entities attack public employee unions, wages and pensions, block Medicaid expansion, suppress legitimate voters, push to defund and privatize schools, and undermine choice in women's health.

And who pays for SPN's work in all 50 states?

SPN's main purpose is to advance the interests of its corporate funders: dirty coal and petrochemical industries, the tobacco giants, agribusiness, pharmaceutical companies, private education firms, tech and telecom companies, and the usual web of trade associations, law firms and lobby shops paid to represent each of those industries. Corporations use SPN to advance political campaigns they are typically embarrassed to associate with publicly.

The State Policy Network also serves to advance an ideological agenda that tends to undermine the interests of most Americans in favor of those who are particularly wealthy and well-connected.

The Koch brothers fit this description, of course. But they're joined by a legion of lesser known multi-millionaires and billionaires, sometimes coordinating directly with the Kochs.

These SPN funders include Richard Mellon Scaife, Phil Anschutz, Art Pope, the Coors family, the DeVos family, the Searle family, and the remains of the Bradley family fortune, to name a few of the better known of these sources of dark money. Few citizens recognize the names of this quiet minority of political puppetmasters, but people still feel the bruise of plutocratic spending as state and national politics are pushed to new extremes.

More on the State Policy Network can be read in the National Stink Tanks report. SourceWatch has the full list of SPN members and affiliates and SPN funders.

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Koch Industries funds ALEC and State Policy Network front groups to kill Kansas clean energy standard

  • Posted on: 11 March 2013
  • By: Connor Gibson

Crossposted from Greenpeace USA

UPDATE 2015: after three years of continued attacks, Koch Industries, Koch's Americans for Prosperity, the Koch-backed Kansas Chamber of Commerce and the state's wind industry lobby cut a deal to weaken the Kansas RPS law by making compliance voluntary. This was a largely symbolic political victory for Koch's lobbyists, since the state's utilities have already exceeded the 2020 target for renewable energy generation targets established by the law. This followed many failed attempts by ALEC legislators to freeze or repeal RPS laws in North CarolinaKansas, and many other states, ALEC legislators in Ohio froze its RPS law, effectively gutting the clean energy and energy efficiency incentives. Ohio state Senator and ALEC member Troy Balderson sponsored SB 310, which passed and was signed by early ALEC alumni Governor John Kasich. Troy Balderson, the third ALEC member senator in Ohio to introduce RPS attack legislation, is listed in ALEC's Energy, Environment and Agriculture task force rosters from 2011 (see ALEC EEA agendas from Cincinnati and New Orleans, from Common Cause's whisteblower complaint to the IRS about ALEC's lobbying activities). Balderson's ALEC affiliation was unfortunately unreported by Ohio press and bloggers. Despite a nationally-coordinated State Policy Network and fossil fuel industry attack on state RPS laws, Ohio is the only state that has allowed ALEC and SPN to undermine its own clean energy incentives, after quietly passing the RPS law with support from ALEC legislators back in 2008.

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.

Beacon Hill Institute
  • $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.

American Legislative Exchange Council (ALEC)

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 (member of ALEC's anti-environmental task force that created the Electricity Freedom Act)
While it's unclear if the lead House sponsor Rep. Dennis Hedke is directly affiliated with ALEC, he spoke directly with a Koch Industries lobbyist about the bill and has a close relationship with the Heartland Institute, which promoted one of his books.
 
The Heartland Institute:

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:
 

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

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

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.

Chris Horner is affiliated with several other Koch- and Exxon-funded State Policy Network affiliates such as the National Center for Policy Analysis and Tech Central Station (set up by DCI Group).

Grover Norquist and Americans for Tax Reform:

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

KOCH INDUSTRIES

  • 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:

 

 

Article composed with one of the best online HTML tools. Please purchase a htmlg membership to stop adding links to the edited documents.

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Will ALEC block EPA coal pollution safeguards at Illinois' controversial Prairie State Energy Campus?

  • Posted on: 26 February 2013
  • By: Connor Gibson

The U.S. Securities and Exchange Commission is investigating the Illinois-based Prairie State Energy Campus, a combined coal mine and power plant spearheaded by Peabody Energy, co-owned by eight public power companies based in the Midwest. Numerous cost overruns from construction delays and equipment problems at the Campus resulted in customers in several states having to pay for power well above market price.

While Peabody defends Prairie State Energy Campus (PSEC) from SEC scrutiny, a corporate front group has developed copycat legislation that could exempt dirty projects like PSEC from national clean air and water laws.

A model state bill developed by the American Legislative Exchange Council (ALEC) would block federal pollution regulations when coal is mined and then burned or altered within the borders of a single state. The "Intrastate Coal and Use Act," created within ALEC's Energy, Environment and Agriculture task force, is ideal for projects like Prairie State Energy Campus, which mines and burns coal on site.

By exempting the U.S. Environmental Protection Agency from overseeing permits for projects like Prairie State, ALEC's Intrastate Coal and Use Act leaves regulation to state agencies, which may have weaker pollution standards or simply lack enough staff to do their jobs, as the gas fracking boom has demonstrated.  

Peabody itself is a member of ALEC's anti-environmental task force, which readied the Intrastate Coal and Use Act for national distribution, and a member of ALEC's Private Enterprise Board, which may explain ALEC's role in promoting the Prairie State Energy Campus.

Materials leaked to Greenpeace after ALEC's most recent conference in Washington DC show that the American Coalition for Clean Coal Electricity, a coal front backed by companies including Peabody, was showcasing Prairie State at ALEC's conference. Files in a USB drive branded with the ACCCE logo contained three promotional videos for PSEC while a paper folder with the ACCCE logo contained a promotional brochure for the Campus. 

The ALEC model does not appear to have been introduced in Illinois, although ALEC has been busy pushing a wishlist of state laws for its dirty energy members companies like Peabody, Duke Energy and ExxonMobil.

One of ALEC's national priorities this year is to un-legislate state incentives for clean energy under the false premise that they have an adverse impact on electricity rates. While there appears to be no significant correlation between state clean energy standards and raised utility rates, the Prairie State Energy Campus is raising electricity prices, as reported last July in the St. Louis Post-Dispatch:

The St. Louis suburb [Kirkwood] needed a stable, long-term power source. The plant’s developers needed customers. The parties struck a deal — a 30-year contract that would supply more than half of Kirkwood’s electricity beginning in late 2011. The kicker: The energy produced at Prairie State would be cheap compared with market power prices at the time.

But now, as the first of two 800-megawatt generating units at Prairie State begin operations — six months late — the plant hardly seems the bargain it did five years ago.

The $5 billion price tag is 25 percent more than when the city signed on, driving up the price of electricity that Kirkwood and other cities are obligated to buy. And construction delays mean the city is getting nothing for the monthly $296,000 checks it began writing to Prairie State’s owners in February.

Because ALEC peddles copycat laws that benefit dirty and expensive coal projects while attacking clean energy incentives, renewable energy interests like the American Wind Energy Association and the Solar Energy Industries Association have abandoned ALEC.

History of ALEC's Adoption of the Intrastate Coal and Use Act:

An ALEC legislator in West Virginia named Gary Howell introduced a version of the Intrastate Coal and Use Act back in 2011; his bill inspired the current model bill that ALEC is distributing. Delegate Howell suggested that all of the top 20 coal producing states consider his legislation, indicating where watchdogs should keep their eyes peeled for ALEC's model legislation.

While the bills weren't passed in 2011, West Virginia is again considering the Intrastate Coal and Use Act in the 2013 session, renewing their attempts to keep the EPA from overseeing permits to burn coal from mountain top removal.

Another version of the Intrastate Coal and Use Act has surfaced in Kentucky.

In fact, it was the Kentucky-based Bluegrass Institute that sponsored ALEC's Intrastate Coal and Use Act within ALEC's anti-environmental task force, apparently based off of what WV Del. Howell has been introducing into his own legislature. Like ALEC, the Bluegrass Institute is a member of the State Policy Network, an umbrella organization for state and national think tanks and interest groups that are usually funded by the Koch brothers and company.

Coal's Broken Promises: Not Cheap, Not Clean

A 2005 Peabody company newsletter shows that PSEC was supposed to cost $2 billion, less than half its actual price. The cost estimate was later doubled to $4 billion before reaching its actual $5 billion price tag. According to a 2012 report by the Institute for Energy Economics and Financial Analysis:

Instead of being a source of low cost electricity, the first year cost of power from Prairie State is 40 to 100 percent higher than the current cost of power in the Midwest wholesale markets and is expected to remain higher than market prices for the next ten to thirteen years, if not longer.

The Campus proposal was supported by former Illinois Governor Rod Blagojevich (currently serving a 14-year prison sentence for corruption charges), who publicly supported construction of the plant and ate up Peabody's false promises of cheap energy. In Big Coal, author and journalist Jeff Goodell notes that Peabody's desire to build its own coal plant was to help burn its own reserves of high-sulfur coal from Illinois, which the market did not have much of an appetite for. A representative of the Illinois Office of Coal Development told Goodell, "Most power plants are built in order to generate electricity. Prairie State was really conceived more as a platform to burn Peabody coal." While Peabody sold all but 5% of its stake in PSEC to eight nonprofit power companies, it has been the driving force behind the Campus since 2001.

Goodell noted that even with its highly-touted pollution control equipment, PSEC is still a dirty coal plant. It still emits hazardous particulates, acidic gasses and heavy metals. It still dumps immense amounts of carbon dioxide into our atmosphere, the key greenhouse gas that is contributing to global climate change:

"Prairie State will emit more than 11 million tons [of carbon dioxide] a year, marginally less than a similar size coal plant built thirty years ago, but more than twice as much as every vehicle sold by the Ford Motor Company in a single year."

Illinois' bind demonstrates the lose-lose situation promoted by the coal industry: drink and breathe our pollution now, and pay more...now and later.

As clean energy becomes increasingly viable, even without considering the costs of fossil fuel pollution and climate change, some cities are taking matters into their own hands, including [the ironically-named] Carbondale Illinois, which recently established that 100% of its power will come from clean energy. Cincinnati, Ohio dumped Duke Energy and made a similar commitment, as have all municipal facilities in Austin, Texas.

But clean energy advocates be warned: the more the American public recognizes that 19th Century energy like coal is a thing of the past, the more the dirty energy industries are going to spend big to desperately defend their bottom lines.

Industry: