Obama's Energy Pick Has Questionable Industry Ties

3 posts / 0 new

Another Obama appointee that has ties to the industry he would regulate. Please view the whole Democracy Now transcript.

http://www.democracynow.org/2013/3/26/energy_nominee_ernest_moniz_criticized_for

"Energy Nominee Ernest Moniz Criticized for Backing Fracking & Nuclear Power; Ties to BP, GE, Saudis

President Obama’s pick to become the nation’s next secretary of energy is drawing criticism for his deep ties to the fossil fuel, fracking and nuclear industries. MIT nuclear physicist Ernest Moniz has served on advisory boards for oil giant BP and General Electric, and was a trustee of the King Abdullah Petroleum Studies and Research Center, a Saudi Aramco-backed nonprofit organization. In 2011, Moniz was the chief author of an influential study for MIT on the future of natural gas. According to a new report by the Public Accountability Initiative, Moniz failed to disclose that he had taken a lucrative position at a pro-drilling firm called ICF International just days before a key natural gas "fracking" study was released. Reaction to his nomination has split the environmental community. Advocacy groups such as Public Citizen and Food & Water Watch are campaigning against Moniz’s nomination, but the Natural Resources Defense Council has praised his work on advancing clean energy based on efficiency and renewable power. We speak to Kevin Connor of the Public Accountability Initiative and ProPublica reporter Justin Elliott, who have both authored investigations into Moniz’s ties to industry.

Much of the criticism of Moniz centers on his extensive ties to industry. He has served on advisory boards for oil giant BP and General Electric and was a trustee of the King Abdullah Petroleum Studies and Research Center, a Saudi Aramco-backed nonprofit organization. In 2011, Moniz was the chief author of an influential study for MIT on the future of natural gas. According to a new report by the Public Accountability Initiative, Moniz failed to disclose that he had taken a lucrative position at a pro-drilling firm called ICF International just days before the study was released.

Moniz’s nomination prompted us at the Public Accountability Initiative to take a closer look at an influential study that MIT did on "The Future of Natural Gas," as it was called, in 2011. It was issued by the Energy Initiative, which Moniz was the director of. And it gave a very pro-gas—put a very pro-gas spin on fracking and shale gas extraction, said that natural gas was a bridge or will be a bridge to a low-carbon future, said that the environmental impacts related to fracking are challenging but manageable, and also endorsed natural gas exports, which is a very industry-friendly position to take.

I’m actually not sure of his salary at MIT. I don’t believe it’s publicly disclosed there, though it will be released in his financial disclosures. But as a board member at ICF International, which is an oil and gas—well, it’s a consulting firm with a significant energy practice and significant oil and gas ties—he’s made over $300,000 in the past two years since joining the board. This is a position where he attends several meetings a year. It’s certainly not a full-time position, and yet he’s making over $150,000 a year in stock and cash compensation. So these are not insignificant financial ties he has.

One critical conflict of interest I didn’t note earlier was that one of the study authors, John Deutch, was on the board of Cheniere Energy, a liquefied natural gas company, LNG export company. That wasn’t disclosed in the study. The study actually endorsed natural gas exports. He has a $1.6 million stake in that company. MIT Energy Initiative

AMY GOODMAN: Kevin, John Deutch, the former head of the Central Intelligence Agency?

KEVIN CONNOR: Exactly. Former director of the CIA was actually a study author here and is on the board of the only company in the U.S. to receive permits to export LNG from the lower 48 states. And again, this study endorsed LNG exports on fairly—a fairly thin basis of evidence and didn’t disclose this connection, which is really, again, quite outrageous."

DynoDon
Joined:
Jun. 29, 2012 10:24 am

Comments

And the revolving door goes round and round, round and round...

miksilvr
Joined:
Jul. 7, 2011 12:13 pm

Business as usual at the Obama White House... Now, a newsworthy story would be when Obama appointed someone to a position who wasn't an insider, a corporate executive, CEO, or a banker... Obama is simply staying true to his character....

norske's picture
norske
Joined:
Jul. 31, 2007 4:01 pm

Currently Chatting

Time to Rethink the War on Terror

Thom plus logo

When Eric Holder eventually steps down as Attorney General, he will leave behind a complicated legacy, some of it tragic, like his decision not to prosecute Wall Street after the financial crisis, and his all-out war on whistleblowers like Edward Snowden.

Powered by Pressflow, an open source content management system