Will the American Energy Scorecard Ask Lawmakers to Reject All Subsidies?

The American Energy Alliance announced on Jan. 8 “the nation’s first and only free-market congressional energy accountability scorecard.” But how much of their new scorecard will be devoted to getting mature, highly profitable fossil fuel industries off corporate welfare?

ScorecardIn AEA’s announcement, it declares the new Scorecard will “educate lawmakers” and “empower the American people,” while holding our representatives accountable for their votes on important energy issues. The first issue that it demands lawmakers vote for is the Keystone XL pipeline.

Would an organization that believes so strongly in free markets and stands so firmly against subsidies for the wind industry also declare itself uniformly against subsidies for the oil, gas, and coal industries?

After all, that seems to be the principle of free markets as AEA defines them. If wind energy producers must “stand on their own two feet,” then shouldn’t fossil fuel producers, as well?

$18.5 Billion for Fossil Fuel Subsidies

According to an analysis by Oil Change International, the federal government’s subsidies for fossil fuel exploration and production have increased by 45% since 2009 to $18.5 billion per year.

tom_pyleAEA’s President Thomas Pyle declared in a statement published on its website on Dec. 17 that subsidies like the wind production tax credit (PTC) are like “taking money out of the pockets of hardworking Americans to stuff the stockings of foreign corporations and wealthy investors.” Pyle said we must “unwind this culture of cronyism.”

After more than a century of subsidies by the federal government to encourage the growth of oil, gas and coal, we have to wonder. Is Pyle serious about eliminating energy subsidies? Or is his demand of accountability just a bunch of wind?

I called the American Energy Alliance’s spokesperson Chris Warren and asked him if the scorecard would include lawmakers’ votes against fossil fuel subsidies.

No Straight Answer

“We’re going take these on a vote by vote basis,” said Warren. “I can’t give you a straight answer.”

I tried again. Would the AEA score votes on subsidies for the oil, gas, and coal industries?

“We’re against subsidies in general,” Warren declared. “We believe in free markets. Energy industries should be able to stand on their own two feet and compete.”

So, the American Energy Alliance is against all subsidies. Who knew? Maybe their scorecard might have some value after all.

 

Scott Peterson is executive director of the Checks and Balances Project, a Virginia-based watchdog that seeks to hold government officials, lobbyists and corporate management accountable to the public.

 

Fossil Fuel Front Groups’ Flawed Poll Ignores Century of Fossil Fuel Welfare

This week the American Energy Alliance and its President Thomas J. Pyle released a slanted poll meant to deliberately deceive the public by forgetting about 150 years of subsidies paid to the oil, gas, and coal industries. Its questions were carefully written to manufacture public opposition to tax credits that would spur the growth of the wind energy industry, as well as the EPA’s proposal to cut carbon emissions from existing coal-fired power plants.

“The federal government has been giving special treatment to green energy for decades either directly through handouts like the wind [Production Tax Credit] or indirectly through red tape like EPA’s proposed power plant rule,” Pyle wrote in an email to The Hill.

Fossil Fuel Front Groups’ Flawed Poll Ignores Century of Fossil Fuel WelfareI sent an email to Mr. Pyle and asked him about the poll. Nearly half of the 30 questions asked directly or indirectly about clean energy policy support. “I’m curious why you spent so much time on these types of questions when you didn’t ask any questions directly about welfare checks for fossil fuel companies?” I asked. I eagerly await his response.

Lavish subsidies

As a former lobbyist for the National Petrochemical and Refiners Association and for Koch Industries, Pyle should be intimately aware of the lavish subsides given to the fossil fuel industry. A report issued in April 2014 by Oil Change International shows that subsidies to oil, gas, and coal exploration and production companies continue to grow and totaled some $21.6 billion in 2013 alone. In fact, the fossil fuel exploration and production subsidies have increased by 45 percent since 2009.

Koch… Again?

It shouldn’t come as a surprise then, that Koch Industries co-owner and CEO Charles Koch founded AEA’s parent organization, the anti-clean energy Institute for Energy Research (IER), according to documents recently uncovered by Republic Report.  Most of the Koch fortune comes from the oil and gas industry.

As for the poll itself, it was conducted by MWR Strategies, a company that also lobbies for the fossil fuel industry. According to OpenSecrets.org, MWR Strategies was paid $470K from Koch; $570 from American Electric Power, and $770K from Southern Company. That, together with the nature of the poll questions themselves, calls into question the validity of the poll.

Why are they all so afraid of clean energy? We’re curious.

Scott Peterson is executive director of the Checks & Balances Project , a watchdog group that holds government officials, lobbyists and corporate management accountable to the public.