The Wall Street Journal published an op-ed pushing for a lift on a decades-old ban on crude oil exports without disclosing that the authors' work was funded by the oil industry, which stands to benefit from its claims.
A Wall Street Journal op-ed by the lead authors of a study for the consulting group IHS Inc. argued that the Obama Administration "needs to lift the ban on oil exports." The co-authors advanced their report's claims that ending a 41-year-old ban on crude oil exports would spur domestic oil production, resulting in lower gasoline prices and fueled job creation. However, the Journal did not disclose that this study, titled U.S. Crude Oil Export Decision: Assessing the Impact of the Export Ban and Free Trade on the U.S. Economy, was funded almost entirely by oil and gas corporations, including industry giants ExxonMobil, Chevron, Chesapeake Energy, Devon Energy, and ConocoPhillips:
This research was supported by Baker Hughes, Chesapeake Energy, Chevron U.S.A., Concho Resources, ConocoPhillips, Continental Resources, Devon Energy, ExxonMobil, Halliburton, Helmerich & Payne, Kodiak Oil & Gas, Nabors Corporate Services, Newfield Exploration, Noble Energy, Oasis Petroleum North America, Pioneer Natural Resources, QEP Resources, Rosetta Resources, Weatherford and Whiting Petroleum.
In fact, several top business media outlets repeated the report's boldest claims when it was released in late May -- like that it would lead to $746 billion in investment into the U.S. economy or save U.S. motorists $265 billion by 2030 -- without disclosing its industry funding. CNBC, Bloomberg, USA Today's Money section, and the Wall Street Journal all covered the study with no mention of the oil giants that have a financial incentive to lift the ban on crude oil exports because it would allow them to sell more of their oil at the higher world price. USA Today even noted that two of the report's funders, ExxonMobil and ConocoPhilips, have been pushing for the White House to lift the ban -- but did not disclose their investment in the IHS report. Some outlets got it right: Reuters and conservative news site Breitbart (surprisingly) did mention that the IHS study was funded by oil and energy companies.
The crude oil export ban was enacted in the 1970s in response to an Arab oil embargo, which shocked the U.S. economy. The Center for American Progress explained that lifting the ban would "enrich oil companies," but "could increase domestic gasoline prices and reduce our energy security":
The increase in domestic oil supply, combined with the decline in demand, has also led to a significant decrease in foreign oil imports. These changes make us less vulnerable to a sudden foreign oil supply disruption that could cause price spikes. Unfortunately, the oil industry would squander this newfound price stabilization and energy security by lifting the ban on crude oil exports. Doing so would enrich oil companies by enabling them to sell their oil at the higher world price, but it could increase domestic gasoline prices and reduce our energy security.
Even Goldman Sachs supports keeping the ban - at least until the U.S. market reaches "saturation" where it's producing more oil than it can consume -- because it benefits the economy by keeping refining for U.S. workers.
Lifting the ban on crude oil exports would also be catastrophic for the climate, according to the Sierra Club. Oil Change International published a study finding that keeping the ban on crude exports is imperative for the United States to achieve its climate goals.
The Journal's failure to disclose the background these op-ed authors shared with the oil industry falls in line with a repeated lack of transparency about who the newspaper publishes. In 2012, the Journal was found to have "regularly failed to disclose the election-related conflicts of interest of its op-ed writers."
Image at the top obtained via Flickr user roseannadana with a Creative Commons license.
A Media Matters analysis found that California's largest-circulating newspapers are increasingly mentioning how climate change is worsening the state's wildfires. California has faced an extremely early and severe fire season in 2014, in line with climate research showing that over the last four decades, fires have grown millions of acres larger and the fire season has extended by about three months on average.
Fox News anchor Bret Baier lashed out against a local newspaper for refusing to publish denial of the basic fact that man-made greenhouse gas emissions are driving climate change.
Arizona Daily Sun editor Randy Wilson recently committed to reporting the facts on climate change. In a June 8 op-ed, titled "It's not censorship by ignoring those denying climate change," Wilson -- whose paper serves the residents of Flagstaff, Arizona -- wrote that while there is "room to debate the extreme predictions by some scientists," the "basic idea that human activities are accelerating the pace of global warming in an unsustainable way enjoys the same scientific consensus as the finding that smoking causes cancer." He asserted that debating the basic premise of climate change is actually harmful, acting as "a diversion from finding a solution to the problems raised by the answer to the question."
On the June 16 edition of Fox News' Special Report with Bret Baier, Baier declared that the newspaper, by choosing to omit climate denial, does not "have room for balance":
The Daily Sun op-ed falls in line with what is becoming a ubiquitous media norm that runs counter to what Fox News interprets as "fair and balanced." As the evidence becomes even more certain that humans are unequivocally driving catastrophic climate change (nearly 200 scientific organizations worldwide acknowledge man-made climate change), media outlets are taking a stance against false balance on global warming. The Los Angeles Times' letters editor similarly stated that the newspaper would not print letters with "an untrue basis" such as those "that say there's no sign humans have caused climate change." The New York Times' public editor Margaret Sullivan spoke out against false equivalence in their newspaper, and blogger Andrew Revkin expanded that false balance serves to "convey a state of confusion even as consensus on warming has built." And several CNN hosts have denounced media for presenting global warming as up for debate and for providing a stage to the vocal minority of climate change deniers (even though others on the channel occasionally violate this norm).
Conservative media are claiming that Environmental Protection Agency Administrator Gina McCarthy admitted she is waging a "war on coal" when, in fact, she has consistently stated that the EPA is simply meeting its obligation to serve public health with its new clean power plan.
In an interview with McCarthy on the June 13 edition of HBO's Real Time with Bill Maher, host Maher said that he has heard that the EPA's proposed "Clean Power Plan," which will for the first time implement standards for carbon pollution from existing power plants, amounts to "a war on coal," adding that he "hope[s] it is." McCarthy responded, "Actually, EPA is all about fighting against pollution and fighting for public health. That's exactly what this is." Maher responded "Oh, great."
The Weekly Standard declared that this meant that McCarthy "agreed with Bill Maher" that "the Obama administration is engaged in a war on coal." National Review, Twitchy and EHS Today all concurred. However, even the conservative Washington Examiner concluded that "[i]t appears Maher's glee was premature" after an EPA spokesperson clarified that McCarthy was not agreeing with Maher and has consistently stated that the agency is not waging a "war on coal."
Indeed, McCarthy has always responded to claims that the EPA is waging a "war on coal" by explaining that the agency is simply serving its public health mandate and that it is not "fair" to claim the EPA is targeting any one energy source without regard for the facts. For example, McCarthy's testimony before Congress earlier this year:
SEN. DEB FISCHER (R-NE): And do you think it's fair to say -- maybe the EPA has somewhat of a war on coal so that we can lessen our dependence upon coal in this country?
McCARTHY: Senator, I -- I don't think that that's fair to say. What we're trying to do is our job to protect public health by reducing pollution from some of the largest sources ...
McCARTHY: Of those pollutions. [Senate Committee on Environment and Public Works hearing, 3/26/14, via Nexis, emphasis added]
And in an interview with The New York Times:
"We don't have a war on coal," [McCarthy] said. "We're doing our business, which is to reduce pollution. We're following the law."
And an interview with Bloomberg News about the carbon pollution standards:
PETER COOK (Bloomberg News): The argument is this is a war on coal. You are putting coal out of business with this proposal.
McCARTHY: Well if you take a look at it, what we're projecting is that coal in 2030 will still be a very significant portion of the electric generating capacity here. And what we're hoping that folks will do is realize that this is an opportunity to actually make investments in coal, to make them more efficient so that we can have the best and cleanest facilities moving forward. But the ultimate choice is going to be up to the states. Do they want to shift towards more renewables? Do they want to focus on energy efficiency? Do they want to do all of those things together?
And we'll see how they end up, but we know that the - that the reductions that we put in state by state were based on what - what states are doing today and what we think they can do in each of those states moving forward in a way that will maintain reliability and affordability of the electricity supply. But every fuel will have a place moving forward. They just have to get cleaner. And in the end, we have to produce the carbon reductions that we need for public health. [Bloomberg TV, 6/3/14, via Nexis, emphasis added]
The so-called "war on coal" is empty political rhetoric. Here are facts that put the EPA's plan in context -- facts you likely won't hear from The Weekly Standard or National Review:
Business media have been spreading the myth that the Environmental Protection Agency's plan to rein in carbon pollution will harm the American manufacturing industry by increasing electricity prices. But a new report by a group of business leaders found that the manufacturing industry is at far greater economic risk from the extreme weather events that the EPA's clean power plan would help prevent.
When the EPA proposed standards for the carbon pollution driving climate change for existing power plants, several top U.S. business media outlets promoted claims that the rules would harm manufacturers. Reuters published two articles that uncritically repeated utility industry lobbyists' claims that the rules will "destroy jobs" at "manufacturing plants." The Wall Street Journal cited a steel industry spokesman that claimed the rules will "impede the post-recession growth of American manufacturing" without criticism, and the newspaper's editorial board suggested that the rules will "punish" regions that rely on manufacturing. Fox Business' Lou Dobbs Tonight hosted Steve Milloy, a policy director at coal giant Murray Energy, who lambasted the rules, stating: "if you work in manufacturing, do you want to see your job exported to China?"
However, an analysis by Business Forward -- an association of American business leaders focused on sound public policy -- found that extreme weather events will have severe economic impacts on the automotive manufacturing industry in the United States, while any increase in electricity prices as a result of turning to clean power will have minimal costs for the manufacturing industries. The analysis has not been covered* by the prominent business media outlets that promoted claims that the standards would harm manufacturers.
For example, automakers, who represent the nation's largest industrial sector, are extremely vulnerable to disruptions in the global supply chain caused by extreme weather events. The study found that extreme weather events -- many of which are happening more frequently -- can cause an auto assembly plant to shut down at immense costs of $1.25 million or more per hour. Business Forward explained that even when extreme weather events happen on the other side of the globe, they impact manufacturers:
Because supply chains are global, disruptions on the other side of the planet can slow down or shut down an American factory. For example, in October 2011, severe floods in Thailand affected more than 1,000 industrial facilities. Production by consumer electronics manufacturers in the U.S. dropped by one-third.
The carbon standards, by contrast, would cost the automotive industry far less because electricity is a "comparatively small portion" of their total costs. The report found that if electricity costs increased by 6.2 percent by 2020, it would add less than $7 to the cost of producing car that sells on average for $30,000. Overall, this would cost the average auto assembly plant about $1.1 million, or the equivalent of less than an hour of assembly line downtime at a single auto plant each year. The EPA estimates that electricity prices will increase slightly as a result of the standards, but efficiency improvements will lower electric bills by 2025.
A Media Matters analysis of Fox News coverage of the Environmental Protection Agency's proposed carbon pollution standards finds that long after a report from the Chamber of Commerce was discredited, Fox News continued to cite it. In addition, Fox News only hosted politicians who opposed EPA standards and who have altogether received over $1.6 million in contributions from fossil fuel industries in 2014.
A frequent Fox News guest who has contributed to a white nationalist website attacked Neil deGrasse Tyson, an astrophysicist and host of FOX's Cosmos, for speaking out about racial profiling he has experienced.
Gavin McInnes, who co-founded Vice but left the company in 2008, reportedly because he was a "liability," said he "hate[s]" Tyson and complained about Tyson stating that he has been racially profiled in stores on the June 3 edition of Fox News' Red Eye:
MCINNES: I hate this guy [...] White liberal nerds love this guy so much, he could defecate on them like Martin Bashir's fantasies and they would dance in the streets. All he does is, he's drunk with adulation. And he talks about things like "when I was young in New York I would get racially profiled when I'd go into stores." Back then he looked like he was in The Warriors. He had a huge afro and a cutoff shirt and New York was a war zone. Sorry, you fit the profile.
McInnes was apparently referring to a panel discussion at the Center for Inquiry in which Tyson discussed how many adults tried to steer him away from a career as a scientist as a child, and said that he has been racially profiled in stores (starting 1 hour, 1 minute and 30 seconds in):
McInnes used to write for VDARE.com, which the Southern Poverty Law Center identifies as a "White Nationalist" "hate group," and stated in 2011 "I love me some VDARE." In one post for VDARE.com, McInnes compared a Canadian university to a "madrassa" because it wouldn't host Jared Taylor, a white nationalist who advocates for founding all-white towns.
McInnes currrently writes for Taki's Magazine, a "paleoconservative" website that publishes overtly racist articles including ones by neo-confederates. At Taki's, McInnes has referred to Asian-Americans as "slopes" and "riceballs," suggested Muslims are "stupider" and "more violent" due to inbreeding, defended blackface because some minstrel shows were "just mimicking black people" and "fun," backed the racist comments of Duck Dynasty's Phil Robertson, and argued that to yell the n-word at someone is "not racist" but "just very rude." He also owns his own website, StreetCarnage.com, where he defended Nevada rancher Cliven Bundy's racist comments because Bundy was just "wonder[ing]" if African-Americans were better off under slavery. In 2013, 18 Milling Rising gave him a "Lifetime Achievement Award in Hipster Racism," a brand of racism marked by making "ironically" racist "jokes."
He has also compared being a single mother to "child abuse," claimed that women who join the workforce are generally not doing what "they naturally want to do," and said that having short hair is like "rape."
Greg Gutfeld, co-host of The Five and host of Red Eye, is one of McInnes' biggest fans and hosts him often. According to a Nexis search, Fox News' Hannity has also hosted McInnes frequently -- 18 times so far in 2014.
An Associated Press article about the Environmental Protection Agency's proposed regulations to cut carbon emissions failed to disclose that Americans for Prosperity (AFP), a source it cited criticizing the proposal, is a front group for the Koch brothers that routinely makes false attacks against clean energy initiatives.
A June 2 AP article reported that Colorado could serve as a model for reducing carbon emissions while handling its energy needs, following comments from the Obama Administration and Sen. Mark Udall (D-CO). The article cited Dustin Zvonek, the Colorado director of Americans for Prosperity, which the outlet described as a group "which warns the EPA's rules would cost billions and lead to higher energy costs," but failed to mention the organization's oil industry funding:
"There's still a lot to be clarified," said Dustin Zvonek, Colorado director of the group Americans For Prosperity, which warns the EPA's rules would cost billions and lead to higher energy costs. Zvonek said Colorado's action to cut carbon emissions may have only prompted an even lower bar to meet.
"Are we going to be penalized or punished for the fuel-switching standard and therefore take an even bigger hit? That's not clear," Zvonek said.
Among AFP's major supporters are brothers David and Charles Koch, their charitable foundations and their company, Koch Industries, Inc., which has significant operations in oil and gas exploration and coal supply and trading. A 2012 report by the International Forum on Globalization explained that the Koch brothers have used their wealth to attempt to block legislation or rules aimed at mitigating the damage climate change is causing.
Greenpeace reported that AFP has received nearly $6 million from Koch-affiliated groups from 2005-2011.
Editorial boards across the country continue to use the Chamber of Commerce's study to claim that the Environmental Protection Agency's new carbon pollution standards will cost jobs and increase electricity bills, even though that study incorrectly assumed that the standards would be stricter and would require expensive technology.
The Daily Beast is dubbing the Environmental Protection Agency's new clean power plan "Obamacare for the Air" in part because it is "intensely polarizing." But the reason that the standards are "polarizing" is that, just like with Obamacare's individual mandate, Republicans have abandoned their previous support for addressing this pressing issue with market-based policies as they move further to the extreme right.
On June 2, the EPA proposed the first standards for carbon pollution from existing power plants, which would allow states flexibility on how to achieve the pollution cuts. States could, for instance, mandate installations of new clean power technology or join regional cap-and-trade programs that take a market-based approach to promoting clean power. The Daily Beast's Jason Mark labeled the standards "Obamacare for the Air" because both plans are "numbingly complex," "based on a market system," "likely to transform a key sector of the economy," and "guaranteed to be intensely polarizing." The Christian Science Monitor's David Unger similarly compared the standards to Obamacare in part because they are "controversial." The editor in chief of the Daily Beast, John Avalon adopted the analogy on CNN's New Day, calling it a "long-time liberal priority."
Both articles left out why the EPA standards are contentious among the political class: it's not because the proposals are "liberal," but rather because the Republican party has shifted so far to the right that it now attacks proposals that it once advocated for. Many prominent Republicans supported a cap-and-trade program before Barack Obama was elected president, just as they once supported the individual mandate in Obamacare. In fact, the greenhouse gas emissions cuts that Sen. John McCain proposed during the 2008 election were far more extensive than the EPA's current proposal. The video below by Media Matters Action Network shows how Republicans used to talk about climate change in ways that they never would today:
As the Republican Party shifted to the right, so too did the conservative media. The Wall Street Journal editorial board previously stated that "the Bush Administration should propose a domestic cap-and-trade program for carbon dioxide that could, of course, be easily expanded to Canada and Mexico. And then to Latin America. And then the world." Now the paper's editorials deride this conservative idea as "cap-and-tax." Yet mainstream reporters are often loathe to point out this profound shift, sticking instead to "both-sides-to-blame reporting."
The Environmental Protection Agency's forthcoming regulations on greenhouse gas emissions will provide legally required protection for the health and welfare of Americans at a cheap cost, while allowing states flexibility -- contrary to media fearmongering about the landmark standards.
The Wall Street Journal continued its crusade against clean air, calling on the Supreme Court to put an end to centuries-old state lawsuits that hold polluters accountable for the "smoke, dust, poisonous chemicals, and noxious odors" they dump on their neighbors, despite previously arguing for state-level solutions to air pollution.
The WSJ has a long history of blanket opposition to class action lawsuits, regardless of the merits of the case. It has called class actions nothing more than a "windfall" for plaintiffs lawyers despite the fact that such lawsuits are often the only avenue for legal redress for many consumers. Class actions are often the most effective tool to punish corporate plaintiffs whose behavior cause Americans injury or harm, yet the WSJ has falsely accused federal judges (like conservative Seventh Circuit Court of Appeals Judge Richard Posner) of not following and having "disdain for" Supreme Court precedent, just for allowing class action lawsuits to proceed.
In its most recent editorial on the subject, the WSJ complained that the Supreme Court should "polish off" a new series of class action lawsuits that seek relief for injury caused by air pollution or the physical effects of climate change caused by such pollution. Based on long-established state common law -- judge created doctrine as opposed to legislatively-enacted law -- that redresses personal injury caused by nuisance, trespass, or negligence, these suits allow landowners to bring civil claims against factories and power plants whose air pollution has negatively interfered with their property rights.
In 2011, the Court ruled that federal common law does not provide for civil nuisance claims seeking injunctions against polluters because the federal Clean Air Act (CAA) displaced such litigation, but the question of whether the CAA applies to state common law was explicitly left unanswered. Although the 2011 case sought a court order to stop pollution that caused global warming, other lawsuits based on the state version of common law only seek damages for the air pollution itself, regardless of its contribution to climate change. But the WSJ complained that allowing these more traditional class actions to go forward would "lead to a state-by-state chopped salad of pollution controls," even though it has previously argued that managing pollution should be largely left to the states rather than the federal government.
From the May 28 edition of MSNBC's The Ed Show:
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Fox News brushed aside the value of Environmental Protection Agency research grants for clean cooking and heating technologies, saying that the dangerous indoor pollution from dirty stoves is only "a mere contribution" to 4.3 million deaths, and fearmongered that the EPA would soon come after American stoves. However, even Fox News' "favorite" environmental pundit has said that the fact that millions are dying from dirty cooking stoves -- more deaths than from AIDS and malaria combined -- is an "immediate problem."
From the May 28 edition of Premiere Radio Networks' The Rush Limbaugh Show:
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