Exposed: State Dept.'s Keystone XL Contractor Blatantly Lied About Ties to Big Oil

Search form

Exposed: State Dept.'s Keystone XL Contractor Blatantly Lied About Ties to Big Oil

Exposed: State Dept.'s Keystone XL Contractor Blatantly Lied About Ties to Big Oil
Fri, 7/12/2013 - by Steve Horn
This article originally appeared on DeSmogBlog

The contractor the Obama U.S. State Department hired for the Supplemental Environmental Impact Statement (SEIS) of the northern half of TransCanada's Keystone XL (KXL) tar sands export pipeline overtly lied on its conflict-of-interest disclosure form that it signed and handed to State in June 2012.

A major research dossier unfurled today by Friends of the Earth-U.S. (FOE-U.S.) and The Checks & Balances Project (CBP) shows that Environmental Resources Management, Inc. (ERM Group) played "Pinocchio" in explaining its ties - or as they say, lack thereof - to Big Oil, tar sands and TransCanada in particular on its conflict-of-interest form.

The two groups dug deep and revealed State's contractor ERM and its subsidiary Oasis Environmental both have ongoing contractual relationships with the Alaska Gas Project - now known as the South Central LNG Project - co-owned by TransCanada, ExxonMobil, ConocoPhillips and BP. Further, ERM's Socioeconomic Advisor Mark Jennings served as a "Consultant to ExxonMobil Development Company for the Alaska Pipeline Project," according to his now-scrubbed LinkedIn profile.

ERM's own documents - FOE-U.S. and CBP further explain - also reveal the multinational firm has business ties with over a dozen companies active in the Alberta tar sands, including Exxon, Shell, Chevron, Conoco Phillips, Total and Syncrude.

On its conflict-of-interest form, ERM said it had no "direct or indirect relationship ... with any business entity that could be affected in any way by the proposed work." Clearly, that's far from the case.

In March, ERM Group - a City of London-based dues-paying member of the American Petroleum Institute (API) with a history of rubber-stamping ecologically hazardous oil and gas infrastructure projects - said KXL's northern half "is unlikely to have a substantial impact on the rate of development" of the tar sands in its SEIS. Thus, it will also have little impact on climate change, according to ERM's SEIS, contracted out by TransCanada on behalf of the State Department.

FOE-U.S. says these most recent developments further call the entire SEIS into question, and that doesn't include the fact that State recently revealed it's clueless as to the exact route of the Keystone XL.

"From the beginning, the State Department's review of Keystone has been plagued by influence peddling and conflicts of interest," said FOE-U.S.'s Ross Hammond in a press statement.

"This is more serious: If ERM lied about its relationship with TransCanada, how can Secretary Kerry, President Obama or the American people believe anything the company says about the pipeline's environmental impact?"

As PLATFORM London explains, ERM Group - also a dues-paying member of fracking industry lobbying force Marcellus Shale Coalition up until Oct. 2011 - is part of the "Carbon Web." That's shorthand for "the network of relationships between oil and gas companies and the government departments, regulators, cultural institutions, banks and other institutions that surround them."

Given the state of play, both FOE-U.S. and CBP have called for State's Office of the Inspector General to conduct a thorough investigation, examining how and why ERM was chosen. They've also called for a complete halt in the KXL review process until that transpires.

“Secretary Kerry must halt this flawed review process and direct the State Department to conduct a full, unbiased review of the Keystone XL pipeline’s impact," Gabe Elsner, director of CBP said in a press statement.

"In addition, the State Department Inspector General should pursue a full investigation into how a contractor with clear conflicts of interest was allowed to write the U.S. government’s assessment of Keystone XL and why the State Department failed to bring those conflicts of interest to light. Finally, the State Department should determine appropriate disciplinary actions for ERM to discourage contractors from lying to the federal government in the future."

Friends of the Earth U.S. has set up an action page where concerned citizens can send letters to State Secretary John Kerry calling for an investigation into the many conflicts of interest scandals within the environmental review process.

 
 
 
 

Article Tabs

Community Environmental Legal Defense Fund, community bill of rights, Mothers Against Drilling in Our Neighborhoods

Across the country, battles are raging as communities attempt to protect the air, soil and water within their borders and the safety of their residents.

prison divestment campaign, criminal justice reform, Columbia Prison Divest, Corrections Corporation of America, GEO Group, Dream Defenders, incarceration rates, Student Alliance for Prison Reform

Columbia Prison Divest pressured the university to dump $8 million in Corrections Corporation of America, the country’s largest private prison company, as well as shares in other behemoths of the private security industry.

Barnesville, Gulfport Energy, Environmental Protection Agency, Antero

A tiny town in eastern Ohio is being sued by an Oklahoma-based oil and gas company that bought more than 180 million gallons of water from the town last year.

History shows that liberals need radicals.

American Legislative Exchange Council, ALEC, BP, climate change denial

Oil company BP said on Monday it has stopped supporting conservative political group ALEC, becoming the latest corporation to end its membership in a group critics say works to deny the existence of climate change.

Until the federal government gets serious about bailing out America’s students and instituting free, public higher education for all who apply, America’s student debtors should refuse to make any further payments.

Posted 5 days 16 hours ago
fracking studies, anti-fracking movement, fracking ban, Real Media, Debt Resistance UK, Anti-Daily Mail week, WailOnline, Blockupy, Occupy Rupert Murdoch

Imagine a world where the 1% doesn't have a monopoly over science and news – but where we can instead think for ourselves.

Posted 6 days 12 hours ago

Indigenous women make up 4.3% of Canada's female population – but represent almost half of the number of women murdered in the country.

Posted 3 days 6 hours ago

In this week’s episode of Act Out!, Eleanor talks clowns, burning cars and the riots against austerity in Europe, while looking at the role of art in activism and giving you some tools to get started.

Posted 4 days 14 hours ago
money in politics, Citizens United, Edward Snowden, kleptocracy, surveillance programs, NSA, whistleblowers

Welcome to 1% Elections, the privatization of the State, a fourth branch of government, and the demobilization of "We the People."

Posted 5 days 15 hours ago
Ferguson protests, Michael Brown, Eric Holder, income inequality

The Justice Department report on Ferguson demonstrates how economic hardship and racial tension feed off each other.

Until the federal government gets serious about bailing out America’s students and instituting free, public higher education for all who apply, America’s student debtors should refuse to make any further payments.

History shows that liberals need radicals.

Indigenous women make up 4.3% of Canada's female population – but represent almost half of the number of women murdered in the country.

Sign Up