Date: Mon, 12 Jul 1999 02:40:51 -0400 To: [EMAIL PROTECTED] From: NonProfit Accountability Project <[EMAIL PROTECTED]> Subject: U.S.A. Eco-Group EDF Corrupt on Global Warming? It Plans to Profit from Controversial "Flexibility Mechanisms" and to Aid Nuclear Power; Also the Global Climate Coalition Endorses EDF (Please forward far and wide, especially to journalists; the full report -- over 45,000 words, 240 plus references, and over 20 leaked EDF documents -- is available at http://www.erols.com/npap ) CRONY ENVIRONMENTALISM: REPORT CHALLENGES INTEGRITY OF THE ENVIRONMENTAL DEFENSE FUND'S (EDF) SUPPORT OF SENATOR CHAFEE'S "EARLY ACTION" GLOBAL WARMING BILL DO CONFLICTS OF INTEREST TAINT EDF'S ADVOCACY ON CLIMATE CHANGE AS WELL AS OTHER POLICY AREAS SUCH AS FREE TRADE, UTILITY DEREGULATION, AND CLEAN AIR WHERE EDF HAS PURSUED CONTROVERSIAL STANCES OPPOSED BY OTHER ENVIRONMENTALISTS? Report discusses EDF's partnership with anti-environmental, anti-labor corporate lobbyist C. Boyden Gray and EDF's endorsement by the Global Climate Coalition. EDF's motto used to be "Sue the bastards." The findings of a new report suggest that if EDF were to follow the motto today, it might very well sue notonly some of its own trustees and their clients, but itself as well. The Environmental Defense Fund (EDF) is a leading supporter of an effort by the U.S. Congress -- Senator Chafee's Credit for Voluntary Early Action bill (S.547) -- which provides potentially lucrative credits for activities alleged to mitigate global warming. Currently, Representatives Rick Lazio (RNY) and Calvin Dooley (DCA) are preparing to introduce a House version of the bill. Meanwhile many other environmental organizations as different as Greenpeace and Natural Resources Defense Council have opposed the Chafee bill; furthermore, several groups including the National Environmental Trust, Ozone Action, and Sierra Club have criticized the bill for "critical flaws=94 and =93gaping loopholes" that will favor large electric utilities and other big corporations making "dubious" efforts to address climate change. A new report from the NonProfit Accountability Project based to a great extent an leaked documents reveals that in EDF's support for the "early action" bill, EDF is engaged in self-dealing actions with conflict of interest written all over them. EDF created the Environmental Resources Trust (ERT) in 1997 and has provided funding, staffing and insurance for ERT; furthermore, three of ERT's seven board members are top-level EDF staffers. Administrative documents of ERT reveal negotiations for ERT to contract with the Edison Electric Institute and affiliated electric utilities for validation and management of the "early action" credits that would be created by the Chafee bill. Result: ERT profits from the policy advanced by the "early action" bill for which EDF is a leading supporter. Moreover, EDF's project ERT would profit from controversial "flexibility mechanisms" -- emissions trading and carbon sequestration strategies viewed as loopholes and opposed by many environmentalists around the globe. Debate over these mechanisms has contributed to a logjam at recent climate negotiations. It is problematic to say the least that EDF through its affiliate ERT has developed a financial stake in these disputed "mechanisms." ERT is chaired by C. Boyden Gray, a longtime opponent of global warming treaties and of environmentalists. Additionally, Mr. Gray chairs Citizens for a Sound Economy which has pressured Congress not to support the Kyoto Treaty, leading to the deadlocked situation that ironically EDF is trying to break with the =93early action=94 bill. Also he has recently been a lobbyist for an electric utility that will benefit from the Chafee bill. Considering Gray's record and his close ties to the corporate sector, questions arise regarding the integrity of ERT to act as an accrediting agency for greenhouse emission credits given to corporations. Furthermore, Gray=92s association with EDF=92s =93early action=94=20 scheme suggests that the policy is but a =93smoke and mirrors=94 effort to= earn corporations =93brownie points=94 for the semblance of addressing global warming. Other internal documents raise more questions regarding the agenda and integrity of EDF and ERT. These include: -- Plans to profit from "carbon sequestration" marketing, a controversial and questionably effective but business friendly response to the climate crisis. -- Negotiations to give potentially valuable greenhouse credits to a nuclear utility fell through in part because of the unreliability of the company's nuclear generating capacity. This lends credence to many environmentalists view that the Chafee bill is geared to "throw a lifeline to the nuclear industry." -- EDF's support for a multibillion dollar taxpayer bailout of so-called =93stranded costs=94 of Edison International=92s nuclear reactors; meanwhile, EDF's affiliate ERT simultaneously pursued a closed-door deal to benefit financially from marketing Edison's "green energy." -- A plan to market "green energy" to global natural gas company Enron to help it beat out Native American tribes competing to license a dam. Enron has a close tie to a vice-chair of EDF and has funded EDF's global warming exhibit. Also, EDF's board chair is an advisory director at Morgan Stanley which has substantial investments in Enron. -- A failed EDF/ERT effort to legitimize a self-chilling beverage can that released a potent greenhouse aerosol. The use of just one can would have been comparable to the emissions from driving 200 miles by automobile. -- In regard to ERT's intentions to market electricity, the group has received legal counsel from a law firm that represents major corporations in matters of utility restructuring and promotes its practice of litigating against environmentalists. -- A carbon trading partnership with Cantor Fitzgerald, a firm with a history of securities law violations. -- The possibility that EDF/ERT's activities may circumvent laws governing nonprofits, evident from the stated concern that their activities might draw critical attention from state attorneys general. -- The intent of ERT to hide from public and media scrutiny its contract with Niagara Mohawk. -- A coziness with the White House climate policy director who previously had given a climate reduction award to an Indonesian timber tycoon accused of rapacious logging, forest arson, and misappropriating funds meant for conservation. In EDF's advocacy of the "early action" bill, there are also conflict of interest issues in relation to EDF's elite trustees. EDF's board abounds with super-rich people, top executives of financial services firms, corporate lawyers, and public interest figures themselves beholden to special interests all with a financial interest in limiting the cost incurred by the corporate sector to address global warming. This report examines four EDF trustees who exemplify the above archetypes. John H.T. Wilson, EDF's chair, is advisory director of Morgan Stanley, a firm that provides financial services for and holds major investments in oil and auto companies, as well as several hundred million in stocks of the electric utilities for which the Chafee bill will be a financial windfall. James W.B. Benkard is a partner with the global corporate law firm Davis, Polk & Wardwell. He and his firm represent polluting corporations such as Exxon which would be interested in a global warming bill full of =93critical flaws=94 and =93gaping loopholes. Frank E. Taplin Jr. is a major stockholder and former director of the North American Coal Company(a.k.a. NACCO Industries), founded and predominantly directed and owned by his family, vesting him with a strong interest in watered-down global warming policy. NACCO has a problematic record on environmental and labor matters which makes Taplin's presence on EDF's board problematic to say the least. EDF Trustee Gene Likens, a scientist known as the father of acid rain, heads a group the Institute of Ecosystem Studies that is funded by an electric utility that will benefit from the Chafee bill. The President of the utility also acts as a trustee of the Institute. The report also notes that the financial interests of EDF trustees benefit from EDF's policy stances on free trade, utility deregulation, and clean air that have been criticized by other environmentalists. Further casting doubt upon EDF's independence, the report describes that there exists a revolving door between EDF and the U.S. presidential administrations, both current and past. Also, recently the U.S. Environmental Protection Agency granted EDF $175,000 to promote to the public the controversial strategy of greenhouse gas emissions trading, a strategy from which EDF's affiliate ERT will profit and by which politicians and corporations may appease environmental pressure to act on global warming. Symbolic of the overall questionable nature of EDF's global warming= advocacy, EDF is endorsed by the Global Climate Coalition, a leading lobby opposed to addressing global warming. Finally, the market-based components of the Clean Air Act of 1990 =97 which EDF crafted and supported =97 provide the basis for the carbon trading program of the Chafee bill. Yet the 1990 Clean Air Act has proven quite inadequate in addressing air pollution and EDF's market mechanisms have had problems. The public should be skeptical of EDF=92s advice on climate change, especially in light of extensive opposition from environmentalists and the plethora of conflict of interest issues as detailed by this report. Media Contact: Bernardo Issel=20 NonProfit Accountability Project (NPAP) P.O.Box 53238, Washington, DC 20009 http://www.erols.com/npap [EMAIL PROTECTED] 202 - 333 - 1855 ___________________________________________________________________ Mulai langganan: "subscribe envorum" ke [EMAIL PROTECTED] Stop langganan: "unsubscribe envorum" ke [EMAIL PROTECTED] Arsip di http://www.mail-archive.com/[email protected] atau di http://www.egroups.com/list/envorum
