'Musk’s Snarky Eye-Rolling Tweet On Koch Bros’ Plan'

http://www.huffingtonpost.com/entry/koch-electric-vehicles_us_56c4d63ce4b0b40245c8cbf6
The Kochs Are Plotting A Multimillion-Dollar Assault On Electric Vehicles
02/18/2016  Peter Stone

[image  / DONKEYHOTEY/FLICKR
http://img.huffingtonpost.com/asset/scalefit_630_noupscale/56c622131e00002100702603.jpeg
(Kochs)
]

A new group could spend $10 million a year on the campaign.

Billionaires Charles and David Koch, prominent donors to conservative
causes, are now looking to put their money behind an advocacy group that
would promote petroleum-based transportation fuel and fight government
subsidies for electric cars, sources say. 

The oil and gas industry may have thought it had killed the electric car,
but sales -- boosted by generous government subsidies -- rose dramatically
between 2010 and 2014, and energy giants are worried the thing may have come
back to life. 

Time to kill it again. 
A new group that's being cobbled together with fossil fuel backing hopes to
spend about $10 million dollars per year to boost petroleum-based
transportation fuels and attack government subsidies for electric vehicles,
according to refining industry sources familiar with the plan. A Koch
Industries board member and a veteran Washington energy lobbyist are working
quietly to fund and launch the new advocacy outfit.

Koch Industries, the nation's second-largest privately held corporation, is
an energy and industrial conglomerate with $115 billion in annual revenues
that is controlled by the multibillionaire brothers -- and prolific
conservative donors -- Charles and David Koch. James Mahoney, a confidante
of the brothers and member of their company's board, has teamed up with
lobbyist Charlie Drevna, who until last year helmed the American Fuel and
Petrochemical Manufacturers, for preliminary talks with several energy
giants about funding the new pro-petroleum fuels group.

Late last year, Mahoney and Drevna flew into San Antonio to explain the need
for a new group to executives at two Texas refining giants, Valero Energy
and Tesoro Corp. Then, in late January, Mahoney moderated a seminar on
“Changing the Energy Narrative” at the brothers' twice-a-year retreat for
mega-donors in California. The panel drew a mix of CEOs from big energy
companies and other wealthy attendees who, in conjunction with the Koch
brothers, bankroll numerous conservative advocacy groups. And last month,
Mahoney and Drevna had further conversations with Koch executives about the
new project, sources say.

Neither Mahoney nor Drevna returned multiple calls seeking comment about the
new group. A Koch spokesman also didn't respond to a request for comment.

It’s not clear when the still-unnamed group will be launched, but energy
industry sources predict it’s likely to be up and running by this spring or
summer, and that Koch Industries -- or a Koch foundation or allied nonprofit
-- will be the lead financier.

“The fact that Jim Mahoney is leading the effort appears to indicate that
this is being driven by the business side of Koch,” rather than the
political operation that helps oversee the brothers' conservative advocacy
empire, said one refining industry source familiar with the early plans for
the new group.

Once launched, the new group is expected to use paid and earned media to
push its pro-petroleum transportation messages, and do research to bolster
the cause.

“I think they (are) approaching all the major independent refiners,” added a
second industry source, who requested anonymity because he had not been
authorized to speak about the private discussions. The group’s broad mission
will be to “make the public aware of all the benefits of petroleum-based
transportation fuels,” he explained, adding that “the current administration
has a bias toward phasing out” these fuels.

The source also stressed that the new initiative is partly attributable to
“electric vehicles and the subsidies for them." 

"They’re worried about state and community subsidies," he added. "In 20
years, electric vehicles could have a substantial foothold in the U.S.
market.”

The fledgling Mahoney and Drevna efforts seem to signal an expansion of
Koch-backed drives against subsidies and tax breaks for alternative fuels to
the transportation sector, at a time when support may be on the rise in
Washington and some states for boosting electric vehicles.

Industry analysts and conservatives familiar with Koch world say the new
initiative seems to fit the playbook that advocacy outfits backed by the
Koch network have deployed in recent years to fight solar and wind power,
battles that are fueled by ideology mixed with bottom line concerns.

“The Kochs have invested heavily in a pugnacious defense of fossil fuel
consumption,” said one conservative energy analyst. “They’ve done this in
the electricity sector, and as the debate shifts to transportation they’re
behaving true to form.”

Other energy analysts point out that electric vehicle usage is likely to
accelerate before long, which could catch a number of energy companies off
guard.

“Electric vehicle adoption started slowly, but it certainly is going to
follow an exponential growth trajectory,” said Varun Sivaram, an energy and
environment fellow at the Council on Foreign Relations. “Once electric
vehicle adoption hits a critical mass, I think it will take refiners,
petroleum producers and automakers by surprise.”

More broadly, some veteran energy lobbyists note that attacks on electric
vehicle subsidies could backfire.

"Producers and refiners need to be careful in going after clean energy
subsidies and incentives -- unless they're being paid for by the petroleum
industry," said Don Duncan, a former top lobbyist for ConocoPhillips (which
has now split in two). Duncan added that attacks on clean energy subsidies
potentially “could again refocus the debate on subsidies and incentives
enjoyed by producers and refiners."

Electric vehicles make up just 1 percent of the U.S. market, but some
analysts see them rising to as much as 5 percent by 2025. Much of the
impetus for boosting electric vehicles to curb climate change is coming from
the government in the form of tax breaks and subsidies, and that’s a key
reason why Koch and some refining industry allies are riled up.

Not long after the Obama administration took office, it set an ambitious
goal of having 1 million plug-in electric vehicles on the road by last year.
But only some 400,000 have reportedly been sold in the U.S. to date. In a
new effort to spur the electric car and driverless car markets, Obama early
this month called for a $10-a-barrel oil tax, a proposal that has little
chance of passing Congress.

For Koch and other large refiners, the impact of a growing electric vehicle
market could be significant down the road. Koch Industries' refining,
pipeline and exploration operations contribute a healthy chunk of its $115
billion in annual revenues.

In their early forays to find financial backers, Mahoney and Drevna have
turned to some old allies. Koch Industries has teamed up with Valero and
Tesoro before. In 2010, Valero and Tesoro were the leading donors behind a
multimillion-dollar California ballot initiative that was aimed at killing
new state standards to reduce carbon emissions. Koch was also a big donor to
the ballot campaign, which was defeated by environmental groups and other
liberal interests.

The new group’s formation comes in the wake of other discussions in Koch
circles, going back to 2013, about building a stronger pro-fossil-fuels
message. At a donor retreat in mid-2013, discussions were held about the
need to do more to bolster traditional fuels, according to an April 2014
email that Koch operative and fundraising honcho Kevin Gentry sent to scores
of donors.

In that email, Gentry alluded to the importance of a new initiative that
would “drive the national narrative around energy and the tremendous
benefits of reliable affordable energy for all Americans, especially the
less fortunate.” Gentry indicated that the energy initiative would be
mounted by Freedom Partners, the fundraising hub for the Koch donor network
which officially hosts the semiannual donor retreats.

To be sure, the Koch brothers and their network allies have long backed
several nonprofit groups that have spent millions of dollars to fight
alternative energy, notably wind and solar power projects, and poke holes in
climate change science and regulations. The Koch brothers have repeatedly
voiced skepticism that fossil fuel use contributes to global warming, and
have long maintained that subsidies and tax breaks for alternative energy
don't fit with their free-market libertarian ideology. 

In a twist, Koch interests held talks more than a year ago with Securing
America’s Future Energy, a group focused on reducing American dependence on
foreign oil, about making a sizable investment, say two sources familiar
with those talks.

SAFE, which was launched in 2006 with major funding from FedEx CEO Fred
Smith, never received any Koch money, a spokesperson said.

The group seemed an odd choice for a Koch investment: One of its key
priorities is promoting alternative transportation, including electric
vehicles.

While the full dimensions of the Mahoney-Drevna initiative aren’t clear,
some sources believe there could be some overlap with other advocacy outfits
backed by the Koch donor network. “The new organization may be doing work
that’s now being done by the Institute for Energy Research,” a Koch-backed
think tank, according to one source.

Although IER in recent years has issued several statements and papers
attacking electric vehicle subsidies as part of a broad pro-fossil-fuels
agenda, the new initiative is expected to expand the focus on electric
vehicles and sell its message to a bigger audience through ads to generate
more political backing.

Serendipitously, Drevna became a “distinguished senior fellow” at IER last
May, after he left his perch running the American Fuel and Petrochemical
Manufacturers. The month after Drevna came aboard, the think tank posted a
new paper attacking subsidies for a leading player in the electric car
market: Elon Musk's Tesla Motors.
[© huffingtonpost.com]
...
https://ecowatch.com/2016/02/19/koch-brothers-war-on-evs/
Koch Brothers Plotting Multimillion Dollar War on Electric Vehicles
February 19, 2016
...
http://jalopnik.com/koch-brothers-to-spend-millions-spewing-anti-electric-v-1760127883
Koch Brothers To Spend Millions Spewing Anti-Electric Vehicle Propaganda:
Report
[February 19, 2016]
...
http://trofire.com/2016/02/19/the-little-piggy-kochs-want-to-end-electric-car-technology/
The Little Piggy Kochs Want to End Electric Car Technology
February 19, 2016 ...  the Koch brothers are bound and determined to
sabotage American progress in a desperate attempt to keep their oil
interests relevant and flowing with cash ...
...
[OT
https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=pet&s=emm_epm0_pte_nus_dpg&f=a
Gas price $1/gal 1994, $2/gal 2004, $3/gal 2007
...
http://www.gasbuddy.com/GasPriceMap?z=3&lng=-111.95393335&lat=59.90183953195564
Gas price $1.75/gal 2016
...
(dated)
http://www.rollingstone.com/politics/news/inside-the-koch-brothers-toxic-empire-20140924
Inside the Koch Brothers' Toxic Empire
Sep 24, 2014 - Together, Charles and David Koch control one of the world's
largest fortunes, which they are using to buy up our political system ...
/OT]



http://swtimes.com/nationworld/analysis-elon-musk-s-snarky-response-koch-brothers-plan-kill-electric-cars
Analysis: Elon Musk’s Snarky Response To A Koch Brothers’ Plan To Kill
Electric cars
February 19, 2016  Tesla chief executive Elon Musk is rolling his eyes over
a secret new project by conservatives that’s reportedly aimed at undermining
the electric car market ... Musk tweeted, “Worth noting that all gasoline
cars are heavily subsidized via oil company tax credits & unpaid public
health cost”
When billionaires go to war, the rest of us grab the popcorn.
[© GateHouse Media]




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