Originally posted to PolluterWatch.
Mother Jones Magazine has uncovered a new twist in the fight against the Keystone XL pipeline. As it turns out, the authors who drafted the environmental review of the Keystone XL pipeline worked for Transcanada, Koch Industries, Shell Oil, and other oil corporations that stand to benefit from building the Keystone XL. Not only did the State Department know about these conflicts of interest, they redacted this information from public filings in attempt to conceal the truth.
For background, the Keystone XL is a proposed oil pipeline that would ship sour crude oil from the Canadian tar sands to the Gulf coast of Texas. The oil would then be refined and shipped abroad.
In order to build the pipeline, Transcanada, the company who proposed Keystone XL, must get the OK from the State Department. The State Department bases its decision on whether or not to approve the pipeline on an environmental review, conducted by a third party group overseen by the State Department and paid for by Transcanada.
This review, called the “draft supplemental environmental impact statement” was released earlier this month. It has been widely criticized as downplaying the impact that building Keystone XL will have on the climate, and all but paving the way for approval for the project.
The review was conducted by a company called Environmental Resources Management (ERM). When ERM released its review of Keystone, it also released a 55 page filing claiming that there was no conflicts of interest in writing the report. However, the State Department redacted information from this filing, including the biographies of key experts involved in writing the report.
According to Mother Jones, those redactions were meant to keep ties between the report authors and Transanada a secret from the public. Here is what the State Department was covering up:
- ERM’s second-in-command on the Keystone report, Andrew Bielakowski, had worked on three previous pipeline projects for TransCanada over seven years as an outside consultant. He also consulted on projects for ExxonMobil, BP, and ConocoPhillips, three of the Big Five oil companies that could benefit from the Keystone XL project and increased extraction of heavy crude oil taken from the Canadian tar sands.
- Another ERM employee who contributed to State’s Keystone report—and whose prior work history was also redacted—previously worked for Shell Oil;
- A third worked as a consultant for Koch Gateway Pipeline Company, a subsidiary of Koch Industries. Shell and Koch* have a significant financial interest in the construction of the Keystone XL pipeline. ERM itself has worked for Chevron, which has invested in Canadian tar sands extraction, according to its website.
However, this is not the first time that the State Department has been criticized for conflicts of interests involving TransCanada and Keystone XL.
From Mother Jones:
In October 2011, Obama’s reelection campaign hired Broderick Johnson, who had previously lobbied in favor of Keystone, as a senior adviser. Emails obtained by Friends of the Earth, an environmental group that opposes the Keystone pipeline, revealed a cozy relationship between TransCanada lobbyist Paul Elliott and Marja Verloop, an official at the US Embassy in Canada whose portfolio covers the Keystone project. Before he lobbied for TransCanada, Elliott worked as deputy campaign manager on Hillary Clinton’s 2008 presidential bid. Clinton served as secretary of state until recently.
The question is, how can the State Department get away with routinely ignoring or burying connections between the oil industry and regulators responsible for Keystone XL?


I don’t know. How did they murder all the soldiers in Iraq?
Those whore bastards! geeze I can remember when the gov’t EPA was something local factories feared. When they got up their ass there was no stopping them. Now they’re all whores. No wonder I still have uranium behind my yard and a glass full of leaded tap water. If there was any liberty left in the USA then the rights of the citizens should be be able to hold them accountable for crimes as evil as war criminals. But pockets are lined w/gold and offshore accounts & no tax LLC via Delaware. Humanity has been SOLD. Outta whack so much so I don’t see a light at the end of the pipeline anywhere. In fact I could be bought for a million not to post this. It is that easy.
so how do we find out how the state department gets away with lying? for the love of god, are their no honest people in government??? is all this unstoppable? is their any hope at all?
what does the comment mean to be shipped abroad? Meaning this Canada oil will be shipped overseas and not for our USA use?
Yes Barbara, one of the most outrageous things about the Keystone XL pipeline is that the oil shipped through it will be exported to other countries. In fact, the refineries that will process the tar sands crude are in “Free Trade Zones,” so they do not even pay taxes. Here is a good article on the exports:
http://online.wsj.com/article/SB10001424127887324392804578358791884145514.html
The tar sands have been bought by CHINA! The oil will be shipped to THEM,at the expense of our WATER,AIR,and LAND!!!
It’s time we took control back from these bastards!
The Keystone pipeline is an abomination that will devastate our environment. The environmental report hid the interplay of oil companies, their employees and their backgrounds, and the wealthiest of the wealthy (think Karl Rove).
We need to protect our environment – not destroy it.