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Obama's climate plans spark lobbying boom by Shell, Boeing, 3M

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Bloomberg Washington
Last Updated : Jan 20 2013 | 8:47 PM IST

President Barack Obama’s push for a climate-change law this year has set off a lobbying boom on Capitol Hill, where companies are registering to weigh in at a rate of about one every business day.

Representative Henry Waxman, the California Democrat crafting legislation in the House, and other lawmakers said they haven’t seen this much intensity since 1993, when the pharmaceutical companies and insurers lined up to combat President Bill Clinton’s proposal, championed by his wife, Hillary, to provide Americans with universal health care.

“We’ve certainly had a steady stream of people in to talk to our staff,” said Waxman, 69, chairman of the House Energy and Commerce Committee.

So far this year, 82 firms, trade groups and companies such as Royal Dutch Shell PLC, Boeing Co and 3M Corp have signed up to lobby on climate change, Senate filings show. That’s more than four times as many as are registered to lobby on another issue that is mobilizing business, a law that would make it easier for workers to join unions.

The wrangling involves every one of Washington’s top 10 lobbying firms in terms of revenue, including Akin Gump Strauss Hauer & Feld LLP, Cassidy & Associates and Ogilvy Government Relations.

Joel Jankowsky, a senior executive partner at Akin Gump, said his team has been meeting with members on the House Ways and Means, Energy and Commerce, and Science Committees. The firm represents clients such as the Hague, Netherlands-based Shell and Deerfield, Illinois-based CF Industries Holdings Inc, a maker of nitrogen and phosphate fertilizers.

Holland & Knight LLP has expanded its team to meet the demand for representation, and is using former Democratic lawmakers Gerry Sikorski and Jim Davis to press the case of clients such as the Washington-based American Forest & Paper Association, which represents companies such as Federal Way, Washington-based Weyerhaeuser Co and Memphis, Tennessee-based International Paper Co.

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The measure being pushed by Waxman and Representative Edward Markey, a Massachusetts Democrat, would set up a so-called cap-and-trade programme.

It proposes cutting carbon-dioxide emissions 17 per cent from 2005 levels by 2020. The plan, which Obama, 47, has endorsed, would require power plants, factories and other large polluters to obtain permits to emit greenhouse gases. It would also mandate the use of solar and other renewable energy sources. The committee is scheduled to take up the measure May 18.

Supporters said the measure would jumpstart the US economy with new clean-energy jobs, help the environment and reduce oil imports. Opponents said it would increase energy costs and drag down economic growth.

“The amount of activity that’s happening in anticipation of a committee vote is truly unprecedented,” said Tiernan Sittenfeld, legislative director for the Washington-based League of Conservation Voters, which is running advertisements criticizing Republican lawmakers for opposing the legislation.

The National Mining Association, a Washington trade group for companies such as San Ramon, California-based Chevron Corp.; Richmond, Virginia-based Massey Energy Co, and Colorado Springs, Colorado-based Westmoreland Coal Co, is seeking free pollution credits for coal-fired power plants to give its members time to develop new technology. It also is asking for a slower timetable for reducing emissions.

Lobbying is “as intense as it’s ever been, from all sides,” said Luke Popovich, mining association vice president.

This year, Chicago-based Boeing hired BKSH & Associates Worldwide, the lobby firm of Charlie Black, a top aide in Republican John McCain’s 2008 presidential campaign, and the firm of Linda Daschle, wife of former Senate Majority Leader Tom Daschle, to lobby on climate change.

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First Published: May 18 2009 | 12:30 AM IST

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