InsideClimate never made it clear who wrote the “market analysis” or what it was. Sassoon’s story, which linked to an Associated Press article that mentioned it, says it was “conducted by” TransCanada, while Feldman’s piece says it was “conducted for” TransCanada. In fact, the market analysis was part of the application to build and operate Keystone XL that TransCanada submitted to Canada’s National Energy Board in February 2009, and the original document is available in the board’s database. InsideClimate misrepresents what that document says in a small, but significant, way.
Sassoon reported that the estimated price spike crude would send at least $2 billion “from American consumers to Canadian and multinational oil interests.” What it actually says is that the spike would increase the revenue of the Canadian producing industry.
Feldman was clear about this in her piece, but tacked on another sentence that is problematic: “But the entire industry—including the refineries and shipping businesses where Koch Industries has concentrated its efforts—would also profit.” Feldman supports the statement with a quote from Danielle Droitsch, a senior adviser to the Natural Resources Defense Council, an environmental organization, saying that, “Keystone XL is about the whole industry.” That may be true in some senses, but it’s still a generalization. The idea that there will be no losers in the oil industry—that everybody will profit—is implausible.
And even if the entire oil industry is “well positioned” to benefit from Keystone XL’s approval, the question becomes, why focus on Koch? This was an issue that Waxman faced on Capitol Hill. When House Republicans rebuffed his request to investigate Koch, “he offered to expand his investigation to include all energy companies that might benefit from Keystone XL so as not to single out Koch,” InsideClimate reported.
The news site’s justification for the special attention was that if the Obama administration approves the project, the president could unwittingly help his adversaries. A quarter of Sassoon’s February article was devoted to rehashing the Koch brothers’ “war” on Obama and, according to the third paragraph:
What’s been left out of the ferocious debate over the pipeline, however, is the prospect that if president Obama allows a permit for the Keystone XL to be granted, he would be handing a big victory and great financial opportunity to Charles and David Koch, his bitterest political enemies and among the most powerful opponents of his clean economy agenda.
It is true that the Koch brothers have been huge boosters of conservative politicians and opponents of liberal ones. They are also, as InsideClimate pointed out, “the most powerful opponents of his clean economy agenda,” so it makes sense to investigate their interest in Keystone XL. But without proof that the company will profit directly or inordinately from the pipeline—or more specific information about the “victory and opportunity” it would confer—the political frame seems weak.
The evidence that Feldman presented in her October article—Flint Hills Resources’ statement that it had “direct and substantial interest in the application” to build pipeline—did little to help InsideClimate’s case. The application for “intervener status” was newsworthy because it contradicted Koch’s statement to Waxman that Keystone XL had “nothing to do with any of our businesses.” Yet the contradiction was mild, and Feldman’s article was remiss for not explaining the relatively innocuous context of what it means to be an “intervener,” that the language Koch used is fairly standard, and the fact that groups like the Sierra Club also applied for, and received, intervener status.
These quibbles notwithstanding, Koch’s suggestion to Reuters (via Ellender’s e-mails) and to readers (via the online ad campaign) that InsideClimate News is a deceptive advocacy site that ought to be abandoned is spurious and unwarranted, and Reuters should be commended for defending the integrity of its content partner.
The shortcomings in InsideClimate’s work are those of a young news site flexing new muscles in effort to establish itself as a major contributor to American journalism. And journalism it is. There are no correctable mistakes in InsideClimate’s work. The flaws in its articles are errors of omission, tone, and tenor. They should be remedied in future coverage, but InsideClimate should also keep pursuing its investigative instincts.

What’s been left out of the ferocious debate over the pipeline, however, is the prospect that if president Obama allows a permit for the Keystone XL to be granted, he would be handing a big victory and great financial opportunity to Charles and David Koch, his bitterest political enemies and among the most powerful opponents of his clean economy agenda..
Doesn’t the premise of this statement smack of “corporatism” .. in the sense that the left has twisted it into meaning? Should the administration even be weighing political considerations when making permitting decisions? Not that they haven’t been caught doing this in the past ( to the point of orgasm evidently) but I thought that was the kind of transgression good lefty investigative journalists abhor … you know … policy decisions based on whats good for your supporters and bad for your enemies?
But I suppose the new spin on these things is "four legs good, two legs better"
And does Anyone but me find the left wing obsession with the Kochs a bit unnerving? How long until someone deranged lefty drives on down to Wichita with a bottle of Jack, a copy of Mein Kampf, and a Glock looking to slay the Koch-ta-pus ala Steve Kangas and Richard Mellon Scaife?
#1 Posted by Mike H, CJR on Wed 9 Nov 2011 at 05:31 PM
Dear Mr. Brainard,
Goodness gracious, you buried the lede! I wish it hadn’t taken you almost 3,000 words to arrive at your conclusion: “There are no correctable mistakes in InsideClimate’s work.” That’s exactly right, and precisely why the Kochs have never asked us to make any corrections.
I also wish you had mentioned that in hindsight our original story turns out to have been quite prescient, for media outlets are now filled with stories about Obama's political calculus as he weighs a decision on the Keystone XL pipeline.
We were the first to expose that dimension of this important story. Since then environmentalists have become an unexpected political force, and so the political choice the president faces on Keystone XL has become that much more difficult.
We don’t agree with many particulars of your analysis, but it is not worth quibbling now. We’ll make our case in our work, and we welcome your continued scrutiny.
Best Regards
David Sassoon, Publisher
InsideClimate News
#2 Posted by David Sassoon, CJR on Wed 9 Nov 2011 at 06:34 PM
"How long until someone deranged lefty drives on down to Wichita with a bottle of Jack, a copy of Mein Kampf, and a Glock looking to slay the Koch-ta-pus ala Steve Kangas and Richard Mellon Scaife?"
Gee, I didn't hear no calls for temperament when it was liberals getting shot up over conspiracy theories, and these ones about Scaife and the Kochs have the added incentive of being true.
So when it's ACORN, Soros, and Tides it's "Bullhorns away! Don't Retreat, Reload!"
But when it's Kochs, ALEC, and Americans For Prosperity it's "Guys, shouldn't we be mindful of what you're saying? You know someone might get the wrong message and do something."
"Is it true?"
"Yeah but,"
"Then why is it my responsibility what someone else does based on someone else's actions? And let's say it is my responsibility, then are you going to take responsibility for the things your crazies have done to innocent people based on your lies?"
"No. Guns don't kill people, bullets do."
I love it when the right starts worrying about the left acting like the right.
#3 Posted by Thimbles, CJR on Wed 9 Nov 2011 at 07:06 PM
So, they found nothing, they got their facts wrong, and they've got conflicts, but the Kochs are bad guys so none of that matters.
#4 Posted by Tom T., CJR on Thu 10 Nov 2011 at 11:34 PM
So this news organization singles out one oil company due to admitted partisan considerations, pursues them doggedly and in doing so, completely fails to come up with enough evidence to support its case. It then misrepresents a document to divine a nefarious meaning.
And this is applauded in the CJR? Better yet, this magazine actively encourages the org to continue pursuing the Koch's (because there has to be something there, right?).
And this is the gold standard of American journalism? Here's a thought: Do the investigative legwork and let your conclusions be drawn from the facts, rather than let your agenda determine your fact-finding.
Am I ever glad I didn't pursue a journalism degree at Columbia. This is shameful.
#5 Posted by Jen, CJR on Fri 11 Nov 2011 at 08:10 PM
I've got to agree with #5 Jen. A sorry excuse for journalism. Sassoon is apparently his own editor, so never gets called out for his pretense of reporting.
The correctable mistake in Sassoon's work is that InsideClimate should have waited to write anything until it had completed their investigation, and found --> surprise! nothing nefarious about Keystone XL and the Kock brothers. Then they could have written that they did all this investigating and the Kock's are off the hook. Publishing premature (and bleedingly incomplete) snippets only served to smear the Kock's with unwarranted insinuations--> and that, folks, is not journalism
For the CJR to endorse that kind of sloppy activist-journalism is a sad commentary on Columbia.
#6 Posted by Kip Hansen, CJR on Sun 13 Nov 2011 at 09:09 PM
CJR and Curtis Brainard deserve praise for taking a studied look at our efforts to detail those faults, but their lengthy analysis still leaves open several key questions and points of fact.
Both CJR and David Sassoon inaccurately maintain that there are no formal corrections required. As we have repeatedly stated and documented, and as the CEO of TransCanada recently stated as well, Koch has no financial stake in the pipeline. We are not party to its design or construction. We are not a proposed shipper or customer of oil delivered by this pipeline. These core facts have been omitted from the reporting and instead, we are presented — in headline and content — as though we are a central party to the issue. As the CEO of TransCanada, the company that actually owns the project recently said in a widely reported conference call, “[Regarding] collusion with the Koch brothers, I can tell you that Koch isn’t a shipper and I’ve never met the Koch brothers before.” Mr. Sassoon’s misstatements need to be formally corrected and clarified for readers, as the journalism rulebook would have it.
Although Koch made public on October 20 a detailed account of those falsehoods, omissions, and other journalistic distortions by Mr. Sassoon and InsideClimate, it is only now, nearly three weeks later, that Mr. Sassoon can muster the effort to reply. And he chose to do so in the comment thread of an independent journalism review that faults his work on those same counts. That indifference to standards speaks volumes about InsideClimate’s and his unreliability.
#7 Posted by KochFacts, CJR on Mon 14 Nov 2011 at 05:01 PM
There are facts, and then there are KochFacts.
These are the facts.
Never, ever in any of the pieces InsideClimate News has published on the Kochs did we say that the Kochs have a financial interest in the Keystone XL pipeline itself, or are a party to its design and construction. Never.
Never, ever did we say that the Kochs have entered into a contract with TransCanada to ship or receive diluted bitumen through the Keystone XL pipeline. Never.
And never, ever have the Kochs asked InsideClimate News to issue any corrections. Never.
We would like to accommodate any legitimate concerns the Kochs may have, but it is impossible for us to issue corrections that were never requested to statements we have never made.
What we have said is that the Kochs are well-positioned to benefit from the Keystone XL pipeline, and we stand by that statement.
The Kochs themselves claim on one of their own websites to be “among Canada’s largest crude oil purchasers, shippers, and exporters.” And they told Canada’s National Energy Board in an official regulatory filing that they have “a direct and substantial interest in the application” TransCanada filed to build the Keystone XL pipeline.
The Kochs could make a great contribution to public understanding if they would simply disclose the nature and extent of their business interests in Canada’s oil sands/tar sands, and how they anticipate the Keystone XL pipeline, if it gets built, would influence these direct and substantial interests.
CJR and Curtis Brainard are encouraging us to find out with greater detail and precision.
Would the Kochs care to help us by providing some simple facts?
David Sassoon, Publisher, InsideClimate News
#8 Posted by David Sassoon, Publisher, InsideClimate News, CJR on Tue 22 Nov 2011 at 02:39 PM