Generate - Axios
Top Stories
Featured

Generate

Happy Friday! A quick note before the weekend starts: Do you live in Los Angeles or know people there?

Join Axios for our debut editorial event in L.A. on the next frontier: the human brain on Wednesday, June 14th at 8:30 a.m. Pacific. Axios Science editor Alison Snyder will host one-on-one conversations with leading experts on artificial intelligence, brain-machine interfaces, and biopharmaceuticals. More information and RSVP here.

Ok let's dive in . . .

They’re bringing social back

Giphy

The think tank Resources for the Future is launching an initiative to update estimates of the "social cost of carbon" — a metric policymakers and businesses use to tally the monetary damages of increased emissions. The launch of the multi-year effort arrives roughly two months after a White House executive order disbanded an Obama-era interagency group on the issue and withdrew its estimates.

What they're saying: RFF and other critics say President Trump's approach, which instructs agencies to use a more limited methodology from 2003, is too narrow and low-balls the actual impact of emissions.

RFF's new initiative flows from recommendations in an early 2017 National Academy of Sciences report that was co-chaired by RFF president Richard Newell, who yesterday said in a statement that estimates "should be based on the most up-to-date science and economics, and be totally transparent."

Quick take: State, city, and corporate efforts to cut emissions can't simply replace federal rules and policies, as my colleague Amy Harder wrote about here. And, RFF can't force federal agencies to use updated estimates on the social costs of carbon.

Yes, but: The effort could inform a future administration, and guide other parties like states and companies. The RFF move is another example of non-federal parties expanding climate efforts as Trump pulls Washington back.

Rollback rebound: In a related policy area, the consulting firm ClearView Energy Partners coined the term "rollback rebound" when forecasting that liberal states could accelerate their climate and renewable energy policies in response to Trump's scuttling of Obama-era rules.

Natural gas exporter staffs up

Amy has a cool post in the Axios stream this morning on natural gas exports and the staffing moves of one ambitious company. Here's a piece of it...

Driving the news: Former President Obama's top international energy envoy has joined a natural gas exporting company that's banking on swift federal reviews under the Trump administration and a booming export market in five years.

Amos Hochstein, who ran the State Department's energy bureau under Obama, is now a senior advisor and vice president at Tellurian, a company founded last year that filed an application in April to export liquefied natural gas.

Why it matters: Hochstein's hire demonstrates that natural gas exports are one of the few energy policy areas where bipartisan support has endured the transition from Obama to Trump. Obama streamlined the federal review process from three steps to two, and Trump officials signaled last month it's a top priority for them too.

Click here for more on Tellurian's staffing moves and the wider picture on U.S. gas exports.

R&D cuts could lead to Chinese battery raid

My Axios colleague Steve LeVine, who knows a thing or two about batteries, has a post in our Future of Work stream about the effect of Trump's budget proposal.

What they're saying: Leading U.S. battery researchers tell Steve that a proposed 75% cut in federal funding could set back U.S. hopes to dominate the future of batteries and electric cars, and lead to a raid of U.S. talent by China and others in the technological race.

More from his piece:

  • The mood is somber this week at an annual conference in D.C., where hundreds of battery researchers from universities and federal labs are presenting their latest findings, and justifying millions of dollars in government funding toward the creation of super batteries for electric cars and the grid.
  • In interviews, researchers said Congress is likely to largely ignore Trump's proposals and restore much of 2018 funding. But — given the intensity of competition for industries expected to be worth hundreds of billions of dollars in future sales — they said the best ideas could be wooed away by China, Japan, South Korea, or others.

Click here for the whole thing.

Wind industry boosts GOP lobbying muscle

Two lobbying registrations in the wind industry just surfaced in the Lobbying Disclosure Act database:

  • American Wind Energy Association brought on Holland & Hart, and specifically partner William Myers III, who was the Interior Department's solicitor in the George W. Bush administration.
  • Statoil Wind U.S. tapped Brownstein Hyatt Farber Schreck to lobby on offshore wind development. Like AWEA, they're boosting their GOP connections. One of the Brownstein lobbyists will be Jon Hrobsky, a former GOP Capitol Hill aide who was a senior official in the Interior's offshore energy branch under George W. Bush. The other is Luke Johnson, another W. Bush-era Interior vet who also worked for the late Utah GOP Sen. Bob Bennett.

A global power snapshot

Energy Information Administration

The Energy Information Administration, using World Bank data, has crafted a brief report on the increasing global access to electricity. Lots of people still don't have it, but that share of the global population fell from 25% in 1994 to 15% in 2014.

One reason why: urbanization. EIA notes that the growing percent of the global population with power access stems in part from the movement to cities — 53% of the world lived in urban areas in 2014, up from 44% in 1994.


Oil news on my screen

Regulations: The Interior Department may merge two offshore energy divisions established in the wake of the BP Deepwater Horizon catastrophe in 2010, Bloomberg reports.

  • The Obama administration, seeking to resolve what it called inherent conflicts of interest, broke apart the scandal-plagued Minerals Management Service to create separate branches on drilling safety regulations and offshore leasing.

Prices: Reuters looks at the persistent glut of crude oil sloshing around world markets that sent prices tumbling this week. The recent market trends underscore OPEC's challenge despite the cartel's extension of its production-cutting deal.

  • "The challenge OPEC is facing is bigger than anyone thought a few weeks ago," Tamas Varga of the London brokerage PVM Oil Associates tells Reuters.

Markets: The Financial Times has the latest on Saudi Aramco's plans for a massive IPO.

  • "Saudi Aramco will not join the FTSE 100 stock index if it lists its shares in the UK, averting confrontation with City institutions and strengthening London's status as frontrunner for a slice of the Saudi state oil group's initial public offering," the paper reports.

Keep the tips and feedback coming to ben@axios.com.

Featured

Trump backs off allowing elephant trophy imports — for now

President Trump and the Interior Department announced Friday night that they're freezing plans to allow the importation of parts of elephants hunted in Zimbabwe and Zambia.

Why it matters: Plans to reverse a ban on such imports had sparked strong criticism from environmental groups and others as well.

On Friday GOP Rep. Ed Royce, who chairs the Foreign Affairs Committee, said the move to allow imports was inappropriate in light of the crisis in Zimbabwe, and that he he did not believe the country's government, given its years of corruption, can properly manage conservation programs

"When carefully regulated, conservation hunts can benefit habitats and wildlife populations. That said, this is the wrong move at the wrong time," Royce said.

Proponents of sport hunting say it can raise funds for initiatives that aid the conservation of imperiled species. Interior's Fish and Wildlife Service had said late this week that "well-regulated sport hunting as part of a sound management program can benefit certain species by providing incentives to local communities to conserve those species and by putting much-needed revenue back into conservation."

However, Interior Secretary Ryan Zinke said in a statement Friday night: "President Trump and I have talked and both believe that conservation and healthy herds are critical. As a result, in a manner compliant with all applicable laws, rules, and regulations, the issuing of permits is being put on hold as the decision is being reviewed."

Go deeper: The New York Times has more on the decision here.


Featured

A read on Trump's new court names

Photo: J. Scott Applewhite/AP

A year and a half ago, as a candidate for president, Trump broke precedent and named a list of people from whom he'd promise to pick Supreme Court justices. He fulfilled the promise by nominating Neil Gorsuch; and today announced five new names.

Here's a read on the names from Leonard Leo, an influential figure in the conservative legal community and an outside adviser to President Trump on judicial selections:

  • Brett Kavanaugh (judge on the D.C. Circuit Court of Appeals): "The president obviously shied away from D.C. personalities when he was running for office, but he's now, almost a year into his office, in a much better position to have a more geographically diverse list." Leo has made no secret of his enthusiasm to see Kavanaugh on the Supreme Court and says he has "one of the deepest and widest judicial records."
  • Britt Grant and Patrick Wyrick (state Supreme Court justices) : "The president likes the whole state Supreme Court justice angle ... because they're people who have to make final decisions and like a CEO, when you have to make a final decision, you own it. So that requires you to have a degree of strength." Leo added that these two state Supreme Court justices, in their prior careers as state solicitor generals, had been "very important architects of efforts to challenge overreach in Washington during the Obama administration, on behalf of the states."
  • Amy Coney Barrett and Kevin Newsom (recent appointments): Having recently been picked for the Federal bench they "could have potential going forward."

Behind the selections: Trump consulted with White House counsel Don McGahn, who led the process; and they sought advice from conservative legal thinkers. But they didn't need to do much vetting. The five they selected are well known in the conservative legal community.

Featured

Peter Thiel has parted ways with Y Combinator

Peter Thiel. Photo: Kevin Moloney / Fortune Brainstorm Tech

Famed investor Peter Thiel, who publicly supported Donald Trump during his candidacy and as president, is no longer affiliated with startup accelerator program Y Combinator, as BuzzFeed first reported and a blog post update confirms.

Be smart: Thiel isn't the only one departing the program. Y Combinator has shuttered its entire part-time partner program in which Thiel participated, according to BuzzFeed. So it's not quite the symbolic move many wanted YC to make last year.

  • The organization has been experimenting with various ways to involve alumni entrepreneurs who want to advise new startups, such as having "visiting partners" for a 6-month run.
  • And as a venture capitalist with close ties to the startup community and friendships with some of YC's executives, it's hard to believe that Thiel won't continue to meet with and invest in the accelerator program's startups.
Featured

Report: War on ISIS killing 31 times more civilians than claimed

Airstrikes target ISIS positions on the edge of the Old City a day after Iraq's prime minister declared "total victory" in Mosul, Iraq. Photo: Felipe Dana / AP

The U.S.-led war against ISIS is claiming civilian lives at a rate 31 times higher than was previously acknowledged by the coalition, according to Azmat Khan and Anand Gopal, NYT reporters who conducted an 18-month investigation in northern Iraq.

Why it matters: This staggering number of deaths "is at such a distance from official claims that, in terms of civilian deaths, this may be the least transparent war in recent American history," per NYT. It also raises questions about civilian casualties in neighboring Syria, and how far this reporting problem reaches around the world.

What they did, per the NYT: The reporters went to roughly 150 airstrike sites in northern Iraq to interview witnesses and local officials, photograph bomb fragments, search local records and news sources, and map out the destruction through satellite imagery. They visited the American air base in Qatar where the coalition is based and interviewed coalition officials and advisers. They provided coalition analysts with coordinates and date ranges of 103 air strikes to examine and compare their responses.

What they found, per the NYT: The coalition claims 1 civilian is killed in every 157 airstrikes but their on-the-ground analysis shows 1 civilian is killed in every 5 airstrikes. They added the coalition is doing a poor job of investigating claims or even to keep proper records to make investigation possible.

"While some of the civilian deaths we documented were a result of proximity to a legitimate ISIS target, many others appear to be the result simply of flawed or outdated intelligence that conflated civilians with combatants," according to Khan and Gopal.

Featured

White House on sexual allegations: Franken admitted wrongdoing, Trump hasn't

White House press secretary Sarah Huckabee Sanders speaks during a press briefing at the White House. Photo: Alex Brandon / AP

Press Secretary Sarah Sanders told reporters Friday that the allegations of sexual misconduct against Sen. Al Franken are different from those against President Trump because, "Senator Franken has admitted wrongdoing, and the president hasn't. That's a very big distinction."

Key quote: When asked why allegations against Franken merit an investigation but those against Trump don't, Sanders replied "The American people spoke very loud and clear when they elected the president."

More from Sanders:

  • Is it the WH position that Trump's accusers are lying? "The president has denied those allegations."
  • Does Trump believe the women who accused Roy Moore? "The president certainly finds the allegations extremely troubling ... and he feels it's up to [Alabama] ... to make a determination."

Chairman of the Council of Economic Advisers, Kevin Hassett, joined Sanders to discuss the latest on tax reform:

  • Trickle-down economics: "There's nothing about that's controversial."
  • Difficulty of passing tax reform in the Senate: "I'm hopeful that people can work it out, and that everybody, even Democrats, will end up wanting to vote for it."
  • Temporary tax cuts: Hassett said he hopes future congresses won't let them expire.
Featured

The tax bill’s not looking so popular

The GOP may be heading for more trouble with its legislative agenda — this time with an unpopular tax bill. A compilation by Chris Warshaw of George Washington University of various polls shows that the plans to rewrite the tax code are only slightly more popular than the Affordable Care Act bills that narrowly failed — and both are among the least popular legislative proposals of the last three decades.

Reproduced from a chart by Chris Warshaw, assistant professor of political science at George Washington University; Chart: Axios Visuals

Why it matters: Republicans really can't afford to give up on the tax bill, after suffering an embarrassing defeat on their health care effort. But when something is as central to their agenda as the tax rewrite, they're going to have serious headaches if they can't win more support with the public.

Featured

Florida Democratic Chair resigns after sexual harassment claims

Stephen Bittel apologized to the women who felt uncomfortable. Screengrab via YouTube

Stephen Bittel, Florida's Democratic Party chairman since last January, resigned today after several women accused him of making inappropriate comments toward them, according to Politico's interviews with six women.

Key quote: "There was a lot of boob stuff in his office," one woman, a former fundraiser for Bittel, told Politico. "I was told by other women not to go into his bathroom. I was warned."

Why it matters: Bittel is another Democrat after Franken who has faced allegations of sexual harassment, and he's likely not going to be the last. His resignation is one example of some of the consequences these men will face in the wake of these revelations.

His statements:

  • To Politico on Thursday, before his official resignation: "Every person, regardless of their gender, race, age or sexuality should be treated with respect and valued for their hard work and contributions to our community and if any of my comments or actions did not reflect that belief I am deeply sorry. I have much to learn, but my goal is and has always been to make sure every member of our party has a safe environment in which to succeed. It seems I've not been successful in that goal, and I will do better."
  • On the day of his resignation: "When my personal situation becomes distracting to our core mission of electing Democrats and making Florida better, it is time for me to step aside. I am proud of what we have built as a Party and the wins we have had for Florida families, but I apologize for all who have felt uncomfortable under my tenure at the Democratic Party. I am working with our leadership to elect my successor."
One more quote: "He's just so f----ng creepy," a former party staffer told Politico. "He just leers at you, and stares. I don't know if you know what that feels like, but he just leers at you. I don't know how to describe the feeling."
Featured

Report: Trump administration plans to halt work permits for H-1B spouses

Computer information specialist and immigrant from India, Santosh Pala, right, carries his three-month-old son Hemang during a prayer procession at the Karya Siddhi Hanuman Temple in Frisco, Texas, in 2015. Photo: LM Otero / AP.

The Trump administration plans to halt work permits for the spouses of H-1B visa holders, which would discourage H-1B visa applicants from staying in the country and would revoke the ability to work for thousands of visa holders' spouses, the San Francisco Chronicle reports.

Why it matters: It's another move by the Trump administration to make it more difficult for foreign workers to come to America in its larger effort to safeguard American jobs.

  • Approximately 100,000 spouses and children of H-1B visa holders come to the U.S. every year on a visa known as H-4.
  • These workers were not able to work in the U.S. before 2015, when President Barack Obama created a work permit for some H-4 holders.
  • Silicon Valley will be disproportionately affected, since many high-tech employers employ H-1B workers. Because of the region's high cost of living, It is difficult for a family to survive on one salary and, as a result, may not be able to stay in the country.
  • A decision on the H-4 work authorization will likely come soon, immigration attorneys told The Chronicle.

Other efforts: Earlier this week, a House committee advanced Rep. Darrell Issa's bill to increase restrictions on how "H-1B dependent" companies can obtain the work permits for employees. Find details of Issa's bill here, and the Indian firms' lobbying efforts against crack downs on H-1B visas here.

Featured

Franken's former female staffers defend him amid allegations

Jim Mone / AP

Amid a firestorm of criticism for his alleged sexual misconduct, eight of Sen. Al Franken's former female staffers issued a joint statement obtained by the Star Tribune Friday saying the senator treated them "with the utmost respect" and "was a champion for women both in the legislation he supported and in promoting women to leadership roles in our offices."

Franken's former chief of staff, Casey Aden-Wansbury, also told ABC News that during the eight years she had known him, "he has always worked hard to create a respectful environment for his staff." She added that "the inappropriate behavior reported today does not live up to the values I know he holds."

Featured

Spotify acquires yet another startup as it prepares to go public

Illustration: Sam Jayne / Axios

Spotify has acquired Swedish collaborative music-making startup Soundtrap, the latter said on its website. Spotify paid at least $30 million, according to Breakit.

The big picture: As Spotify eyes a public listing of its stock next year (as it has been reported and sources tell Axios), the company has to keep growing its music business beyond streaming existing tracks. This way, it can provide more services, such as music collaboration tools to artists.