Casino Magnate Sheldon Adelson Stands Between Nevada and a Renewable Energy Future

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This is a guest post by David Pomerantz crossposted fromย Energy andย Policyย Institute

The Nevada Assembly passed a bill yesterday that would dramatically increase the growth of renewable energy in the state, but Sheldon Adelson, the casino magnate and major donor to Donald Trump, is attempting to prevent the bill from becomingย law.

The bill, AB 206, would ensure that Nevada gets 80 percent of its electricity from renewable sources by 2040. AB 206 passed the Assembly with bipartisan support by a margin of 30 to 12, but it must now pass the Senate and be signed by Gov. Brianย Sandoval.

Adelson owns the Las Vegas Sands casino giant, and is known in national political circles for the massive amounts of money he has plowed into Republican coffers; heย spentย $100 million in the 2012 election cycle, and thenย donatedย $35 million to the super PAC that supported Donald Trumpโ€™s general election campaign last year,ย plus another $5 millionย to Trumpโ€™sย inauguration.

Given Adelsonโ€™s support for conservative politicians, clean energy supporters considered it a happy coup in 2016 when the Sands Corporation threw money behind a ballot initiative that would allow electric customers to defect from the monopoly utility NVย Energy.

Sands was the biggest bankroller of the committee that backed the ballot initiative, Nevadans for Affordable, Clean Energy Choices. The company didnโ€™t shy away from saying that their support for the initiative was motivated by a desire to use electricity from cleaner sources than NV Energy had on offer, garnering it fawning pressย in Nevadaย andย globally.

โ€œโ€ฆ The company maintains a strong desire to purchase and use the cleanest and most cost efficient energy available on the open market,โ€ aย Sands spokespersonย said in a statement about its support for the ballotย initiative.

Adelson Pulls a Bait and Switch on Renewableย Energy

Now, however, itโ€™s clear that while Adelson may want Sands to have the ability to defect from NV Energy, his motives were not as green as advertised lastย year.

Sandsย testified last monthย againstย AB 206, along with Wynn Resorts and the Nevada Resort Association (NRA). Why would Adelson, who spent all of 2016 saying that he wanted Sands to power with renewable energy, now be lobbying against legislation to move Nevada in that veryย direction?

The answer is likely that the bill language not only holds NV Energy to the increased renewable energy standard, but also any companies that defect from the utility, which could soon beย Sands.

Adelson seems to want to maintain his companyโ€™s unfettered ability to buy not only renewable energy, but also as much natural gas as he wants, for as long as he wants, asย well.

โ€œWe feel that this just isnโ€™t the time to codify these mandates,โ€ Sands lobbyist Chase Whittemore said about the bill, according to theย Nevada Independent. NV Energy also fought the bill, introducing unsuccessfulย amendmentsย to neuterย it.

Is Adelson Funding a New Dark Money Group to Kill Nevada Renewable Energyย Growth?

The lobbying against AB 206 by Sands, Wynn, the Resort Association, and NV Energy did not seem to slow down the billโ€™s progress in the Assembly, but the casino operators and NV Energy may have another trick up their sleeves: A new dark-money group is making a final two-week push to kill the bill in the Senate or on Gov. Sandovalโ€™s desk. The Independent reported thisย week:

โ€œA new nonprofit that does not disclose its donors plans to spend six figures in the last two weeks of the Legislature to try to defeat a renewable energy measure opposed by most gamingย companies.โ€

The non-profit, called โ€œSecure Nevadaโ€™s Future,โ€ย registeredย with Nevada as a non-profit organization in April, listing Texas as its qualifying state. Its list of officers is due May 31. The group seems to have aย Facebook pageย which also became active inย April.

As long as Secure Nevadaโ€™s Future refuses to disclose its donors, itโ€™s impossible to know if Adelson, Wynn, NV Energy, or some other mystery opponents of increased renewable energy is funding the effort, but longtime Nevada political reporter Jon Ralston wrote that โ€œitโ€™s a reasonable assumption that major businesses are funding theย operation.โ€

Ralston reported that the one person publicly associated with the group as its executive director, Chris Young, used to work for Chris Carr while at the RNCpreviously runย a non-profit, โ€œEngage Nevadaโ€ thatย received significant fundingย from Adelson personally, as well as from NVย Energy.

Conflict of Interest Among Nevada Resort Associationย Lobbyists

While Adelsonโ€™s Sands Corporation tries to kill the strong renewable energy standard, another casino company, the MGM Grand Corporation, has actually shown that its commitment to renewable energy is more than just greenwashing. The companyย came out publiclyย in support of AB 206 earlier thisย week.

Like Wynn and Sands, MGM Grand is a member of the Nevada Resort Association โ€” over 10 of its properties are named asย NRA member resorts, and MGM is listed on the NRAโ€™s board, along withย Wynn.

But despite MGMโ€™s support for renewable energy growth, the NRA has sided with Wynn, Sands, and NV Energy. The internal politics that drove that decision arenโ€™t public, but itโ€™s possible that some conflicts of interest among the NRAโ€™s lobbyists may be a contributingย factor.

Carson City is a small town, and lobbyistsย commonly represent multiple interests, but a review of lobbyists for NV Energy, MGM Grand, Wynn, Sands, the NRA, and Caesars revealed that the only overlap was betweenย NV Energyย and theย NRA, and that overlap was significant: Of 12 lobbyists listed for NV Energy, seven are also lobbyists for the NRA. ย Those lobbyists are Morgan Baumgartner, Pete Ernaut, Greg Ferraro, Lorne Malkiewich, Nivk Vassiliadis, Nicole Willis-Grimes, and Paulย Young.

Main image:ย Sheldon Adelson Credit: East Coast Gambler,ย CC BYย 2.0

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