Koch brothers finance Canada’s right

US Koch brothers finance Canada's right wing.
David Koch circa 2015. Gage Skidmore photo.

Newspapers have recently carried lengthy obituaries on the death of David Koch, the US billionaire. Through Koch Industries, David and his equally  wealthy brother Charles controlled the second largest private corporation in the US, with ownership in chemicals, pipelines and fossil fuel extraction. The company was also, until recently, a major investor in Alberta’s oil sands and a long standing backer of right wing Canadian think tanks.

Dark Money

According to Dark Money, a deeply researched book by Jane Mayer, a writer for the New Yorker, the Koch’s poured at least $100 million into building a far-right network aimed at influencing elections by promoting chosen conservative candidates, think tanks and policies. Through an organization called Americans for Prosperity, the Koch’s were also major funders of the Tea Party movement, which eventually took control of the Republican Party and moved it hard to the authoritarian right.

The Koch’s described themselves as libertarians who wanted government out of the way but their campaigns were also transparently self-interested. The organizations they financed promoted deep tax cuts, a loosening of environmental regulations, attacks on labour unions and support to climate change deniers. As Mayer writes in Dark Money, “The Koch’s vehemently opposed the government taking any action on climate change that would hurt their fossil fuel profits.” They also opposed gun laws, an obscenity in the age of Columbine, Sandy Hook, Parkland and any other number of mass shootings.

Canadian connection

The Koch’s also have a significant Canadian connection. Until just recently, a subsidiary of Koch Industries was the largest foreign holder of exploration leases in Alberta’s oil sands, with at least 1.1 million acres, an area approximately the size of Prince Edward Island. However, Koch has recently sold most of its oil sands licences to a Calgary-based company.

But the Canadian connection does not end there. A progressive group called North 99 says that the Koch’s were involved in providing millions of dollars in support to an array of conservative Canadian think tanks and other organizations which promote a right wing agenda in this country. Many of these organizations will be familiar to anyone who follows the news. They include:  The Atlantic Institute for Market Studies, Frontier Centre for Public Policy, Justice Centre for Constitutional Freedoms, MacDonald-Laurier Institute for Public Policy, Manning Centre, and the Montreal Economic Institute. Those groups  claim to be independent but they devotedly support conservative causes, and ultimately the Conservative Party led by Andrew Scheer.

Fraser Institute

Among these organizations, the Vancouver-based Fraser Institute is a Koch favourite. Fraser also bills itself as an independent research organization but in fact it regularly produces flawed reports that read more like propaganda than the products of academe. The research group Desmog sources a study done by Greenpeace USA to show that the Fraser Institute received at least $1.4 million from Koch-related foundations between 1997 and 2017. It is perhaps not surprising that Institute has used its reports to deny that climate change exists, a stance that is, of necessity,  now shifting to spreading doubt and attacking the assessment reports of the Intergovernmental Panel on Climate Change.

Hidden donors

The Institute will not release its list of donors but researchers unearthed information about American benefactors by using US government tax records. Fraser is also listed as a charitable organization in Canada and can provide tax receipts to donors in this country. Incredibly, an organization which regularly attacks government policies on climate change, taxation, public education and Medicare has so far apparently escaped scrutiny about its constant right wing advocacy. This is doubly ironic because many other organizations with charitable status – including the Suzuki Foundation, Kairos, and the Pembina Institute — were forced by the Canada Revenue Agency to undertake expensive audits  during the tenure of the Harper government.

Intimidation

Back then, Harper’s energy minister Joe Oliver accused “environmental and other radical groups” of attempting to influence Canadian politics, particularly as related to the construction of pipelines. Oliver and Harper are now long gone but their narrative has been picked up by the Alberta premier. In July 2019, Jason Kenney established a $2.5 million provincial inquiry into, in his words, “foreign-funded special interests” and their campaigns to stop development in the oil sands. He singled out various environmental groups and even alleged that the Pembina Institute had accepted $8 million from foreign interests to oppose and challenge Alberta’s energy industry. Pembina promptly denied that accusation, saying that 85 per cent of its revenue comes from Canadian sources. But then Kenney has never been one to allow accuracy to stand in the way of a political smear.

Look no farther

If Kenney is searching for foreigners who meddle in Canadian politics, he need look no farther than Koch Industries, ExxonMobil, the John Templeton Foundation and an array of other foreign organizations and corporations that sends millions of dollars a year to the Fraser Institute and the other right wing think tanks mentioned earlier in this piece. As the federal election approaches in October, we should view anything those organizations have to say with a good deal of skepticism.

4 thoughts on “Koch brothers finance Canada’s right

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  1. Good reading Dennis. We travelled the same road years ago, and I enjoyed your insight then and today. Thank you for all your hard work. My life has changed much in the last ten years, health wise not too bad. Circumstances have changed,but not my support for a left wing party. Take care. Ed

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    1. Ed, it is so very good to hear from you. I well remember the mentoring and support I received from wise people such as you and Wendell Johnson and I cherish those times. I am pleased to hear that you are in reasonably good health. Please accept my warmest wishes. And ditto on support for a left-wing party.

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      1. Thank you Dennis for the kind words. Hope your families are doing well health wise, a special hello to Martha.

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  2. Thanks, Dennis, for one of the most important and insightful blogs you have recently written. I am concerned that the recent changes to charitable tax laws (after the feds lost their court case with Canada Without Poverty, and then declined to appeal) leave an opening for well-financed libertarian donors to influence Canadian politics even more. (See the Citizens United case in the USA and how it opened the door to the Kochs.) (https://www.canada.ca/en/revenue-agency/services/charities-giving/charities/whats-new/ppdda-reporting.html).
    A new government will have to fill the void this current policy void the Liberals left us. New CRA regulations and perhaps legislated changes to the Income Tax Act are likely forthcoming…

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