President Joe Biden’s green energy loan czar faced tough questions during a Senate Energy Committee hearing regarding his involvement with a trade association he founded. This association has been offering companies paid access to Shah at private events. The hearing took place on Thursday and Shah struggled to provide clear answers.
Since 2022, Jigar Shah, the head of the Department of Energy’s $400 billion Loan Programs Office, has been the main attraction at numerous paid dinners and events organized by Cleantech Leaders Roundtable. This trade group, founded by Shah in 2017, has been selling access to him, as reported by the Washington Free Beacon. In addition, Shah’s DOE office and Cleantech Leaders co-hosted an exclusive conference for loan-seeking companies in Washington, D.C., where Cleantech Leaders controlled the guest list and ticket sales.
During the hearing, Shah appeared flustered when questioned about his relationship with Cleantech Leaders. At one point, he was left speechless. This testimony comes as investigations into conflicts of interest at the Loan Programs Office are being conducted by Republican lawmakers and the DOE inspector general. The office, which has gained significant influence and funding under the Biden administration, is under scrutiny.
Senator John Barrasso, the top Republican on the committee, criticized Shah for participating in paid events, stating that it reflected poorly on both Shah personally and the Department of Energy. Barrasso pointed out a social media post from Cleantech Leaders’ executive director, which highlighted Shah’s control over a $400 billion loan budget. Barrasso argued that the post suggested Cleantech Leaders was leveraging its access to Shah and taxpayer dollars.
When pressed by Barrasso, Shah refused to say whether he would sever ties with Cleantech Leaders. He also downplayed his role as head of the Loan Programs Office, claiming that he had no involvement in loan decisions, which were made by federal staff. Shah stated that his purpose was to build trust with the private sector by attending events to promote the loan programs office.
Later in the hearing, Shah made a remark that drew laughter from some attendees and shocked Senator Josh Hawley. Shah claimed that people attending his Cleantech Roundtable speaking events, which cost up to $250 per person, were not paying to see him because he believed he was not that important. Hawley challenged this statement, emphasizing that individuals seeking government loans were indeed paying to see Shah.
The DOE inspector general, Teri Donaldson, also testified at the hearing. She revealed that her office had initiated a project to investigate conflicts of interest within the Loan Programs Office. This announcement followed a letter from Barrasso and Representative Cathy McMorris Rodgers, chair of the House Energy Committee, requesting records related to the close collaboration between Shah’s office and Cleantech Leaders Roundtable.
The lawmakers expressed concerns about a potential pay-to-play scheme, as a board member of Cleantech Leaders Roundtable also serves on the board of Sunnova Energy, a solar company that recently received a $3 billion loan from Shah’s office. They requested all correspondence between the Loan Programs Office and Cleantech Leaders Roundtable during Shah’s tenure.
What is Jigar Shah’s defense for participating in paid events and how does he argue that it does not create a conflict of interest?
And the Biden administration. Barrasso argued that Shah’s involvement with Cleantech Leaders raises questions about his objectivity and his ability to make unbiased decisions regarding loan approvals.
Shah defended his participation in the paid events, claiming that he saw no conflict of interest as he was not involved in the selection process for attendees or contributors. He maintained that his focus was solely on advancing the Biden administration’s green energy agenda and supporting innovative companies in the sector.
However, Barrasso pressed Shah on the fact that Cleantech Leaders had control over the guest list, suggesting that it could influence who gains access to Shah and potentially gives an advantage to companies that are affiliated with the trade association. Barrasso argued that this arrangement creates an unfair playing field and undermines the credibility of the Loan Programs Office.
The controversy surrounding Shah’s involvement with Cleantech Leaders further fuels concerns about potential cronyism and favoritism within the Biden administration. Critics argue that by selling access to himself, Shah is undermining the principles of transparency and fairness in government decision-making.
In response to the allegations, the DOE inspector general has launched an investigation into whether Shah violated any ethics rules or engaged in any improper conduct. Republican lawmakers have also requested further details regarding the paid events and the potential influence it may have on loan decisions.
As this investigation unfolds, it is evident that questions surrounding the relationship between Jigar Shah and Cleantech Leaders are not going away. The Senate Energy Committee hearing shed light on a concerning practice that raises doubts about the integrity of the Loan Programs Office. It remains to be seen how the Biden administration will respond to these allegations and what actions will be taken to address the concerns raised by Republican lawmakers and the public.
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