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Interior secretary sets panel to monitor energy revenue disclosures

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Shale critics and oil industry executives are among the people chosen by Interior Secretary Ken Salazar to serve on an advisory committee charged with overseeing U.S. oil and gas revenue disclosures.

The panel's 21 members and 20 alternates are tasked with guiding and supervising implementation of the U.S. Extractive Industries Transparency Initiative. In 2011, the United States committed to the World Bank-endorsed EITI, which requires participating countries to report revenues received by governments for oil, gas and mining activities. An independent third party then compares those disclosures with corresponding reports from companies.

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Each country that participates in EITI is responsible for forming a multistakeholder group to design its own reporting requirements. Salazar established the USEITI Advisory Committee -- a panel composed of government officials, industry executives and public citizens -- in July to serve that purpose. Last month, he selected the members of the committee.

"I look forward to working with this group in the new year as we work to forge open governments and institutions that are accountable to the people," the Interior secretary wrote in a Dec. 21 statement.

Among the eight advisory committee members from the civil society sector is Energy Policy Forum founder Deborah Rogers, an outspoken shale critic who has questioned the economic viability of hydraulic fracturing, or oil and gas extraction, operations. As U.S. production has increased, domestic oil and gas prices have dropped, but that trend is not sustainable, she said.

"U.S. consumers will inevitably face higher costs for electricity and goods as international pricing pressures come to bear on the U.S. domestic natural gas price," Rogers wrote in a blog post last month.

Salazar also selected Michael Lewin Ross, a member of the advisory committee for Revenue Watch Institute, which promotes transparency in the oil, gas and mineral resources industries.

Of the stakeholder group's eight industry sector representatives, four come from oil and gas giants Chevron Corp., Shell Oil Co., BP America Inc. and ConocoPhillips Co. The remaining four come from mining companies and industry associations.

Salazar chose five government sector members, one of whom comes from the Interior Department. As director of the agency's Office of Natural Resources Revenue, Gregory Gould is responsible for managing all revenues associated with federal offshore and onshore mineral leases.

According to the group's charter, members are expected to develop and recommend to Salazar a work plan to set targets for implementation of EITI in the United States.