Sources say President-elect Obama is expected to name Chicago schools chief Arne Duncan as education secretary. He has been in that position since 2001.
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Duncan's nod is a plus for those who wanted someone with big-city school experience to make sure schools and teachers were held accountable.
Meanwhile, Democratic Sen. Ken Salazar of Colorado has been tapped to lead the interior department.
Obama has already named Steven Chu, Ph.D. as his Secretary of Energy.
The President-elect made it clear that his energy policy will be very different than the current administrations.
"The pursuit of a new energy economy requires a sustained all hands-on deck effort, because the foundation of our energy is right here in America -- the power of wind and solar, new crops, new technologies, the innovation of our scientists and entrepreneurs, and the dedication and skill of our work force," said Obama. "Those are the resources that we have to harness to move beyond our oil addiction and create a new hybrid economy."
The Wall Street Journal reports that Obama's choice supports energy efficiency and conservation, but that he has been a severe critic of coal and has serious questions about nuclear power.