Yes, it is just politics, but...

this helps show what kind of service is rewarded. Tenet, Franks, and Bremer are shining examples of what the current administration is looking for in a citizen: total and complete loyalty to the party line, even in the face of overwhelming lack of evidence supporting its policy. Err, and why is a General getting a civilian award? And the man who was in charge of the CIA during its worst failure ever? Good thing that Bremer left Iraq in such good shape, what with the great interim Iraqi government and such fine hopes for an "open and fair" election.

Note the last line in the BBC article (my emphasis),

The medal of freedom was established by Harry Truman as a war medal and reintroduced by John F Kennedy to honour distinguished civilian service in peacetime.

Guess which one Bush is using it for.