I havent seen this noted but I think the reason for the commutation is that a pardon would mean that Libby was no longer exposed to criminal sanctions and thus had no Fifth Amendment privilege. As it stands he has a fine and probation at stake during the pendency of the appeal which insulates him (and Bush and Cheney) from having to answer questions before Congress.
"The reason I will say I'm not going to close a door on a pardon is simply this: that Scooter Libby may petition for one," Snow said. "But the president has done what he thinks is appropriate to resolve this case."
"There is always a possibility - or there's an avenue open - for anybody to petition for consideration of a pardon," he added.
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