More Solyndra Stink

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The stench of corruption that characterizes the Solyndra scandal — the affair of the so-called green energy company, run by a billionaire Obama crony, that cost taxpayers a fortune — permeates the whole green energy scene.

But a recent article — amazingly, in the Washington Post, hitherto a bastion of Obama Regime support — turns over yet another rock, exposing yet more maggots crawling around the putrid Department of Energy (DOE).

What is humorous about this piece is that it focuses on “venture capitalists” who were in on the, shall we say, less idealistic side of the green industry.(Obama, by the bye, raised more than twice as much campaign money from the venture capital industry as did his rival McCain.) The listed include many worthy luminaries.

  • Sanjay Wagle was a major fundraiser for Obama in 2008, leading a group of greenies called “Clean Tech for Obama.” He then left his company, Vantage Point Venture Partners, to join the DOE team in charge of doling out $80 billion in green energy subsidies. Is it any coincidence, comrades, that companies in which Vantage Point had invested raked in $2.4 billion from the DOE slush fund?
  • David Danielson left General Catalyst to join Obama’s DOE. Subsequently, the DOE handed out $105 million to three companies backed by General Catalyst. The DOE denies any connection here — pure coincidence.
  • David Sandalow is a longtime Democrat player (he was part of the Clinton Administration as well as a fellow at the Brookings Institute, a liberal thinktank). He was paid nearly a quarter of a million dollars by venture capital company Good Energies (don’t you just love these names?) the same year he left it to join the DOE (2008). Again, according to the DOE, it is pure coincidence that SolarReserve, one of the companies invested in by Good Energies, scarfed up $737 million in DOE loans.
  • Steven Spinner (a marvelously Dickensian moniker) raised over a half-million bucks for Obama. He was then made a loan advisor to the Green Regime’s DOE, which awarded venture capitalist firm Wilson Sonsini’s client firms $2.75 billion in various forms of financing. By another astonishing coincidence, Spinner’s wife just happened to be working for — Wilson Sonsini!
  • John Roos was a major “bundler” for Obama’s 2008 race. He was also CEO of Wilson Sonsini when its clients received all that DOE pelf.
  • Steve Westly was another big donor-bundler for the Obama campaign. He is the founder of venture capitalist firm Westly Group. He also served on the DOE advisory board, the same DOE that forked over $600 million to companies invested in by the Westly Group.
  • David Prend is head of the venture capital firm Rockport Capital. Prend has long been affiliated with the DOE, going back to the most recent Bush administration, and continued his role under Obama. Companies supported by his firm (including the infamous Solyndra) received $668 million in money from the DOE.

Some years back, I reviewed a great book by Arthur Brooks, Who Really Cares?, which showed conclusively that progressive liberals are actually far less charitable on average than people who don’t support redistributionist governmental policies. That is, progressive liberals generally were shown to be liberal only with other people’s money.

What is emerging now is a corollary to that thesis. It is now obvious that venture capital firms run by progressive liberals venture only other people’s capital.




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More Green Goblins

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The Great Green Energy Bust continues to accelerate, with new wrinkles on crony green capitalism showing up almost daily.

Let’s start with the far-from-sunny news regarding the Obama administration’s favorite industry, solar power. The Wall Street Journal reports that the whole solar industry is in trouble. The demand for solar panels is projected to be flat next year, and many of the players in the industry face plummeting stock prices or even bankruptcy.

In the last quarter of 2011, at least seven solar manufacturers hit the wall. These include the German firms Solar Millennium and Solon SE, and of course the notorious American firm Solyndra. Six of the ten biggest solar companies reported losses in the third quarter of 2011; six of the ten also showed corporate debts that exceeded their market capitalizations.

The solar industry as a whole experienced an average stock price drop of 57% during 2011.

Part of the problem is noted in the Journal article: a glut on the market of solar panels and other components, because China has expanded its solar manufacturing industry. Remember, China has the vast majority of known reserves of the rare earth minerals used in solar panels, and it still has relatively inexpensive labor.

But the article also notes that consumer demand for solar products has fallen off. During the last year, for example, German demand fell by 29%.

What the article doesn’t mention are the major reasons for the decline in demand, but these are important to understand.

First, more countries are cutting back on their massive subsidies for solar panels. Solar power requires much more subsidization than nuclear power, and vastly more than for fossil fuels such as natural gas.

Second, there has been a renaissance of fossil fuel energy, driven by the rapid rise of nonconventional fossil fuels — natural gas and oil extracted from shale and tar sand fields by such newer technologies as fracking and horizontal drilling. I have explored this renaissance elsewhere; suffice it to say that it has pushed natural gas in particular to such low prices that it is making green energy seem obviously stupid from any economic standpoint.

Next comes a report out of the Netherlands that the Dutch — for whom windmills have been part of the national ethos — are apparently starting to have regrets about wind as a power source.

Five years ago, in a burst of Green enthusiasm, the Dutch built three dozen huge wind turbines — each the size of a 30-story building — out in the North Sea. However, even the North Sea wind and the Dutch enthusiasm couldn’t change the fact that, like solar power, wind power is grotesquely inefficient, and so requires lavish taxpayer support. The Dutch had to pay $4.5 billion Euros last year to subsidize these windmills.

Consumer demand for solar products has fallen off. During the last year, for example, German demand fell by 29%.

The government there has just announced that it can no longer afford to pick up the tab. Naturally, it hopes to make consumers and businesses pick it up instead. In 2013, the government will start a billing scheme under which consumers will pay more for wind power, and investors will (supposedly) be lured into supporting it.

The government concedes, however, that the new arrangement will cover only about a third of the subsidy. So, as the article gently puts it, “The outlook for Dutch wind power projects seems bleak.”

The Dutch, those clever people — think of their achievements, from those enormous dikes to those quaint wooden shoes — have grasped the fact that land-based wind farms are hideous, costly, unsafe, and noisy, while offshore wind farms are even costlier and harder to maintain.

The Dutch government had planned to increase its current share of renewable energy (as a percentage of all energy used) from the current 4% to 14% by 2020. But that was just a green dream. The government now estimates that it will only be at 8% to 12% renewable energy by then. Of course, if it ended all subsidies, even the ones it passes on to hapless consumers, the industry probably wouldn’t grow at all — or even survive.

Let’s turn to another green energy boondoggle, one often overlooked because the scandals in solar and wind power have been so juicy and so damn numerous. Several recent reports show that the so-called “alternative biofuels” program is also rife with waste and corruption.

By the way, the misleading term “biofuels” refers to alcohol, diesel, or other liquid fuels created from plants. For many years, ethanol has been produced from sugar cane, and more recently from corn. Call that “standard biofuel.” Alternative or “cellulosic” biofuel is derived from other plants, such as switch grass, and plant wastes, such as corncobs. Now you know.

A WSJ article recounts the astonishing history of the whole biofuel program. It started as one of George Bush’s sillier ideas. So eager was he to show that he wasn’t the “oil boy” his critics accused him of being that he signed the Pelosi-crafted bill into law in 2007.

This abominable bill called for (shock and awe!) super subsidies for the super fuel. (Why do all these super energy schemes do that?) The bill provided a tax credit of $1.01 per gallon. Another Pelosi-Bush bill then required oil companies to blend this costly crap with their fossil fuels. The mandate started at 100 million gallons in 2010 and was supposed to hit 250 million in 2011, 500 million in 2012, and 16 billion in 2022. But already this preposterous program has stolen $1.5 billion from the taxpayers. I don’t need to tell you that Obama gave it his Chicago crony capitalist stamp of approval.

The Dutch, those clever people, have grasped the fact that land-based wind farms are hideous, costly, unsafe, and noisy, while offshore wind farms are even costlier and harder to maintain.

Would that Bush and Obama had both been oil boys, real ones. In that event we taxpayers would have been spared the billions of bucks pumped pointlessly into corn ethanol and cellulosic biofuels — not to mention the $70 billion Obama has pumped into the even stupider solar and wind programs.

As anyone could have predicted, cellulosic biofuel program has been a complete fiasco. Despite the billions in pelf that have been purloined from the citizenry to induce companies to produce the government-approved dreck, very little is being produced. The EPA (the agency with the power to revise the mandate) dropped the 2011 requirement from the original 250 million gallons to a risible 6.6 million. The EPA has just announced that it will set the level at 8.65 million gallons in 2012, significantly beneath the 500 million gallons called for, and will allow refiners to use corn ethanol to help meet the requirement. (Of course, corn ethanol is another corrupt boondoggle, as I have remarked elsewhere.)

The EPA thus acknowledges that the real production of cellulosic biofuels is infinitesimal. The feds are requiring refiners to buy a product that isn’t being produced in anywhere near the quantities necessary for them to comply with the requirement, and the EPA has been fining oil companies for not meeting the mandate.

The problem with alternative biofuels — indeed, all biofuels — is the same as that with solar and wind energy. As the National Academy of Science put it in a recent report on this so-called industry, it is cost, “the high cost of producing cellulosic biofuels compared with petroleum-based fuels, and uncertainties in future biofuel markets.” Read: uncertainty about how much longer a nearly bankrupt government will be able to fund such scams.

Scams? Yes, I said scams — “scams” in the sense of unworkable nonsense, at least, and sometimes “scams” in the sense of something worse.

Despite the prospect or reality of subsidies, about a half dozen of the firms that were supposed to produce alternative biofuels never got off the ground. And the company that was supposed to provide 70% of the cellulosic fuel to meet last year’s mandate, Cello Energy, went bankrupt last year.

The Cello story is cute. The company was found guilty in a 2009 civil case of making fraudulent claims. It reportedly overstated its production capabilities to investors, and — this is hilarious! — passed off some ordinary (i.e., petroleum derived) diesel as biodiesel. In fact, the company never produced much biofuel of any kind, standard or alternative.

Then there is the unsurprising news that crony green capitalism extends to biofuels as well as wind and solar energy. A recent story recounts how yet another Obama crony is at the center of yet another massive scam on the taxpayer.

It so happens that the Regime’s highly politicized Agriculture Department — you know, the one that has been waging war on non-conventional fossil fuel production — pushed the Navy to purchase nearly half a million gallons of alternative biofuels for their aircraft. This is the largest federal purchase of biofuel ever.

That’s just the beginning of the story. In an effort to create what it calls — dig this! — “the Great Green Fleet Carrier Strike Force,” the Navy is working with the Agriculture and Energy Departments to buy $510 million in biofuels, so that our seaborne fighting force, which earlier made the transition from diesel to nuclear power, can transition back to diesel fuel — but this time to biodiesel rather than fossil fuel diesel.

If that’s not funny enough, consider this: the biodiesel just purchased costs $16 per gallon, which is four times the price of normal (i.e., fossil fuel derived) diesel.

A key beneficiary of this price gouging of our Navy is a California company called Solazyme. Solazyme’s major “strategic advisor” turns out to be one T.J. Glauthier, who was a member of Obama’s transition team and crafted the energy industry section of the Obama Regime’s notorious 2009 “stimulus” bill.

Oh, and lest I forget, Glauthier made sure that Solazyme got $22 million out of that very bill.

Meanwhile, however, there is hope. The renaissance in fossil fuels, and the growing shortage of government funds to subsidize stupidly inefficient industries, is rapidly putting paid to the whole insane, overhyped, profoundly corrupt green energy program.

Thank God!




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More Thoughts on Green Energy

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Look, I apologize — okay? — but this story just won’t stop. I know that I’ve written a fair amount on crony green capitalism, but more things keep propping up, and the mainstream media keep ignoring them. They have made green energy their shibboleth. So those of us in the alterative media just have to step up to the plate.

First, some recent material on the most notorious “green energy” scandal: the Solyndra case. Solyndra was loudly touted by the Obama Regime as a “jobs machine,” and its chief investor was a billionaire leftist Obama fundraiser. This “company” was given a half-billion bucks in taxpayer-backed loans, after which it went belly up. The Republicans in the House of Representatives have been trying to get all the information on the scandal, but they are naturally facing a White House stonewalling campaign. The Democrats in the Senate, led by Majority Leader Harry Reid, who has his own ties to the corrupt green energy program, are ignoring this issue.

The House served a subpoena on the White House for all its internal emails about the company. The White House is obviously frightened of those coming to light. An early release of emails showed that very high officials in the Regime knew Solyndra was in trouble even as the Regime was looking at plans to shovel it more taxpayer-backed loan guarantees; the subsidies were given, nonetheless. The emails caused the Regime considerable embarrassment, and it is clearly worried about more unfavorable publicity. So it is practicing what the Nixon Watergate cover-up hatchetman had called a “modified, limited hang out.” That is, it has released some highly redacted emails, but with crucial information omitted, and has refused to release all pertinent information.

More recently released emails show that the Department of Energy (DOE) put pressure on Solyndra to squelch an announcement that Solyndra planned worker layoffs and a plant closing until after the election.

That’s right. Solyndra’s CEO warned the DOE on Oct. 25, 2010 that because the wretched company was running out of cash, it planned to lay off employees on Oct. 28. He noted that reporters had apparently learned the company was in trouble. In an email of Oct. 30, advisers to Solyndra’s main investor note that the DOE has pressured the company to put off the announcement until a day after the Nov. 2 midterm elections. The email says, “DOE continues to be cooperative have indicated that they will fund the November draw on our loan (app. $40 million) but have not committed to December yet. . . . They did push very hard for us to hold our announcement of the consolidation to employees and vendors to Nov. 3rd — oddly they didn’t give a reason for the date.”

That last sentence indicates that the unnamed author of the email was either an idiot or a comedian.

These emails and others reveal a level of coordination between the company and the DOE that can only be called crony capitalist collusion.

Now let us mourn the demise of yet another “promising” green energy company — one I haven’t mentioned before — Beacon Power. I know what you’re thinking: why lament the passing of another startup company? Don’t 56% of all new companies fail in the first four years, Jason? What part of Schumpeterian economic theory don’t you understand, the “creative” part or the “destruction” part?

Now that’s a great return on your investment: pay less than a hundred grand, and pocket $400 million in return.

The reason you should mourn, dear friend, is that more of your tax dollars were spent on this boondoggle. Yes, Beacon Power got a tidy $43 million in taxpayer-backed loan guarantees from Obama’s DOE, and it has just filed for bankruptcy.

Then again, there is the chipper, choice news that another solar company, Colorado-based Abound Solar, received $400 million in (as always with this corrupt regime) taxpayer-backed DOE loan guarantees. Now, I know this will shock you, but one of the major investors in Abound Solar was a big financial backer of — Obama!

In a story that abounds in irony, though not in legitimate profits, one of the major investors in Abound Solar — a creature delightfully named Pat Stryker (as in, striking at our tax dollars) — “bundled” $87,500 for Honest Barry. Now that’s a great return on your investment: pay less than a hundred grand, and pocket $400 million in return.

And I must not omit the news about Robert Kennedy, Jr.’s, sly crony capitalist deal. This story has been unearthed by the keen eye of Peter Schweizer, who has an expose of the morass of crony capitalism our nation has become in his new book, Throw Them All Out.

Kennedy made his name as a big booster of green energy (except, of course, in his own backyard). His company, BrightSource, snagged a very tidy $1.4 billion bailout from Obama’s DOE. Apparently, though the details are still murky, this bailout — a DOE taxpayer-backed loan guarantee — was arranged by a key DOE employee who had only recently worked for Kennedy’s company.

The central player may have been Sanjay Wagle. He was one of the owners of BrightSource, and he raised money for Obama’s 2008 campaign. Upon election, Obama appointed him to the DOE as an adviser — on energy grants! Pretty convenient for the company, no?

At the time it requested the loan, BrightSource was a basket case, with $1.8 billion in debt, losses of $71.6 million, and a lousy $13.5 million in revenue.

The corruption these stories reveal is truly Nixonian. But there is a difference between Nixon’s and Obama’s corruption. The mainstream news media were interested in exposing Nixon’s (because they loathed him), but aren’t in the least interested in exposing Obama’s (because they love him).

For the record: this whole green energy loan guarantee program was approved by George Bush, and was dramatically increased by Obama with so-called stimulus money. Can we all not now agree just to kill the whole freaking stupid program?




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How Green Were My Cronies

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One of the signature issues of the Obama administration has been “green energy.” From its first day in office, the Green Regime has attempted to get America to convert to the so-called “renewable” sources of energy: biofuels (especially corn ethanol), geothermal power, wind power, and solar power.

Behind its ideological commitment to green energy, however, is a solid core of self-interest. It gets a huge amount of financial support from environmental organizations, and a large number of wealthy environmentalists. It is using its funding and regulatory power to reward these donors, giving them not only psychic benefits but also material ones.

In short, it is green for the green.

This crony green capitalism has two sides: a regulatory side (negative) and a subsidization side (positive). Both sides are needed, because “renewable energy” sources are seldom even remotely price competitive with fossil fuels. Not only must they be subsidized by government, because private investors are reluctant to put up their own money for them, but they can become saleable only if the government drives up the cost of fossil fuels by piling up regulations on fossil fuel production.

The regulatory side of crony green capitalism is the administration's jihad against all fossil fuel industries. It has locked away vast parts of the continent from oil and gas drilling, and has fought the new fracking technology tooth and nail. It has set loose the EPA with the goal of ending the use of coal, and has severely restricted drilling in the Gulf of Mexico. And it is opposing even the exploration of the US continental shelf.

The flip side is the lavish subsidization of so-called green energy sources, especially wind and solar. It is here that the play for pay game gets frisky. A flurry of recent reports about who has gotten these taxpayer subsidies dramatically increases the stench of corruption that emanates from the Regime.

It is hard to know just where to begin, but we can start with Solyndra, that striking piece of rentseeking dreck Obama boasted would create tons of jobs. We first learned that the billionaire who backed the company, George Kaiser, was a big donor to and “bundler” (i.e., a collector of donations ostensibly from others) for the Obama campaign. Kaiser’s company Solyndra was given a half-billion dollar loan guarantee by the Green Regime’s Department of Energy (DOE), structured in such a way that if the company hit the wall, the American taxpayer (as opposed to the billionaire bundler) would be liable for the loan. And hit the wall it did.

The regulatory side of crony green capitalism is the administration's jihad against all fossil fuel industries.

Well, now we learn that the entrepreneurial genius, Kaiser, this bien-pensant billionaire who wants so very much to help his country — paid zero income taxes for years. He did this by buying companies that had unrealized losses that he could then use to wipe away his personal income taxes. Kaiser is an interesting pal for a president who has shown deep fondness for bashing “millionaires and billionaires” for not paying “their fair share” in taxes.

It also turns out that an advisor for the loan program that shoveled the cash at Solyndra was — by an astonishing coincidence — a huge Obama fundraiser. This fellow, Steve Spinner, raised over a half-million dollars for Obama. And he is also — by an even more astonishing coincidence — the husband of a lawyer whose firm represented the company during its application for the loan. Moreover, despite the fact that Spinner agreed in writing to stay out of the loan process, emails show that he was involved up to his eyebrows.

It has also come to light that RockPort Capital, one of Solyndra’s biggest investors (and a board member) used its seat on a Pentagon panel that exists to help the Armed Forces identify useful new technologies to push Solyndra on the military. While RockPort disclosed that it had an investment in Solyndra, it never mentioned that the latter was a financial basket-case.

We now also learn that at least four other solar energy firms that received massive loan guarantees had executives and board members who were big donors to major Democratic politicians. These companies include Abengoa SA, First Solar, SolarReserve, and SunPower Corporation.

Start with Abengoa, a Spanish company. (Spain, remember, embraced wind and solar as the key to a jobs renaissance a decade ago. But green energy proved a veritable economic Black Plague for a country that has massive state-induced financial problems.) It turns out that Abengoa has worked with Sen. Dianne Feinstein (D-CA) to get nearly $3 billion in loan guarantees from the Regime to finance Arizona solar farms.

First Solar, upon which the Regime has lavished over $2 billion in taxpayer-backed loan guarantees, is likewise a supporter of the self-same Regime. Its founder and CEO Michael Ahearn donated nearly $125,000 to Democrats in the last election. He cleared nearly $69 million by selling some of his stock last month, even though the company cannot qualify for another loan from the DOE. Ahearn is clearly using the guarantees to keep a shaky company afloat, even as he sells his personal stock. His $125k investment in crony green capitalism has paid off big time — $69 million — while the taxpayer faces a $2.1 billion hosing. No, no corruption there!

SolarReserve is even more choice. The aforementioned billionaire bundler Kaiser (the Solyndra genius) also owns a majority of this rotten company, which got a tidy $737 million taxpayer-backed loan guarantee from the DOE. His company, Argonaut, has a voting share on the SolarReserve board of directors. Another member of the SolarReserve board of directors is one James McDermott, who just happens to have given over $60,000 to various Democrats since 2008, with about half going to Obama’s campaign. McDermott’s company, US Renewable Energy Group, has also donated heavily to Sen. Harry Reid (D-NV), who needs no introduction.

Moreover, another SolarReserve board member, Lee Bailey, is a lavish campaign donor to Regime members and other prominent Democrats. Not to mention the fact that yet another board member, Jasandra Nyker, is partners with the brother-in-law of Nancy Pelosi (D-CA) in an investment company (Pacific Corporate Asset Management). And SolarReserve paid $100K in fees to a lobbying firm headed by Obama’s transitional team leader John Podesta, to push its loan and other interests.

Then there is SunPower, whose stock price has recently plummeted with its projection of losses for this year and next. It received a $1.2 billion taxpayer-backed loan guarantee, even after it announced that it would be building its solar panels in a new plant — in Mexico! So much for the idea that “green jobs,” paid for by Americans, would go to Americans.

SunPower gave $14,650 to Congressional Democrats in 2010 (and $500 to one Republican), with about a fourth of the money going to Reid. Oh, and the company paid nearly $300K to a lobbying firm headed by Reid’s close associate Patrick Murphy. Another major SunPower lobbyist just happens to be the son of Rep. George Miller (D-CA), who touted for the company in Congress, and publicity-toured its plant with the Regime’s interior secretary, Ken Salazar. The right honorable Rep. Miller also received funds for his own campaign war chest from the company in question.

SunPower, by the way, now has a market capitalization of only $800 million, not much in the face of corporate debt of $820 million, and is facing a mass of investor lawsuits. No doubt it will, like Solyndra before it, eventually hit the wall and hose the taxpayers.

In general, the solar energy boom is going bust, because it was solely a function of political, not market, forces. Taxpayer money was shoveled to economic losers, to enrich the crony capitalists who shoveled money at the Regime.

Let’s turn next to the latest news on electric cars (EVs). Start with the frisky Frisker fiasco.

Frisker Automotive is a Finnish company that makes pricey EVs — cars in the $100K range, sticker price, making them attractive to movie stars such as Leonardo DiCaprio, but few others. Fisker was given — yes, you guessed it! — a $529 million dollar taxpayer loan guarantee from the Energy Department. No doubt pushing the idea was Reverend Al Gore, the Green Giant who is also a major investor in — Fisker! (Gore, by the way, has already earned tens of millions from preaching the environmentalist religion, making him eerily similar to a corrupt televangelist.) Also on the list of investors in Fisker Automotive are several big donors to the Obama regime, and also John Doerr, one of Obama’s advisors.

So much for the idea that “green jobs,” paid for by Americans, would go to Americans.

The Regime justified the loan on the usual lying basis, i.e., that it would bring jobs to Americans. Vice President and Chief Buffoon Joe Biden bragged that the Fisker loan would create “thousands” of American manufacturing jobs. But Fisker has just announced that because it couldn’t find any facility in America suitable for building its cars, it will build them in Finland. Again, so much for the idea that American tax dollars are bringing jobs to America. Oh, and Fisker's electric motor and batteries are made in China! All of these cars will get a $7,500 tax credit, meaning that the few rich buyers of the Finnish-made cars with Chinese-made innards will have part of the tab covered by average-income American taxpayers. Comedy writers must have scripted this.

The kicker is that the Fiskers that were recently showcased in DC are not pure EVs, but hybrids, whose gas mileage is about that of an older model Ford Explorer.

By the bye, also receiving a similar-size taxpayer loan guarantee is Tesla Motors. Tesla’s main investors include Larry Paige and Sergey Brin, both Google-billionaires who lavishly supported Obama. So much for their corporate motto, “Don’t be evil.”

Then there is EnerDel, a maker of lithium-ion car batteries. Back in 2009, Obama doled out $2.4 billion in grants to battery makers to support EVs, including $118 million to EnerDel. Again, the insufferably dense Joe Biden saucily minced around two EnerDel plants in Indiana, boasting before cameras that the administration wasn’t only creating jobs “but sparking whole new industries.”

EnerDel, which has never turned a profit since its founding nearly a decade ago, closed the last fiscal year with a whopping $165 million loss, a mindboggling $100 million more in losses than it had reported previously. Its shares have plummeted 95% in the last years, down to a risible 27 cents a share. Nasdaq looks like it will delist the stock, and Ener1 — the parent company — has notified the SEC that it “is in the process of determining whether the company has sufficient liquidity to fund its operations.”

In short, it’s a goner, and when it goes, the taxpayer will again eat a big loss. This company was dicey all along, but the Regime still threw money at it — because it is only taxpayer money.

EnerDel also got huge support from the state of Indiana, promising 1,700 new jobs by next year and 3,000 in four years. Unfortunately, it only employs 380 people, and they look like goners, too.

The problem is obvious, at least to everyone but the cretins and corrupt clowns who populate the Regime: the market for EVs is and will remain tiny, given their inherent limitations.

Now, let’s look at wind power. First is the news that Obama went out this month to raise money with a “businessman,” a supporter of long standing, named Tom Carnahan. They chummed it up at a $25,000 a plate fundraising dinner for the Obama reelection campaign. (That has a sickening ring, doesn’t it?) Carnahan is another bundler, having garnered between $100,000 and $200,000 for Obama in 2008.

Al Gore has already earned tens of millions from preaching the environmentalist religion, making him eerily similar to a corrupt televangelist.

Yet by amazing coincidence, Carnahan is the head of a wind power company, Wind Capital Group, which just happened to receive $107 million in federal tax credits from the Regime. By the same kind of coincidence, Carnahan is part of the Democratic family that has long dominated the state’s political scene, and a brother of Congressman Russ Carnahan (D-MO).

Even more egregious is the case of the Shepherds Flat project in Oregon.

Shepherds Flat is an 845-megawatt wind farm that will cost $1.9 billion. Of this, astoundingly, the DOE will pay the developers $490 million in an outright cash grant, and give them another $1.06 billion in loans. The developers are putting up only about 11% of the total cost, and — according to Carol Browner (the Regime’s own “energy czar”) and Larry Summers (its economic advisor) — they will reap a staggering 30% return on their investment. This compares very favorably with the average 7.1% that most utility companies receive on their projects.

And just who might these lucky “entrepreneurs” be? The biggest player is — wait, let the suspense build! — GE!, which is being joined by Google and a couple of other partners. Google, as I mentioned earlier, was a big donor to Obama’s campaign. And GE? It is headed by Jeffrey Immelt, whom Obama appointed head of the President’s Council on Jobs and Competitiveness. And he was a big donor to Obama as well, natch.

This is the same GE that has a market cap of $170 billion, earned $5.1 billion in profit last year, and paid no taxes at all. Did it really need the money?

The project is questionable on other grounds as well. It is being built in a region that is already experiencing electricity congestion (the region of the massive Bonneville Dam). CNNMoney reports that it will create only 35 permanent jobs, which works out to around $16 million per job. Not that GE really cares much about American jobs — it is shipping its medical devices division to China.

No, no corruption here. None at all.

By the way, geothermal is looking pretty putrid, too. Two large geothermal companies, Raser Technologies and Nevada Geothermal Power, both received massive taxpayer backing, and are both sucking wind — the same wind that the solar and the (literal) wind companies are sucking.

Raser Technologies received a $33 million grant from the DOE. After pissing away all that taxpayer cash, along with a couple of hundred million bucks in private investor cash, the company has now filed for bankruptcy.

And Nevada Geothermal — a favorite pet of Harry Reid — received $66 million in grants from the Department of Energy, as well as a nearly $99 million taxpayer-backed loan guarantee. But it has just revealed that it has never operated at a profit for even one lousy day, and that it, too, is facing oblivion.

Still another geothermal company, US Geothermal, received a $97 million loan from the Department in February of this year, even though its financial filing with the SEC shows it hasn’t made a profit — in four years. And the stocks of two other geothermal companies that also got DOE loans are down 60% to 80%. These are just some of the tidbits of recent news from the taxpayer-supported green energy front.

Now, every time I report on the green "capitalism" that has been shoved down the throat of the American taxpayer by this corrupt Regime, I get wails of tearful anger from its supporters. The wails are of two types.

1. I am told that Republicans (especially the Evil Bush) have also supported various green energy projects. So, for example, the aforementioned Raser Technologies was backed by Sen. Orrin Hatch (R-UT). I am aware of that, and I criticized Bush in these very pages for doing the same thing.

But please spare me the simple-minded faux equation of the past administration with this one. There are massive differences in scale and focus. Bush did fund some green energy projects, but never on this massive scale. And his administration allowed oil, coal, and natural gas to flourish, and took the heat for it. He was pilloried for being too fond of fossil fuels. He was portrayed in the mainstream press as a creature of the oil industry; and Cheney and Halliburton — God, we never heard the end of that. Bush at least tried to push everything. . . . I certainly would have much preferred that he had pushed, or freed up, only what works (fossil fuels and nuclear power), but his approach was certainly better than the present crusade against fossil fuels, inaction on nuclear energy, and a massive splurge in technologies that are proven losers, yet owned by supporters.

The problem is obvious, at least to everyone but the cretins and corrupt clowns who populate the Regime: the market for electric vehicles is and will remain tiny.

You have to be blind to all recent history not to comprehend that since Carter at least, the Democrats have been by far more focused than Republicans on pushing inefficient green energies. Granted, Public Choice Theory posits that all politicians (Democrat, Republican, Communist, or Libertarian) are self-interested, so will be prone to spend public resources to advance their careers. But the point here is that precisely because green energies are absolutely commercially unviable without subsidies, while fossil fuels are extremely viable, a fossil fuels based energy program won’t need much subsidization, so will leave less scope for paying off supporters.

Really, if Obama dropped hydrogen bombs on every major red state in America, these same apologists would squeal, “But Bush bombed Iraq!”

2. I am told that I am being “hyperbolic.” In no way, these Regime apologists yelp, can the Green Regime be compared to, say, that of Putin.

My response is to ask the reader, with all we now know of the crony car capitalism, the crony green energy capitalism, and the numerous other crony dealings between the Regime and its supporters over the last three years, whether the comparison isn’t just. You decide: am I really being hyperbolic, or are the supporters of the Regime being merely obtuse?

While entertaining that question, you might consider this point. What has come to light so far has come out basically from the investigations of the alternative media. The mainstream media have done very little to look into any of the Regime’s scandals (contrast the unremitting, endless investigations of Bush). The Republican-controlled House of Representatives held some feckless hearings on the Solyndra farce, and only saw Solyndra’s executives smirk and plead the Fifth. If there were — as there ought to be — Watergate-style hearings into the whole green energy boondoggle, as well as the whole Government Motors scam, just imagine (if your stomach can bear it) what would come to light.

it announced that it would be building its solar panels in a new plant rdquo; of American manufacturing jobs. But Fisker has just announced that because it couldn$2.4 billion in grants




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Enron, Solyndra, and Double Standards

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In the wake of the Solyndra debacle, no less than the head of the Solar Energy Industries Association — one Rhone Resch — opined, “It’s going to be very similar to Enron’s legacy in the oil and gas industry” (though he quickly added, “Just in the sense of a history that flared out fairly quickly and fairly publicly”). Enron, we all recall, was the energy company that hit the wall after misleading investors with fraudulent financial reports.

Pace Resch, I think that the comparison between Solyndra and Enron is a false analogy. It overlooks their salient differences. First and foremost, when Enron went bust, it didn’t burn the American taxpayer, which Solyndra most assuredly did. It had nearly a half billion bucks in guaranteed loans, which the taxpayer must now cover.

Second, while Solyndra’s CEO was a major supporter of Obama, as Enron’s was of Bush, when Enron’s CEO called the White House for help, he got none; but when Solyndra’s head called his buddy in the White House, he got plenty.

Third, the mainstream media trumpeted the Enron fiasco for months, using it as a handy cudgel with which to bash Bush; but the media have been virtually silent about the Solyndra mess, even in the face of the Solyndra execs pleading the Fifth before a congressional committee trying to investigate the mess.

Fourth, it is doubtful that Hollywood will make a movie about Solyndra, as it did with Enron (The Smartest Guys in the Room), indicting both the industry and the president. The Green neo-socialists — aka Watermelons — are much too worshipful of both the solar industry and Obama.




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