Green Energy Triumph: $11,000,000.00 Spent Per Job Created

May 9, 2013

Yes the headline is correct. And contains a lesson in economics and imaginary markets, in it.

“Without much fanfare, the Department of Energy (DOE) recently updated the list of loan guarantee projects on its website,” the Institute for Energy Research noticed on Wednesday. ”Unlike in 2008, when Barack Obama pledged to create 5 million jobs over 10 years by directing taxpayer funds toward renewable energy projects, there were no press conferences or stump speeches.”

Uh-oh. Why weren’t there any celebrations? President Obama loves a good celebration. Why, we just found out about the super-secret star-studded bash he held after his inauguration.

Maybe it’s because the IER divided the $26 billion spent on “green jobs” by the Energy Department since 2009, divided it by the 2,298 permanent jobs created, and came up with a cost of $11.45 million per job.

Just imagine what the actual market – not the imaginary green one dreamed up by Obama and his billionaire cronies, who very much appreciate your support, even if they never seem to get around to thanking you for it – could have done with all those billions! Let’s see, $26 billion in loan guarantees, plus $13.5 billion in tax preferences, plus $5.8 billion in cash grants for “renewable energy”… that’s $45.3 billion that could have been returned to the people who earned it, through pro-growth tax cuts. Would anyone like to wager that the private sector couldn’t create more than 2,298 permanent jobs with that kind of dough?

Read more at humanevents.com …

Real markets do not behave this way.

Money well spent! I bet a large percentage of it ended up in Democrat coffers, it went to Democrat donors for the most part.


Baseload is Just A “Coal” Industry Idea (Yes And Darkness Is A “Renewable” Energy Idea, Right?)

November 27, 2012

Ever look at those satellite maps of the world at night?Notice anything? Like the number of countries that don’t have country wide power?

We have become so accustom to full time, just flip the switch, power and instant light we forget that we are not the norm in the world, who does with electricity. Ever think what it would be like to live in one of those dark countries? Have you ever wondered why Africa is mostly dark at night? Gives meaning to Dark Continent … You want to know how a continent rich in coal is still dark at night. For the answer to that perplexing question ask the dictators in Africa, and the IMF who pays them to keep it that way.

Modern society runs on electricity. Is that why our breezy turd world President is so hell bent on shutting the power off? Ask the New York City residents how that is working out for them?

Read the rest of this entry »


‘No More Solyndras’ Act

July 31, 2012

At least the Republicans are trying to stop the treasury raids by Obama and his looney energy policies. The stupidity of it all, kickbacks to donors, just throwing taxpayer money at problems does not work. It has to stop. Obama is turning America into a third world country, with loans like these …

The crony capitalism involved in the Obama administration’s Solyndra scandal that left taxpayers on the hook for a half billion dollars in government-backed loans must not be allowed to be repeated, Rep. Cliff Stearns, R-Fla., tells Newsmax.TV.

“The title of the bill is ‘No More Solyndras’ and it has three major components,”

Stearns said.

“The first is, we do away with the program so no more loan guarantees like this can occur. The second thing is we make sure there are no more subordinations so that the Department of Energy can’t bring in, for example, hedge funds and permit them to get access to taxpayers’ funds and taxpayers are no longer part of the process.”

With the increasing federal deficit, it’s time to start examining where taxpayer money is going and how it is being spent. Republicans have targeted the Department of Energy’s questionable loan programs for renewable energy companies with the ‘No More Solyndras’ Act. The DOE program began at the end of the Bush administration, but under the Obama stimulus it exploded, with $47 billion more in loan granting authority.  The DOE loan guarantee problem lies in the fact that there has been little to no oversight and monitoring of the loans and how the money was being spent. Even worse, there is no definitive reason as to why certain companies were chosen for the loans in the first place.

The ‘No More Solyndra Act’, introduced in the U.S House Energy and Commerce Subcommittee by committee Chairman Fred Upton (R-Mich.) and Rep. Cliff Stearns (R-Fla.) would disband the loan program, stop the Energy Department from issuing any loan guarantees for applications received after 2011, and set new guidelines and standards for applications and loans already awarded. Under the ‘No More Solyndras Act’, all loan guarantees under DOE consideration must be reviewed by the Treasury Department before awarded. This draft bill also states that if the Department of Energy chooses to make a guarantee against the Treasury’s decision, they must submit a report to Congress detailing their decision. ‘No More Solyndras’ also mandates that the DOE consult with the Treasury Department if any loan guarantees require restructuring. The draft bill also calls for the prevention of “subordination” of the taxpayers to private investors. This last point is in reference to the fact that in past cases the Department of Energy put private investors ahead of taxpayers in terms of being repaid in the case of a bankruptcy. This Act also calls for an economic analysis to be run on each individual company to ensure their project is viable. Investigations by various organizations and agencies have found that many loan guarantees were pushed through even after the DOE suggested pulling the companies funding.

It is not that renewable energy doesn’t deserve a chance to compete with natural gas and other forms of energy, but it does need to compete fairly. Right now we are throwing billions of dollars in loans, grants, and subsidies at an industry that cannot effectively compete on its won’t. Even with DOE throwing billions of taxpayer funds into alternative energy companies their profitability and competitiveness is falling. Until the technology is there to effectively, efficiently, and affordably produce renewable energy, we need to stop wasting the taxes paid by hard working Americans that result in jobless, bankrupt companies.

A draft of the ‘No More Solyndras’ Act passed the Energy and Power House subcommittee yesterday and is expected to come to a full committee hearing and vote soon.  If passed it will receive a bill number and be introduced to the House of Representatives, where Stearns (R-Fla.) hopes a vote will occur before the August recess.

Freedom works report.


Chu Blows It: Obama Energy Chief Bombshell Admission on Gas Prices

February 29, 2012

The Energy Department isn’t working to lower gasoline prices directly, Secretary Steven Chu said Tuesday after a Republican lawmaker scolded him for his now-infamous 2008 comment that gas prices in the U.S. should be as high as in Europe.

Instead, DOE is working to promote alternatives such as biofuels and electric vehicles, Chu told House appropriators during a hearing on DOE’s budget.

But Americans need relief now, Rep. Alan Nunnelee (R-Miss.) said — not high gasoline prices that could eventually push them to alternatives.

“I can’t look at motivations. I have to look at results. And under this administration the price of gasoline has doubled,” Nunnelee told Chu.

“The people of north Mississippi can’t be here, so I have to be here and be their voice for them,” Nunnelee added. “I have to tell you that $8 a gallon gasoline makes them afraid. It’s a cruel tax on the people of north Mississippi as they try to go back and forth to work. It’s a cloud hanging over economic development and job creation.”

Chu expressed sympathy but said his department is working to lower energy prices in the long term.

“We agree there is great suffering when the price of gasoline increases in the United States, and so we are very concerned about this,” said Chu, speaking to the House Appropriations energy and water subcommittee. “As I have repeatedly said, in the Department of Energy, what we’re trying to do is diversify our energy supply for transportation so that we have cost-effective means.”

Chu specifically cited a reported breakthrough announced Monday by Envia Systems, which received funding from DOE’s ARPA-E, that could help slash the price of electric vehicle batteries.

He also touted natural gas as “great” and said DOE is researching how to reduce the cost of compressed natural gas tanks for vehicles.

High gasoline prices will make research into such alternatives more urgent, Chu said.

“But is the overall goal to get our price” of gasoline down, asked Nunnelee.

“No, the overall goal is to decrease our dependency on oil, to build and strengthen our economy,” Chu replied. “We think that if you consider all these energy policies, including energy efficiency, we think that we can go a long way to becoming less dependent on oil and [diversifying] our supply and we’ll help the American economy and the American consumers.”


CBS: Obama admin spent $6.5 billion on risky green-tech ventures; Update: Obama proposes to save

January 13, 2012

The Stupid Will Buy It? Do You???

We already know that the Obama administration’s stimulus-funded subsidies of green-energy firms have been rather poor investments. Solyndra, after all, collapsed while taking over half a billion dollars in taxpayer money with it, after the Department of Energy illegally subordinated taxpayer risk for later investors — mainly an Obama bundler from 2008, George Kaiser. CBS News’ Sharyl Attkisson takes a break from reporting on Operation Fast and Furious to give a closer look at the performance of Barack Obama’s bets in the green-tech sector — and says that Obama bet more than $6.5 billion of taxpayer money in junk bonds:

Asked whether he’d put his personal money into Beacon, economist Peter Morici replied, “Not on purpose.”

“It’s, it is a junk bond,” Morici said. “But it’s not even a good junk bond. It’s well below investment grade.”

Was the Energy Department investing tax dollars in something that’s not even a good junk bond? Morici says yes.

“This level of bond has about a 70 percent chance of failing in the long term,” he said.

In fact, Beacon did go bankrupt two months ago and it’s unclear whether taxpayers will get all their money back. And the feds made other loans when public documents indicate they should have known they could be throwing good money after bad.

It’s been four months since the FBI raided bankrupt Solyndra. It received a half-billion in tax dollars and became a political lightning rod, with Republicans claiming it was a politically motivated investment.

CBS News counted 12 clean energy companies that are having trouble after collectively being approved for more than $6.5 billion in federal assistance. Five have filed for bankruptcy: The junk bond-rated Beacon, Evergreen Solar, SpectraWatt, AES’ subsidiary Eastern Energy and Solyndra.

I’m pretty sure Atkisson will be getting another screaming, expletive-laden phone call from the White House any time now.  After all, the meme of the day for the Obama administration is reform – All of a sudden, Bama wantss to shrink government … That’s laughter.


Second Energy Department-backed company goes bankrupt

October 31, 2011

Massachusetts company that received a $43 million Energy Department loan guarantee last year filed for bankruptcy Sunday, a step certain to fuel criticism of federal green energy financing in the wake of the solar company Solyndra’s collapse.

The Hill reports:

Beacon Power Corp., which develops energy storage systems, filed for bankruptcy protection in the U.S. Bankruptcy Court in Delaware.

Beacon Power had received federal loan guarantee to help build an energy storage plant in Stephentown, New York that began operating in January. The Treasury Department’s Federal Financing Bank provided the loan.

Beacon sought bankruptcy protection two days after the White House ordered an independent 60-day evaluation of the Energy Department’s loan programs aimed at ensuring effective management and monitoring.


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