Tag Archives: renewable energy

Obama Chasing Spain’s Failure

Just last year Obama was telling America how “green” energy technology was the guaranteed pathway to energy security and independence:

“The future is here. We are poised to transform the ways we power our homes and our cars and our businesses”.

He said America risked falling behind the rest of the world in the design, production and implementation of renewable or “green” technology.  The nation he most often cited as the example for America’s green energy development to follow was Spain.

http://www.youtube.com/watch?v=t3UebL-x-sw

Spain announced on April 7, 2012 that they would halt all new renewable energy and co-generation projects.  Spain’s unemployment is running at more than 24%.  Every job created in Spain’s “green” energy sector cost 2.2 private sector jobs.

As recently as January, Spain’s Prime Minister Mariano Rajoy was making the campaign promise that he would not raise taxes.  This week he admitted that there would be a new Spanish VAT hike ranging between 18% and 21% and that budgets for local communities would have to be slashed.

“I said I would lower taxes and I am actually raising them. Circumstances change and I have to adapt to them.  The excesses of the past are being paid for right now” Rajoy said.

Thousands of people joined in a protest and marched in Madrid to support miners, who have been fighting against major cuts to industry subsidies.   Protesters supporting the miners threw objects at riot police, including fireworks, bottles and stones.  Police officers charged demonstrators and fired rubber bullets.  Five people were arrested and three people suffered minor injuries.

That is Obama’s grand vision for America?

Since Obama took office in January 2009, five million “green” jobs were promised, and as of 2010 225,000 had been created.  80% of the green loans, loan guarantees, and grants given out by Department of Energy went to Obama backers:

•SunPower, after receiving $1.5 billion from DOE, is reorganizing, cutting jobs.

•First Solar, after receiving $1.46 billion from DOE, is reorganizing, cutting jobs.

•Solyndra, after receiving $535 million from DOE, filed for bankruptcy protection.

•Ener1, after receiving $118.5 million from DOE, filed for bankruptcy protection.

•Evergreen Solar, after receiving millions of dollars from the state of Massachusetts, filed for bankruptcy protection.

•SpectraWatt, backed by Intel and Goldman Sachs, filed for bankruptcy protection.

•Beacon Power, after receiving $43 million from DOE, filed for bankruptcy protection.

•Abound Solar, after receiving $400 million from DOE, filed for bankruptcy protection.

•Amonix, after receiving $5.9 million from DOE, filed for bankruptcy protection.

•Babcock & Brown (an Australian company), after receiving $178 million from DOE, filed for bankruptcy protection.

•A123 Systems, after receiving $279 million from DOE, shipped some bad batteries and is barely operating. It cut jobs.

•Solar Trust for America, after receiving a $2.1-billion loan guarantee from DOE, filed for bankruptcy protection.

•Nevada Geothermal, after receiving $98.5 million from DOE, warns of potential defaults in new SEC filings.

That is only a partial list.

If this all sounds eerily familiar, it should.

Especially the part about how an elected politician is breaking a campaign promise to not raise taxes.  Obama said he would lower taxes and is actually raising them.   He will claim that circumstances change and American have to adapt to them.

One similarity is inescapable.  The excesses of the past are going to have to be paid.  Thanks to the failed presidency of Obama, those excesses have grown disproportionately larger.

http://mjfellright.wordpress.com/2012/07/12/obama-chases-spains-failure/

Green Death

Eight regions of Spain have had their credit ratings cut as uneasy Spaniards moved their money overseas. Spooked by the questionable state of their banks, Spanish savers are now moving their money abroad faster than records have ever shown. Spain’s credit rating has been downgraded two notches and nearly 25% of Spaniards are unemployed

The Spanish newspaper La Gaceta ran a full-page article exposing the truth about Spain’s “green jobs” agenda, which just happens to have been cited many times by barack obama as the way “forward” for the United States. “Green energy” has now been exposed as a costly disaster that has undone Spain’s economy.

The Spanish Administration confessed “the increase of the electric bill is principally due to the cost of renewable energies.” It has now become officially recognized that the price of electricity, as well as increases in Spain’s debt are due to the extra cost of solar and wind energy. Additionally, the Spanish administration now admits that each green job that was created cost more than 2.2 traditional jobs in the private sector.

All evidence to the contrary, the obama administration insists on moving full speed ahead with its ill imagined, full frontal assault on the American energy industry, coupled with increased promotion of their “green jobs” fantasy.

Not only is coal America’s cheapest source of energy, the United States owns some the world’s largest coal deposits. Newly enacted EPA regulations now force a reduction in utility CO2 emissions to 1,000 pounds per megawatt of electricity. This regulation effectively bans construction of new coal-fired plants and will invariably lead to hikes in electricity costs. Since only natural gas meets the new emissions standard, the country’s electricity providers will be forced to pay the cost of converting to natural gas. One way or another, electricity prices will “necessarily skyrocket”.

Despite administration claims, obama’s hostility towards fossil fuels has led to reduced opportunities for domestic oil production. obama continues to call for the elimination of targeted tax breaks oil companies have been receiving for decades. The general public is largely unaware of the fact that those tax breaks are targeted chiefly for exploratory activities. Drilling for oil is an expensive, uncertain business venture. Even successful fields have limited lifespans. Besides, hiking taxes on new exploration is counter-intuitive to increasing production.

In addition to his open aggression towards traditional fuels, obama plans on “investing” more of American taxpayer money by doubling down on spending for wind farms, solar energy, homegrown biofuels and energy-efficient cars and buildings. The history of the administration’s “investment” strategy is fraught with peril.

Here are a few of the “green” “sustainable energy” failures that have already been supported by the current administration’s “investments”. Remember, all this financing was done using your tax dollars. Well, not exactly. It has been done with tax dollars to be re-paid to the Federal Reserve Bank and China by your grandchildren and great grandchildren. Plus interest:

Evergreen Energy-Which has filed for Chapter 7 bankruptcy, saying it’s “impossible to maintain operations” due to funding shortfalls. This announcement came after the company received $5.3 million in “stimulus” funds.

Amonix Inc.-A manufacturer of solar panels that received $5.9 million from the “stimulus”, laid off about 200 employees only seven months after opening a factory in Senate Majority Leader Harry Reid’s home State of Nevada.

Beacon Power Corp-Sought bankruptcy protection in 2010 after they received a $43 million loan guarantee from the Department of Energy.

Ener1 Electric-A car battery manufacturer, filed for bankruptcy three years after receiving a $118.5 million grant from the U.S. government.

These are all in addition to Solyndra-A solar panel maker that received a $535 million loan guarantee, then famously filed for Chapter 11 protection.

This is a mere taste of problems found when centrally planned big government intrudes into the free market. Not only is the spending inherently wasteful, the fact that these companies were in large part operated by big donors to obama’s political campaign points to the corruption involved when an ideologically captive, politically driven politician makes investment decisions based on cronyism. Two thirds of all energy loan guarantees or grants made by the obama administration’s Department of Energy have gone to his campaign donors or donation bundlers. Can you say quid quo pro?

All government energy subsidies should end. Energy companies should be free to compete without government interference. If and when “green” “sustainable energy” becomes a competitive solution, consumers will reward “green” companies that used private capital to successfully situate themselves in the market by purchasing their products. That’s how a free market works. That’s what’s made America the greatest economic success in the history of human civilization.

http://mjfellright.wordpress.com/2012/05/31/green-energy-death/