As President Barack Obama and his cadre of progressive socialist democrats jets off to Paris to join corrupt self-serving political poohbahs to pump up the rhetoric on that non-existent planetary emergency known as climate change, we have yet another failure of a Obama-certified “green company” about to enter bankruptcy.
The Spanish company Abengoa has entered insolvency proceedings after receiving at least $2.7 BILLION dollars in federal loan guarantees to protect the politically-connected investors who hoped to build-out two solar projects: the Mojave Solar Project here in California and the the Solana Generating Station in Arizona.
Like all companies that have a business model based on politics – grants, subsidies, and usage mandates – they have a hard time competing in the real world against fossil fuel, hydroelectric, or nuclear generating plants; and thus do not have “sustainable” economics. If Abengoa proceeds from an insolvency hearing and attempt at restructuring debt to a full-blown bankruptcy in Spanish courts, the disaster could rise to over $22 billion in losses to banks and other entities financing the fiasco.
1976 days ago, Barack Obama was touting the project …
July 03, 2010 | Weekly Address: President Obama Touts Nearly $2 Billion in New Investments to Help Build a Clean Energy Economy
As part of the explosion of Recovery Act projects this summer and as a move towards a clean energy future, the President announces nearly $2 billion in conditional commitments to key solar companies.
In this week’s address, President Barack Obama announced that the Department of Energy is awarding nearly $2 billion in conditional commitments from the Recovery Act to two solar companies. Abengoa Solar has agreed to build one of the largest solar plants in the world in Arizona, which will create about 1,600 construction jobs with over 70 percent of the construction components and products manufactured here in the USA. When completed, this plant will provide enough clean energy to power 70,000 homes.
And, Abound Solar Manufacturing is building two new plants, one in Colorado and one in Indiana. These projects will create more than 2,000 construction jobs, and over 1,500 permanent jobs as the plants produce millions of state of the art solar panels each year.
Remarks of President Barack Obama
Well, on Friday, we learned that after 22 straight months of job loss, our economy has now created jobs in the private sector for 6 months in a row. That’s a positive sign. But the truth is, the recession from which we’re emerging has left us in a hole that’s about 8 million jobs deep. And as I’ve said from the day I took office, it’s going to take months, even years, to dig our way out – and it’s going to require an all-hands-on-deck effort.
In the short term, we’re fighting to speed up this recovery and keep the economy growing by all means possible. That means extending unemployment insurance for workers who lost their job. That means getting small businesses the loans they need to keep their doors open and hire new workers. And that means sending relief to states so they don’t have to lay off thousands of teachers and firefighters and police officers.
Still, at a time when millions of Americans feel a deep sense of urgency in their own lives, Republican leaders in Washington just don’t get it. While a majority of Senators support taking these steps to help the American people, some are playing the same old Washington games and using their power to hold this relief hostage – a move that only ends up holding back our recovery. It doesn’t make sense.
But I promised those folks in Wisconsin – and I promise all of you – that we won’t back down. We’re going to keep fighting to advance our recovery. And we’re going to keep competing aggressively to make sure the jobs and industries of the future are taking root right here in America.
That’s one of the reasons why we’re accelerating the transition to a clean energy economy and doubling our use of renewable energy sources like wind and solar power – steps that have the potential to create whole new industries and hundreds of thousands of new jobs in America.
In fact, today, I’m announcing that the Department of Energy is awarding nearly $2 billion in conditional commitments to two solar companies.
The first is Abengoa Solar, a company that has agreed to build one of the largest solar plants in the world right here in the United States. After years of watching companies build things and create jobs overseas, it’s good news that we’ve attracted a company to our shores to build a plant and create jobs right here in America. In the short term, construction will create approximately 1,600 jobs in Arizona. What’s more, over 70 percent of the components and products used in construction will be manufactured in the USA, boosting jobs and communities in states up and down the supply chain. Once completed, this plant will be the first large-scale solar plant in the U.S. to actually store the energy it generates for later use – even at night. And it will generate enough clean, renewable energy to power 70,000 homes.
The second company is Abound Solar Manufacturing, which will manufacture advanced solar panels at two new plants, creating more than 2,000 construction jobs and 1,500 permanent jobs. A Colorado plant is already underway, and an Indiana plant will be built in what’s now an empty Chrysler factory. When fully operational, these plants will produce millions of state-of-the-art solar panels each year.
These are just two of the many clean energy investments in the Recovery Act. Already, I’ve seen the payoff from these investments. I’ve seen once-shuttered factories humming with new workers who are building solar panels and wind turbines; rolling up their sleeves to help America win the race for the clean energy economy.
About that second company, Abound Solar Manufacturing, mentioned by Obama …
Bankrupt solar panel firm took stimulus money, left a toxic mess, says report
The Abound Solar plant, which got $400 million in federal loan guarantees in 2010, when the Obama administration sought to use stimulus funds to promote green energy, filed for bankruptcy two years later. Now its Longmont, Colo., facility sits unoccupied, its 37,000 square feet littered with hazardous waste, broken glass and contaminated water. The Northern Colorado Business Report estimates it will cost up to $3.7 million to clean and repair the building so it can again be leased.
“As lawyers, regulators, bankruptcy officials and the landlord spar over the case, the building lies in disrepair, too contaminated to lease,” the report stated.
"If a coal, oil or gas company pulled something like that the EPA would send out SWAT teams and the U.S. Marshals to track down the offenders, bankrupt or not." -- National Legal and Policy Center, a think tank <Source>
Corruption is running rampant: pretty much why the progressive socialist democrats are in Paris touting the climate change that enables the organized crime coming from Washington …
If wind, solar, and other so-called “green” projects were economically feasible, you would not need government loan guarantees, incentives, or mandated usage. How many people realize that those privileged people who can purchase a $100,000 Tesla may be eligible to receive a $7500 federal rebate and that Tesla receives substantial local, state, and federal subsidies? Or the political corruption and chicanery that abounds (pun intended) in Washington.
Solar Jobs Join Harry Reid to Chinese Billionaire in Price Drop
A Chinese billionaire is teaming up with the most powerful man in the U.S. Senate to build a solar plant in a dusty corner of Nevada, even as officials accuse China of driving energy companies out of business by dumping cheap components on the American market.
ENN Group plans a manufacturing and generating facility worth $5 billion, more than all Chinese investment in the U.S. combined last year, in Laughlin, Nevada, a town pockmarked with foreclosed properties and the skeleton of a 14-story resort abandoned when the project went bankrupt.
Company founder Wang Yusuo, one of China’s richest men, has joined with Senate Majority Leader Harry Reid to win incentives including land 113 miles (182 kilometers) southeast of Las Vegas that ENN is buying for $4.5 million, or less than one-eighth of the $38.6 million assessors say it is worth. The project has produced legal work for Reid’s son, Rory, a lawyer at a Las Vegas firm that gave the Nevada Democrat more than $40,000 in the past three election cycles. <Source>
Company dumps big Laughlin solar project, says market won’t support it
A Chinese-backed company is pulling the plug on a multibillion-dollar solar project near Laughlin after it was unable to find customers for the power that would have been generated there, a Clark County spokesman said Friday.
In a letter dated Friday, an executive from ENN Mojave Energy LLC informed the county that the company was terminating its agreement to purchase 9,000 acres near Laughlin, stating that the “market will not support a project of this scale and nature at this time.”
The company, a subsidiary of ENN Group, described as the largest energy company in China, said it was unable to sign the necessary power purchase agreements to sell the energy generated from the solar plant to utilities in Nevada or neighboring states. <Source>
Stimulus-Backed Solar Facility Touted By Harry Reid Shuts Down
A federally-funded solar production facility in Nevada has ceased operations, according to a former employee at the facility. The closure could prove troublesome for the company’s political allies. The Las Vegas Review-Journal reports that the North Las Vegas production facility for solar panel manufacturer Amonix has not operated since May. The plant was backed by $21.5 million in federal green energy “investment” – in the form of a grant and a package of tax credits – and touted at length by Senate Majority Leader Harry Reid. <Source>
Tesla Is Hemorrhaging Money Despite Billions In Gov’t Subsidies
Liberal entrepreneur Elon Musk’s business ventures have benefited from nearly $5 billion in government subsidies in the past few years, but apparently that’s not enough taxpayer support to stop his electric car business from losing $4,000 on every vehicle it sells
News of Tesla’s huge losses comes after reports that Musk’s business ventures have benefited from $4.9 billion in federal and state government subsidies. Tesla Motors, where Musk is CEO, has gotten generous federal loans and benefits from state and federal tax credits encouraging people to buy electric cars.
“In all, Tesla buyers have qualified for an estimated $284 million in federal tax incentives and collected more than $38 million in California rebates,” the Los Angeles Times reported in May, adding that Tesla already secured “a commitment of $126 million in California subsidies to companies developing energy storage technology.” The Times also noted that Tesla got $1.3 billion in benefits from the state of Nevada to build a battery factory. <Source>
All while the investors and speculators pull out millions in stock market profits without having produced anything other than carpal tunnel wrists as they push their buy/sell offers or writing glowing reviews that tout the enterprise.
Bottom line …
By any measure, Obama’s crony socialism has trumped Bush’s crony capitalism … with many of the same politically-connected players milking and bilking American consumers and taxpayers out of billions of dollars. Pretty much the type of progressive socialist democrat corruption that tanked Fannie Mae and Freddie Mac.
It is time to end the climate change charade and rein-in political corruption. If things continue this way under the corrupt lying Hillary Clinton, we might find America sold to the highest bidder and the profits pocketed by Clinton’s non-profit foundation. It wouldn’t be the first time that a Clinton sold out their country for the proverbial thirty pieces of silver.
“Nullius in verba.”-- take nobody's word for it!
“Beware of false knowledge; it is more dangerous than ignorance.”-- George Bernard Shaw
“Progressive, liberal, Socialist, Marxist, Democratic Socialist -- they are all COMMUNISTS.”
“The key to fighting the craziness of the progressives is to hold them responsible for their actions, not their intentions.” – OCS "The object in life is not to be on the side of the majority, but to escape finding oneself in the ranks of the insane." -- Marcus Aurelius “A people that elect corrupt politicians, imposters, thieves, and traitors are not victims... but accomplices” -- George Orwell
“The key to fighting the craziness of the progressives is to hold them responsible for their actions, not their intentions.” – OCS
"The object in life is not to be on the side of the majority, but to escape finding oneself in the ranks of the insane." -- Marcus Aurelius
“A people that elect corrupt politicians, imposters, thieves, and traitors are not victims... but accomplices” -- George Orwell