A Real Obama Scandal: Green Energy
Amidst the uproar over Fast and Furious and any other number of Obama Administration scandals, not to mention the numerous czars, is his green energy program. On July 16th at a rally in Cincinnati, Obama insisted that although he will not make the same mistake twice (Solyndra), he remained steadfast in commitment to green energy programs.
But, as any free market expert would tell you, the government is notoriously terrible at picking winners and losers in the economy. The evidence of Obama’s failure in this area is chronicled here:
Evergreen Solar of Massachusetts- received $3 million from the federal government (and $21 million from the state); loss of 800 jobs; moving operations to CHINA.
SpectraWatt of New York- received $500,000 from the federal government; a subsidiary of Intel Corporation; loss of 100 jobs.
Solyndra of California- received $523 million from the federal government; over 1,200 jobs lost; enough said.
Beacon Power of Massachusetts- received $43 million from the federal government; 125 jobs lost.
Eastern Energy of New York- received $17.1 million from the federal government; 500 jobs lost; a subsidiary of AES.
Nevada Geothermal of Nevada- received $98.5 million from the federal government; 25 jobs lost; this company is owned by a Canadian company.
SunPower of California- received $1.5 billion from the federal government; 1,560 jobs lost.
First Solar of Arizona- received $3 billion from the federal government; 2,100 jobs lost.
Babcock & Brown- received $178 million from the federal government; an estimated 1,000 jobs lost; this is an Australian equity investment company involved in US energy projects.
Ener1 of New York- received $118 million from the federal government; 600 jobs lost; manufacturer of electric car batteries.
Amonix of Nevada- received $5.9 million from the federal government; 200 jobs lost.
Fisker Automotive- received $339 million from the federal government to build electric cars…IN FINLAND!
Abound Solar of Colorado- received $400 million from the federal government; 125 jobs lost.
Solar Trust of America of California- received $2.1 billion from the federal government; unknown number of jobs lost.
A123 Systems of Michigan- received $279 million from the federal government ( plus $125 million from the state under Governor Granholm); 300 jobs lost; manufacturer of batteries for electric cars.
Willard and Kelsey Solar Group- received $6 million from the federal government; unknown number of jobs lost; owner of Amonix (see above).
Johnson Controls- received $299 million from the federal government to manufacture batteries for electric cars; after announcing plans to build two plants in the US, they opted to build one domestically and the other in HUNGARY; estimated 250 jobs lost.
Schneider Electric- received $86 million from the federal government; estimated 200 jobs lost.
Bright Source of California- received $1.66 billion from the federal government; unknown number of jobs lost.
ECOtality of California- received $126.2 million dollars from the federal government; tasked with building a system of recharging stations for electric cars; basically a offering a product with very few customers; unknown number of jobs lost.
Raser Technologies of Utah- received $33 million from the federal government; failed geothermal projects; unknown number of jobs lost.
These 21 companies have either failed for bankruptcy, been liquidated, or have considerably scaled backed their proposed projects and plants. As one can tell, some have opted to create jobs in other countries like China, Hungary and even Malaysia. It is one thing for a private equity firm to allegedly outsource jobs, but when the federal government does it with your tax dollars and my tax dollars it is an outrage. Here on Redstate, one of the advertisements is about using domestic products to build a bridge in California and Obama talks about “keeping jobs here in America,” yet our federal dollars have gone to companies from Australia and Finland. Nothing against those countries, but surely there are American companies qualified to develop energy projects and build electric cars.
The net total “investment” by Obama in these companies is $10,635,700,000. That is over $10 billion!!!! As best can be ascertained, at a minimum 10,135 people are out of work. Assuming these jobs of these people were created or “saved” by these funds, that works out to a federal investment of $1,049,043 per job. One has to wonder what the investment cost per employee is for any project Bain Capital became involved with.
Another important consideration is that most of these companies are located in considerably blue states (the exceptions being Utah and Arizona). Realizing that many high-tech companies are located in these states, there is, however, a disproportional amount of investment in these states regardless.
But the most scandalous aspect of this mess is the fact that about 80% of all the grant and loan money has been steered to political allies of Barack Obama. A study by the Hoover Institute revealed that as of September 15, 2011, $16.4 of $20.5 billion in government-backed loans went to companies owned by bundlers or donors to the candidacy of Barack Obama in 2008, or to the Democratic Party. This brings a whole new meaning to the expression “To the victor belongs the spoils.”
What is most appalling about the whole affair is the fact that Obama and that smarmy David Axelrod can twist things and hypocritically accuse Republicans and Romney and all conservatives of crony capitalism when there are over 10 billion fingers pointing at this joke of a presidency and administration. Most of these funds were appropriated under the “stimulus” package Obama and Pelosi foisted upon the American taxpayer. And who was the special advisor for green jobs in the administration during this time? None other than the now-disgraced Van Jones, a man who stated in 1992 that he was a “communist,” or at least “radicalized.” Isn’t it just a little ironic and hypocritical that a “communist” would resort to crony capitalism to advance a “green jobs” agenda? But then again, that is the modus operandi of Barack Obama and his administration.