Two more renewable energy companies have failed (or are about to fail), despite hundreds of millions of dollars of government taxpayer-financed loan guarantees, tax credits, and grants. Both failures are taking place in the state of Nevada, and both companies were strongly supported by Nevada Sen. Harry Reid as major job creators. Reid promoted renewable energy in his state by comparing Nevada's sunshine and geothermal resources to the value of Saudi Arabian oil. Minor editing below in bold is mine.
1. Washington Times -- "A geothermal energy company with a $98.5 million loan guarantee from the Obama administration U.S. taxpayers for an alternative energy project in Nevada — which received hearty endorsements from Energy Secretary Steven Chu and Senate Majority Leader Harry Reid — faces financial problems, and the company’s auditors have questioned whether it can stay in business.
Much like Solyndra LLC, a California solar-panel manufacturer with a $535 million federal loan guarantee that went bankrupt, Nevada Geothermal Power (NGP)
has incurred $98 million in net losses over the past several years, has
substantial debts and does not generate enough cash from its current
operations after debt-service costs, an internal audit said."
2. Las Vegas Review-Journal -- "The Amonix solar manufacturing plant in North Las Vegas, subsidized by
U.S. taxpayers with more than $20 million in federal tax credits and grants, has closed its
214,000-square-foot facility about a year after it opened.
A designer and manufacturer of concentrated photovoltaic solar power
systems, Amonix received $6 million in taxpayer-funded federal tax credits for the North
Las Vegas plant and a $15.6 million grant from U.S. taxpayers via the U.S. Department of
Energy in 2007 for research and development."
This reminds me, I went into the new Tesla store at Scottsdale's "Fashion Square" mall the other day to finally get a look at the $100k product of one of Obama's DOE "bets" using tens of billions of not-one-penny-of-his-money-it's-our-money. Tesla Corp by itself received $465 million in loan guarantees.
ReplyDeleteAnyway, saw a sign in the back of the store. Sign said you can't actually legally buy a Tesla in Az, and the store salesmen cannot even discuss how you can purchase one. However, you could buy a t-shirt and hat! Meanwhile, Obama continues to insist Romney's business background somehow disqualifies him from the presidency.
I have a photo of the sign if anyone doubts what I'm saying.
Paul- Why can't you buy one in AZ?
ReplyDelete"grant from U.S. taxpayers via the U.S. Department of Energy in 2007"
ReplyDeleteBush! Bush! Bush! Bush! Bush!
dunno, probably franchise taxes or something like that. just guessing. point is, wtf is this taxpayer subsidized company doing leasing premium mall space in a state where they can't legally sell a single car?
ReplyDeletepoint is, wtf is this taxpayer subsidized company doing leasing premium mall space in a state where they can't legally sell a single car?
ReplyDeleteThat is weird. Scottsdale's near Phoenix, right? It's not like you can just cross a boarder and buy in another state?
Jon,
ReplyDeleteYep, it begins right where east Phx ends.
That's some beautiful country you got there, Paul. I was in Vegas in February for vacation and drove to Phoenix to visit a friend. On the way back, I was at this place called Sunset Point on I-17. Got there just as the sun was setting. I finally understood what "purple mountain majesty" meant.
ReplyDeleteJon,
ReplyDeleteAgreed. I will check out Sunset Point.
Arizona is "113400 square miles of heaven that God cut out."
~Barry Goldwater
I will check out Sunset Point.
ReplyDeleteIf I recall correctly, it was north of Black Canyon City. Is there a place called Black Canyon City? It's been a while since I saw a map.
Paul said...
ReplyDelete"dunno, probably franchise taxes or something like that. just guessing. point is, wtf is this taxpayer subsidized company doing leasing premium mall space in a state where they can't legally sell a single car."
There is a waiting list of 10,000 people and only 5000 wil be built in 2012. Next year Tesla hopes to build 20,000 and then they might be seen on Scottsdale Road.
"Bush! Bush! Bush! Bush! Bush!"...
ReplyDeleteAhhh, more clarification here from the Before the House Committee on Oversight and Government Reform - DOE 1705 Loan Guarantee Program: Success or Failure? dated May 12 of this year...
Buddy,
ReplyDeleteYeah, maybe. I saw that article.
But as late of July, 2011 Solyndra was touting its success.The CEO even went to Washington and presented a slide show, “The real story about Solyndra.”
By August the doors were shut.
In any case, Tesla opens themselves up to criticism how they spend their money when the taxpayers are fronting them.
how many millions? that's chump change.
ReplyDeletehow about 60 BILLION a year in govt subsidies to Big Pharma from Medicare Part D?
Haven't heard a peep about that subsidy that the GOP voted for under Bush.
"how many millions? that's chump change."
ReplyDeleteIt's actually over $38 billion. Still, could almost be called chump change in the age of Obama.
"Haven't heard a peep about that subsidy that the GOP voted for under Bush."
Because you're ignorant.
and the ethanol subsidies that have ended - were 6 billion a year.
ReplyDeletethe people complaining now about solar had no such complaints for ethanol, eh?
"the people complaining now about solar had no such complaints for ethanol, eh?"
ReplyDeleteAgain, ignorant.
The three largest renewable fuel subsidies were:
ReplyDeleteAlcohol Credit for Fuel Excise Tax ($11.6 billion)
Renewable Electricity Production Credit ($5.2 billion)
Corn-Based Ethanol ($5.0 billion)
anyone have a total number for solar/wind subsidies?
Oh for the love of all that is holy...
ReplyDeleteWhy does everyone on this blog have a fetish for freakin ethanol?
really don't care than much about ethanol except to compare and contrast the amount of money spent for that verses other subsidies.
ReplyDeletecontext.
Larry,
ReplyDeleteHaven't heard a peep about that subsidy that the GOP voted for under Bush.
Because you chose not to hear.
the people complaining now about solar had no such complaints for ethanol, eh?
They complained all the time. As with the above, you're just too ignorant and full of assumptions to know any better.
The three largest renewable fuel subsidies were
WERE. And thankfully, they've been eliminated.
context
Yes, context is important, but you routinely ignore it, as is demonstrated throughout this comment thread.
"context."
ReplyDeleteObama was one of the biggest ethanol whores in the Senate. He added his green energy "bets" to the ledger as part of this extra $5 trillion in debt he's added. There's your context.
re: ethanol whore
ReplyDeletesolar/wind whores?
This comment has been removed by the author.
ReplyDeleteMuch like Solyndra LLC, a California solar-panel manufacturer with a $535 million federal loan guarantee that went bankrupt, Nevada Geothermal Power (NGP) has incurred $98 million in net losses over the past several years, has substantial debts and does not generate enough cash from its current operations after debt-service costs, an internal audit said."
ReplyDeleteThe company used to show up at the Cambridge Natural Resource shows and push its ideas to people who had seen that idea fail time after time. The geologists used to wonder how long it was until management ran out of money and gave up. I guess I won't see anyone from the company at the September show but it is more than likely that some of the former management will wind up pushing some other next big thing.
Ethanol is still subsidized---corn farmers have received $85 billion in sibs since the 1990s. And its use is mandated.
ReplyDeleteYou can't fail when you are both subsidized and mandated.