The Crusade Of This AdministrationPrint This Story
The following is a ” Letter To The Editor ” contributed by Brad Ager.
Have an opinion or something to share? Email email@example.com
The crusade of this administration’s “green” initiatives has fallen short. The most recent addition to the long list of flailing or failed is Nevada Geothermal Power. After avowing that this would “put Nevadans to work” and Nevada would be the “Saudi Arabia of geothermal energy”, the pugilistic progressive from Nevada (Harry Reid) and Energy Secretary Steven Chu gave their cross our heart and hope to die endorsements to the Obama administration. Of course, this was all the blessing needed for a 98.5 million dollar loan guarantee to a company that had an existing facility up and running. The 98.5 million did not add any new construction or create a new job. A little FYI, when they guaranteed the loan NPG’s credit rating was BB+ (a.k.a. speculative, junk, below investment grade). That being said, let us take a look (and some blood pressure medicine) at the Obama administration’s record (and over 6.5 billion taxpayer dollars from those of us that still pay taxes) for all this wonderful touchy feely green initiatives.
Days before this California based company (hoorah for Feinstein, Boxer, and Pelosi-more on her later) received a 535 million dollar loan guarantee Obama administration officials warned that the loan was a bad move. The thinkers in the group were budget analysts Mathew Mosk, Brian Ross, and Ronnie Green, and Biden’s chief of staff, Ronald A. Klain. As we all know Solyndra went belly up in August 2011. Surely there were no hands in the presidential cookie jar, so how did the surgeon of spin attempt to remove any accountability and responsibility?
Stage one was to state they had no idea that Solyndra was in bad shape. This is tough to sell when you have White House emails from the three analysts. This alone is enough to elicit the liar liar pants on fire retort. Stage one is officially debunked. Stage two is, wait for it, wait for it,…….blame Bush. During an October press conference Obama said that the loan guarantee was a Bush initiative under the Energy Policy Act of 2005 and “all of them (Congress) in the past have been supportive of the loan guarantee program”. Well at least there is an ounce of truth buried in this one. The following comes directly from the DOE website. Section 1703, Title XVII, of the Energy Policy Act of 2005 was created to provide self-pay credit subsidy loan guarantees to U.S. (not Finnish aka Fisker Automotive) companies developing “a new or significantly improved technology that is NOT a commercial technology”. A self-pay credit subsidy loan charges the borrower the amount the government would lose over the life of the loan including lost interest, application, facility, and maintenance fees. The loan also guarantees that your tax dollars will pay the loan if the borrower defaults. These costs can range from 1-30% of the loan. However, Solyndra’s entire loan came from the amended Section 1705 (not 1703), Title XVII, of the Energy Policy Act of 2005. The amendment was created under the American Recovery and Reinvestment Act of 2009, also known as the stimulus law, for “commercially available technologies,” This amendment provided more funding and had no credit subsidy fees meaning the company didn’t have to secure any money for the loan guarantee. Since it was his bright idea to spend us out of debt, it definitely did not predate Obama. Stage two is officially debunked. For the sweeping bi-partisan support claim, in 2005, the Republican controlled House and Senate passed the Energy Policy Act. The House vote was 275-156 with 31 Republicans voting nay, and the Senate vote was 74-26 with 6 Republicans, Biden, and Hillary, who criticized the bill as too generous to the oil industry, voting nay.
Now for some dirt behind the Solyndra deal. First we have billionaire George Kaiser, a private investor in the Solyndra deal who just happened to be a fundraiser for Obama during the 2008 presidential election cycle. Up next we have another presidential backer, Steve Spinner. Ole Stevie boy raised about $500,000 for candidate Obama back in 2008 and subsequently got a top job in the Energy Department, where he was now able to influence the $535 million loan guarantee for Solyndra. By sheer coincidence Spinner’s wife worked for a law firm representing Solyndra at the time.
This gem had allegedly had a Standard & Poor (S&P) rating of CCC-plus, which is the same as being rated as a junk bond, before it was doled out 43 million in unsecured taxpayer money. When asked about personally investing in Beacon Power, economist Peter Morici (the bow tie sporting fella in the Kyocera commercials) said he wouldn’t do it on purpose stating that it wasn’t even good junk bond (oxymoron anyone). When it went belly up with our tax dollars in Oct. 2011, those not financially hurt by it were CEO William Capp (a 2008 Obama donor) and lobbyist Steve Wolfe (former aide to the late Sen. Ted Kennedy).
These guys received 1.4 billion, yes with a B. These entrepreneurs were neck deep in debt to the tune of 1.8 billion losing 71.6 million to their 13.5 million in revenue. For those of you possessing the ability to balance your family checkbook, more goes-outs than come-ins equates to you living beyond your means. No B.S. flags to be thrown here, despite the fact that the company’s largest shareholder is Kennedy’s VantagePoint Partners. Who pushed to secure this loan guarantee? None other than Robert F. Kennedy Jr. You remember him. The guy that got busted for heroin possession back in 1983 and got 2 years probation. Who else was a big player in this firm you ask? Let’s talk about former venture capitalist Sanjay Wagle (or vampire capitalist when talking about Romney). Sanjay, a big player fundraiser for Obama in 2008, left the private sector for a position in….you guessed it the Department of Energy. Since his appointment 2.8 billion dollars have been steered to companies that Sanjay’s old firm, Vantage Point Partners, have investments in.
Remember that awesome electric car that was going to be built here in the USA and all the jobs that would be created in Delaware all for a paltry 528 million. Evidently what we weren’t made privy to was the confusion of Delaware sounds an awful lot like Finland. What firm is behind Fisker? Well that would be Kleiner Perkins Caufield & Byers a venture capital firm in which Al Gore is a partner. But hey remember this project had the full support of Gilbert Grape. This was half of the 1 billion dollar wheel spin lumped in with Tesla motors backed by Google co-founders Larry Page and Sergey Brin. It may have been worth it though. If you want, look at the Consumer Reports test of the Fisker Karma where it died on the test lot.
After dropping 73% on the S&P 500 index, these guys won the label of worst performer in 2011 by BusinessWeek. With millions spent on lobbying that pesky moniker wasn’t going to stop Obama from awarding a mere 3 billion of our dollars in grants on its slow death.
I know enough already, “no mas”. We could continue on with the Pelosi connection to Tonopah Solar Energy, her board sitting brother-in-law, and the 737 million there. If you still want to keep going research the 1.4 billion going to Project Amp. The undisputable fact is this president has amassed more debt in just over three years than the previous president did in eight. While he may have inherited the recession (aka Bush’s fault), he has managed to do everything possible to prevent its recovery. Remember, he had the numbers and friends to do/undo anything he wanted from 2008-2010. All of this money has been wasted on profiting donors and friends for energy sources that when combined supply less than 2% of America’s energy (and that’s only if the sun is shining, wind blowing etc.). I do have a little knowledge and insight into this as I have been in the business of producing power for over 20 years. Of course it sure doesn’t help when you have a Secretary of Energy that wants to boost gas prices to the levels seen in Europe. By the way, that’s in the neighborhood of 8-10 bucks a gallon, and that is one expensive neighborhood.
Short URL: http://thisismycounty.com/?p=9210Print This Story This Post Sponsored By: