Department of Energy

Fisker Sold to Chinese, Another Tesla Fire, More Stimulus Failure

Elon MuskLast week bankrupt Fisker Automotive was sold to a Chinese company, and Tesla Motors experienced another fire in one of its Model S electric cars.

The Obama administration Green-stimulus losing streak continues. The two luxury electric automaking companies, where the Department of Energy deemed taxpayer “investments” should be placed at risk, don’t inspire confidence.

Adoption of New Bulbs Requires Big Subsidies and Killing Incandescents

Cree bulbThe full implementation of the incandescent light bulb ban takes effect in two weeks, which in the U.S. government’s anti-liberty wisdom will effectively eliminate the competition to companies like Cree, Inc., who one industry analyst has said is trying to do a “land grab” of the alternative lighting market.

Besides the illegalization of the Thomas Edison’s filamentous light, Cree last week received a $30 million tax credit from the Department of Energy to expand its manufacturing in Racine, Wisc. and Durham, N.C., where it is also headquartered. That was the second installment for Cree from the Advanced Energy Manufacturing Tax Credit Program, which was funded by $2.3 billion from the Recovery Act. The first windfall for Cree from the stimulus was a $39-million tax credit, as well as $1.8 million for research and development. This is in addition to millions of dollars in federal grants and contracts, plus deals for much more with state and local governments to essentially smash perfectly good incandescents to replace them with Cree’s light-emitting diodes (LEDs).

Fisker Execs Kept Salaries While Employees, Taxpayers Got Taken

Fisker hearingThirteen of Fisker Automotive executives made more than six figures in the past year, despite manufacturing zero cars.

The news was first reported Wednesday afternoon on the automotive Web site Jalopnik.com, and later in the evening by the Delaware Journal. Jalopnik often gets the scoops when electric cars catch fire. For those unaware of the ugly saga, Fisker declared bankruptcy at the end of last month after squandering more than $1.4 billion in private investment and losing $139 million of taxpayers’ money.

Delaware Taxpayers Out $21M Thanks to DOE's Fisker Flop

A123 logoThere’s a postscript to the Fisker Automotive bankruptcy story from earlier this week: The actions by the Department of Energy in awarding the unworthy luxury electric automaker a $529 million loan gave them validation, to the point where the state of Delaware made its own “investment” with state taxpayers’ money in the company.

Now that the collapse is official, Delawareans are out too.

More Bankruptcies Just Mark of 'Success' for Dept. of Energy

Fisker logoFisker Automotive declared bankruptcy last week, inspiring the eternally optimistic Obama Department of Energy to crow about its achievements again.

“Recognizing that these investments would include some risk, Congress established a loan loss reserve for the program, and the Energy Department built in strong safeguards to protect the taxpayer if companies could not meet their obligations,” Bill Gibbons, an agency spokesman, said in an e-mail to Bloomberg News. “Because of these actions…the Energy Department has protected nearly three-quarters of our original commitment to Fisker Automotive.”

Duke Energy Fine for Bird Kills is All Show, No Substance

Duke Energy turbineLast week’s punishment/settlement between the Department of Justice and Duke Energy over bird deaths caused by its wind turbines gives evidence that the Obama administration needed a scapegoat, to defuse accusations that it applies a double-standard in enforcement of wildlife laws.

The Friday before Thanksgiving both parties announced that Duke would pay $1 million for the deaths of more than 160 birds that are protected by the Migratory Bird Treaty Act. The incidents occurred over the last four years at two Wyoming sites operated by the utility’s Duke Energy Renewables subsidiary.

'Democratize' Just the Latest Phony Campaign to Sell Renewables

solar panelsThe survival of wind and solar energy, like electric vehicles, is wholly dependent on coerced wealth transfers by government from the private sector (i.e., taxpayers) to the renewable industry. This distorted “economic sector” could only exist under political practices such as Communism at worst, and crony-favoring corporate welfare at best.

Problems Pile up for Taxpayer-Subsidized Tesla

Tesla Tenn fireFires, faulty drive units, financial losses and stock price deflation marked Tesla Motors news in a week that seemed as bad as the last couple of years were good.

Fortunately for CEO Elon Musk and his support staff he’s mastered the art of celebri-preneur showmanship that he’s built enough standing with the media to endure a really bad week. The multi-billionaire who’s dazzled with innovation at Paypal, SpaceX and SolarCity will be permitted his stumbles because of his track record and his self-assurance. Henrik Fisker, whose taxpayer-backed luxury electric auto company didn’t get nearly the same favor, must be jealous.

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