In the aftermath of the Solyndra scandal, in which $535 million guaranteed by taxpayers for the solar company’s loan has been lost, President Obama told ABC News his people “felt that it was a good bet.”
Not surprisingly the new partner - in a 50-50 joint venture with the state-run auto industry - is China. And also unsurprisingly, General Electric will join GM in a related partnership in the communist nation.
The story of bankrupt solar company, Solyndra, has turned into a major scandal for the Obama Administration as questions arise about the government's free spending of taxpayer money on failing so-called green initiatives. A $535 million federal loan was initially rushed through for the company as Obama touted Solyndra as being a prime example of how the bold new green-energy driven economy would create jobs while saving the environment. Now the results bring into question how dangerous the green economy strategy may be.
According to CNBC, General Motors has ramped up its lobbying efforts to the tune of $3.58 million in the first quarter of 2011. This is nearly triple the $1.36 million it spent in the first quarter of the prior year. It is also over double the $1.67 million spent by non-bailed out Ford in the same quarter. The $50 billion that taxpayers gave to bail out GM is now partially being distributed back to President Obama, Congress and a variety of agencies in an effort by GM to, well, receive more taxpayer money.
According to a report in USA Today, venture capitalists are throwing tons of money into clean and “Green” technology companies. In fact, investor Alan Salzman of VantagePoint Capital Partners says, “It's not alternative: We think of it as mainstream."
How mainstream? The newspaper says:
Several venture capitalists interviewed say it could be hundreds of billions of dollars — if not more — when adding up various slices, such as wind (estimated $60 billion) and solar ($20 billion to $30 billion).
Politicoreported yesterday that "it's not easy being green anymore," allegedly because of environmental groups' failure to score political victories even when news events are in their favor, such as the BP Gulf of Mexico oil disaster and the Japan nuclear reactor drama. And initiatives such as cap-and-trade failed despite the environoiacs' having a Democrat-dominated Congress and executive branch in 2009 and 2010. From the news story:
Progress Energy CEO Bill Johnson, whose company will (pending approval) be swallowed by larger electric utility Duke Energy, has been making the media rounds. He has discussed the planned merger, which he says is necessary because of looming capital projects that will be needed to meet electricity demand, but he also warned regulators in Washington of the dangers posed by the heightened government regulatory environment: