Oops: Yet Another Obama Solar DOE Project Goes Belly Up

The downside, other than the massive amounts of taxpayer funds wasted, is that these types of poor loans turn people off from what could be an otherwise smart move towards getting alternative energies to be competitive with fossil fuels

(Washington Post) A California solar energy company that was unable to meet a deadline for an Energy Department loan guarantee last year has sought bankruptcy protection in Delaware.

Solar Trust of America’s Chapter 11 filing on Monday listed assets between $1 million and $10 million, and liabilities between $50 million and $100 million.

Fox Nation finds a story from last year about how much taxpayers could be on the hook for

The U.S. Department of Energy has awarded a $2.1 billion loan guarantee to Solar Trust of America for a solar thermal power plant near Blythe, Calif.

The loan guarantee means the government will cover the debt Solar Power Trust of America will accrue to finance the project if it cannot pay it back to other borrowers.

Government, ie, the taxpayers.

  • The Lonely Conservative: President Obama has been out on the campaign trail saying the Republicans want to cut his investments in green companies. Well, of course they do! We can’t afford to keep dumping billions of dollars into failing companies.
  • PJ Tattler: Solar Trust. What a perfectly ironic name for this boondoggle.

Interestingly, Solar Trust actually turned down the $2.1 billion guarantee. Powerline

So the Obama administration’s proposed loan guarantee was so dumb that the prospective borrower decided not to take it! That tells you all you need to know about the Obama administration’s ability–actually, the ability of any administration–to execute an industrial policy that doesn’t fleece the taxpayers.

Don’t worry about massive layoffs, though, because Solar Trust employed a massive 9 people. Because green is creating jobs!

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5 Responses to “Oops: Yet Another Obama Solar DOE Project Goes Belly Up”

  1. Gumball_Brains says:

    MITSUBISHI to ‘Mothball’ $100M Wind Turbine Factory…

  2. Gumball_Brains says:

    The bankruptcy makes Schmidt’s attempt to rebuke DOE critics in the wake of the Solyndra bankruptcy particuarly ironic.

    Despite the posturing and finger pointing, the American solar energy industry is alive and well,” Schmidt wrote in an op-ed for the Huffington Post, before discussing his company’s business plans. Referring to Solyndra, he lamented that “one company’s bankruptcy has cast doubt on the credibility of a government program that is otherwise being administered with incredible efficiency.”

    The list of bankrupt solar companies has grown since Schmidt scolded Solyndra investigators. How many more might go bankrupt? Secretary Chu won’t say.

  3. […] back to other borrowers. (Read More)Good grief, what next? Talk about madness!Update: Linked by the Pirate’s Cove – thanks!google_ad_client = "ca-pub-1395656889568144"; /* 300×250, created 8/11/08 */ […]

  4. If solar energy was a heart patient, the doctors who recommend pulling the plug.

  5. Gumball_Brains says:

    The financial pipeline was cut short before engineers could begin operating the Blythe Solar Power Project, a 1,000-megawatt system with capacity to power 300,000 homes, according to the company.

    The company filed for Chapter 11 protection Monday, the day after it was scheduled to make a $1 million rent payment to the U.S. Department of Interior for the acreage.

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