Another wasted 'investment' in alternative energy

Indianapolis Star:

It was hailed as a “game-changing community investment” and “the biggest thing manufacturing-wise that’s ever come to Tipton.” 

With a big boost from taxpayer dollars, Abound Solar was going to create up to 1,000 new jobs in an Indiana county with an unemployment rate north of 10 percent. It was going to make the workforce less dependent on the auto industry. And it was going to bring new life to an unused manufacturing facility that another company had abandoned. 

Cut to Thursday, when the Colorado-based maker of solar panel parts announced it would suspend operations and file for bankruptcy. 

The move came before the company had ever used the facility here, and almost two years after officials touted it as a coup for the region and state. But not before the federal government had approved a $400 million loan — about $40 million to $60 million of which the government acknowledged Thursday it would not get back. 

In a news release, the company cited a dramatic drop in the price of solar panels due to cheaply produced Chinese goods. Abound had been in discussions with potential buyers in the past few months, but those fell through.

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The problem with solar energy goes beyond cheap goods from China.  The supply of solar panels exceeds the demand by a significant margin.   That alone is enough to drive down the price.  The lack of demand that was forecast by the alternative energy crowd  signifies a failure ob Big Green and its allies.

We need to put this into Obama's portfolio of poor investments.  It is too bad his track record is not as good as Bain Capitol.  It is clear that his vision of adding 5 million green jobs was a fantasy completely divorced from reality.  The guy does not understand business or the economy.