Nothing says reducing inflation like dispensing $350 billion to your donors and allied special interests.
Remember Solyndra? Last year, I warned that we’d be seeing the massive green pork train come rumbling again. And the massive bankruptcies burning up a mountain of taxpayer money.
SunEdison also represented one of the biggest green energy bankruptcies, bigger than Solyndra, while benefiting from as much as $1.5 billion in government grants and subsidies. While Solyndra’s bankruptcy made it infamous, SunEdison actually scored more grants and guarantees. Its bankruptcy touched off a legal battle, revelations of ties to the Obama administration, and George Soros (for once in a financial role), along with the destruction of $10 billion in market value that took a stock trading at $30 to pennies and then a delisting.
If you think that’s a lot, here come $350 billion in pork loans to Biden’s special interests and donors.
The law authorizes as much as $350 billion in additional federal loans and loan guarantees for energy and automotive projects and businesses.
“This is a sleeping giant in the law and a real gold mine in deploying these resources,” said Dan Reicher, who was an assistant energy secretary in the Clinton administration. “This massive amount being made available is a big deal.”
A real gold mine. You will struggle to pay for gas and meat. They will roll in the money that Biden, Schumer and Manchin stole from you. And when the inevitable bankruptcies come, you, not they will be on the hook for the money.
That’s what the Inflation Increase Act does.
But like all government efforts to aid industry and advance new technologies, the expansion of the loan authority carries risks for Mr. Biden and the Democrats, who passed the bill without any Republican votes. About a decade ago, conservatives seized on the failure of Solyndra, a solar company that had borrowed about $500 million from the Energy Department, to criticize the Obama administration’s climate and energy policies.
Risk? What risk?
Obama got two terms. His old people are in charge now. They can blow up $350 billion and then change the subject with some cultural warfare or another Trump raid, and 99% of the country will never even know it happened.
Billions routinely vanish without a trace. We’ve become a third-world country run by transparently corrupt totalitarian thieves who are busy saving the planet by robbing and impoverishing us.
The department’s loan program office is reviewing 77 applications for $80 billion in loans sought before the new climate law was approved. The Inflation Reduction Act will add $100 billion to existing loan programs for financing production of electric vehicles, for instance, and for projects on tribal lands. It will also add up to $250 billion in new loan guarantees and $5 billion to support the costs of loan programs.
Tell me again how this reduces inflation?
“We have established that the private sector wants to use our resources again,” said Jigar Shah, the director of the Energy Department’s loan programs office and a former solar energy entrepreneur. “We still have to do a lot of work. We have to identify all the areas that qualify.”
Remember SunEdison? Jigar Shah founded it. That’s what i was warning about last year.
Politico gushed that Jigar Shah was a green finance legend who didn’t need an obscure government job running a loan program. Shah was nobly taking on the thankless job because “climate change had created an all-hands-on-deck emergency”. Also the “loan program” will allow him to play with some $22 billion in government loans. That ought to be an interesting gig for a “legend” who had been working with hundreds of millions and 4 listed companies.
We’re no longer dealing with $22 billion. And the bankruptcies that will follow will be even more debilitating and crush our economy further.
But since we’re not paying any attention to it, it’ll be quite a surprise when it happens.