Widespread bankruptcy of Obama-backed green energy companies continues as state of economy worsens

Tuesday, November 06, 2012 by: Ethan A. Huff, staff writer
Tags: green energy companies, bankruptcy, Obama

(NaturalNews) As idyllic as it might sound in theory, the pumping of billions of taxpayer dollars into green energy programs aimed at decreasing reliance on fossil fuels and foreign oil has not exactly led to the positive advancements in clean energy we were all told it would. According to a recent report by The Daily Caller, as many as 50 of the green energy companies that received massive loans or grants from federal and state governments in recent years are struggling to survive or have gone completely belly up.

The infamous $825 billion "stimulus" package hatched by the federal government back in 2009 as a way to supposedly kick start the economy included an $80 billion allotment for green energy subsidies, a substantial portion of which went towards the now-failed Solyndra corporation, not to mention nearly a dozen other teetering or flopped companies as of January of this year. But now that number has more than quadrupled, with literally dozens of companies under investigation for abuse, waste, and blatant fraud.

According to the The Heritage Foundation, a conservative think tank, at least 19 green energy companies given federal stimulus dollars have filed for bankruptcy since the program began. Collectively, these companies were given nearly $1.1 billion in taxpayer dollars that are now gone. And another 14 companies representing more than $5.8 billion in stimulus grants are on the verge of collapse, according to reports.

These companies include only those that received funds directly from the Obama administration as part of the American Recovery and Reinvestment Act of 2009 -- another 18-or-so companies that received "other state, local, and federal tax credits and subsidies" are also flailing or have filed for bankruptcy since receiving their cash infusions, as the national and global economies spiral ever-downwards with no end in sight.

"At least $15 billion of 'green' taxpayer money is either gone or still at risk," says the Green Corruption blog about the debacle, adding that there are now 27 troubled and 23 bankrupted green energy companies as of October 23. "[The] percentage of cronyism is hovering around 60 percent (29 of the 50)."

The most recent green energy failure was Satcon Technology Corp., which reportedly received a $3 million grant from the U.S. Department of Energy (DOE) earlier in the year, and filed bankruptcy on October 17. Just a day earlier, electric car battery manufacturer A123 Systems, which received a $249 million loan guarantee, filed for bankruptcy as well.

Sources for this article include:

http://dailycaller.com

http://blog.heritage.org