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Sun Setting on Another Taxpayer-Backed Solar Firm

by Keith Koffler on February 29, 2012, 7:28 pm

Whoops, more taxpayer dollars headed down the green toilet.

Abound Solar, which received a $400 million federal loan guarantee to make solar panels, is laying off 70 percent of its workforce and delaying a new factory in Indiana, according to the Denver Post.

President Obama, during a July 2010 radio address, had such high hopes:

Abound Solar Manufacturing . . . will manufacture advanced solar panels at two new plants, creating more than 2,000 construction jobs and 1,500 permanent jobs.  A Colorado plant is already underway, and an Indiana plant will be built in what’s now an empty Chrysler factory.  When fully operational, these plants will produce millions of state-of-the-art solar panels each year.

Once the layoffs are complete, the company will have 120 employees, not 1,500. The Indiana plant was supposed to be operating by the end of 2012. Abound says it will update everyone on the plant’s future sometime in the middle of 2013.

The company has already run through $70 million of its loan guarantees and can only start tapping the rest once it starts making solar panels again.

Somebody please tell me the business model for a company that gets $400 million in free money and still can’t sell its product.

There is no business model for this.

The company’s CFO says unlike Solyndra, Abound’s solar panels are cost competitive.

I see.

H/T to Tina Korbe at Hot Air and Lachlan Markay at Scribe.

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{ 14 comments }

Girly1 February 29, 2012 at 7:38 pm

Another state-of-the-art Potemkin Village down the drain! The Chinese must be shaking their heads….

rawheadrex February 29, 2012 at 8:10 pm

The only green in BHO’s plan is the greenbacks his administration is throwing at solar energy.

Knothead February 29, 2012 at 9:18 pm

Keith,
Maybe you could use your inside contacts to inform the Pressintent that his green initiative kinda looks more like the color of poop.

Lanie February 29, 2012 at 9:31 pm

Greece, here we come!

Stephen C. February 29, 2012 at 9:43 pm

$3.69 per gallon deep in the heart of Texas.
How long before it reaches minimum wage level?

Wigglesworth February 29, 2012 at 9:52 pm

You can’t get any greener than sitting at home unemployed.

Mark Davis, MD February 29, 2012 at 10:07 pm

http://www.examiner.com/political-buzz-in-baltimore/obama-is-right-at-the-wrong-time This link describes Obama’s energy follies and why your lights not his may go out in the near future.

Susan February 29, 2012 at 10:09 pm

Another success story to add to the annals of the crook in chief. Not to mention new clients for his welfare programs.

Mark Davis, MD February 29, 2012 at 10:16 pm

Ditto!!!

srdem65 February 29, 2012 at 11:04 pm

“cost competive”? Solar panels are priced out of the reach of most homeowners. Every single homeowner/property owner in the Southwest would be thrilled to have solar panels installed on their roofs. The sun shines here 300 days a year and would be a great way to be “green”.

What a waste and a dang shame.

Star March 1, 2012 at 10:22 am

Exactly, SrDem! For my little hut, getting solar would be twenty grand! Forget that. And the good old elec co would have some way to not buy my overage or not lower my rates or something that would make me not come out ahead.

Car in March 1, 2012 at 6:26 am

You know, I’m beginning to think that the government really doesn’t know the difference between a good business investment and a bad one …

Just2old March 1, 2012 at 7:37 am

They don’t. These clowns have little or no business experience to be able to make an intelligent business decision. Their decisions are based solely on their so-called ‘green’ agenda. Crony capitalism at its worse! This is the same rationale that they are using to not do anything about the soaring gas prices. All part of the plan.

Star March 1, 2012 at 10:40 am

I did find that clip of Chu sitting there with his “big job” and saying people needed to be steered or priced away from cars pretty annoying. I bet he does not bike to work or check his tire pressure every morning or putt along in a Dolt.