Research Briefing

 Obama’s Green Energy “Poster Child” Files For Bankruptcy, Lays Off Over 1,000 Employees

Click To Watch Obama Tout Solyndra’s Green Jobs

President Obama: “Every Day That You Build This Expanded Facility, As You Fill Orders For Solar Panels To Ship Around The World, You're Demonstrating That The Promise Of Clean Energy Isn't Just An Article Of Faith, Not Anymore.” (President Barack Obama, Remarks At Solyndra, Inc., Fremont, CA, 5/26/10)

OBAMA TOUTED SOLYNDRA AS THE EPITOME OF HIS GREEN ENERGY VISION BUT IT FILED FOR BANKRUPTCY AND ELIMINATED 1,100 JOBS

“Solyndra Was The Epitome Of What The Government Envisioned To Be Our Green Tech Future… Confidence Was So High That Solyndra Got A $535 Million Stimulus Program Loan To Build A New Factory Along I-880 In Fremont.” (David Louie, “Fremont Solar Panel Maker Solyndra Scales Back Expansion Plans,” The Oakland Tribune, 11/4/10)

• “Solyndra Had Repeatedly Been Highlighted As A Model By The Obama Administration.  Chu Attended The Groundbreaking Of The Factory Solyndra Built Using The Federal Loan, And Vice President Biden’s Image Was Beamed To The Ceremony Through A Video Feed.” (Joe Stephens & Carol D. Leonnig, “Solyndra Solar Company Fails After Getting Controversial Federal Loan Guarantees,” The Washington Post, 8/31/11) 

Solyndra Announces That It Will File For Bankruptcy, Immediately Laying Off 1,100 Employees. “Solyndra, a Fremont solar tech manufacturer, announced Wednesday it is suspending operations and immediately laying off 1,100 employees.  The company said it will also file for bankruptcy.” (George Avalos, “Fremont Solar Tech Firm Solyndra To Shut Down, Lay Off 1,100 Workers,” The [San Jose] Mercury News, 8/31/11)

“Solyndra Is The Third U.S. Solar Manufacturer To File For Bankruptcy In A Month As Falling Panel Prices And Weak Global Demand Is Driving A Wave Of Industry Consolidation.” (Ehren Goossens, “Solyndra, Maker Of Solar Modules, To File For Bankruptcy, Cut 1,100 Jobs,” Bloomberg News, 8/31/11)

Solyndra’s President And CEO Brian Harrison: “Regulatory And Policy Uncertainties In Recent Months Created Significant Near-Term Excess Supply And Price Erosion.” (Ehren Goossens, “Solyndra, Maker Of Solar Modules, To File For Bankruptcy, Cut 1,100 Jobs,” Bloomberg News, 8/31/11)

NOW TAXPAYERS MAY BE ON THE HOOK FOR OBAMA’S POLITICAL CATASTROPHE

“The Company [Solyndra], Received $535 Million In Taxpayer Money From The U.S. Department Of Energy And $1.1 Billion In Private Venture Capital Funding.” (George Avalos, “Fremont Solar Tech Firm Solyndra To Shut Down, Lay Off 1,100 Workers,” The [San Jose] Mercury News, 8/31/11)

Taxpayers May Be Left “On The Hook” For The Federal Loans Received By Solyndra. “Taxpayers might be on the hook for the full amount of the loan if Solyndra is unable to repay, experts in the stimulus and loan guarantee program said Wednesday. The Energy Department could seek repayment in court, but receiving more than a nominal amount is unlikely because of the company’s lack of cash and assets.” (Joe Stephens & Carol D. Leonnig, “Solyndra Solar Company Fails After Getting Controversial Federal Loan Guarantees,” The Washington Post, 8/31/11)

• Administration Bypassed Steps To Protect Taxpayers. “The Obama administration bypassed steps meant to protect taxpayers as it hurried to approve an energy loan guarantee to a politically-connected California solar power startup…” (Ronnie Greene And Matthew Mosk, “Was White House In Hurry To Spur Green Jobs – Or Favor Firm Backed By Fundraiser,” iWatch News, 5/24/11)

 “President Obama Faces Political Catastrophe In The Form Of Solyndra -- A San Francisco Bay Area Solar Company That He Touted As A Gleaming Example Of Green Technology.” (Scott McGrew, “Solyndra Filing A Disaster For Obama,“ NBC Bay Area News, 8/31/11)

Non-Partisan Government Accountability Office:  “The Administration Didn’t Do Its Due Diligence” When Celebrating The $535 Million In Stimulus Funds For Solyndra. “It's not his statements the administration will regret; it's the loan guarantees. The President was celebrating $535 million in federal promises from the Department of Energy to the solar startup. The administration didn't do its due diligence, says the Government Accountability Office. ‘There's a consequence if you don't follow a rigorous process that's transparent,’ Franklin Rusco of GAO told the website iWatch News.”(Scott McGrew, “Solyndra Filing A Disaster For Obama,“ NBC Bay Area News, 8/31/11)

• “A Government Accountability Office Report Said The Department Bypassed Required Steps For Funding Awards To Five Applicants, Including Solyndra.” (Joe Stephens & Carol D. Leonnig, “Solyndra Solar Company Fails After Getting Controversial Federal Loan Guarantees,” The Washington Post, 8/31/11)

OBAMA’S GREEN AGENDA IS NOT WORKING OUT MUCH BETTER FOR THE AMERICAN PEOPLE

“The Green Economy Is Not Proving To Be The Job-Creation Engine That Many Politicians Envisioned.” “In the Bay Area as in much of the country, the green economy is not proving to be the job-creation engine that many politicians envisioned. President Obama once pledged to create five million green jobs over 10 years. Gov. Jerry Brown promised 500,000 clean-technology jobs statewide by the end of the decade. But the results so far suggest such numbers are a pipe dream.” (Aaron Glantz, “Number Of Green Jobs Fails To Live Up To Promises,” The New York Times, 8/18/11)

 “Federal And State Efforts To Stimulate Creation Of Green Jobs Have Largely Failed.” “Federal and state efforts to stimulate creation of green jobs have largely failed, government records show. Two years after it was awarded $186 million in federal stimulus money to weatherize drafty homes, California has spent only a little over half that sum and has so far created the equivalent of just 538 full-time jobs in the last quarter, according to the State Department of Community Services and Development.” (Aaron Glantz, “Number Of Green Jobs Fails To Live Up To Promises,” The New York Times, 8/18/11)

• “Job Training Programs Intended For The Clean Economy Have Also Failed To Generate Big Numbers.” “Job training programs intended for the clean economy have also failed to generate big numbers. The Economic Development Department in California reports that $59 million in state, federal and private money dedicated to green jobs training and apprenticeship has led to only 719 job placements — the equivalent of an $82,000 subsidy for each one.” (Aaron Glantz, “Number Of Green Jobs Fails To Live Up To Promises,” The New York Times, 8/18/11)

At This Rate, The “Greening” Of The Economy Equates To Just 17 Jobs Per $1 Million Spent. “‘If you took the government’s stimulus program on green activities, you get 17 jobs more or less per $1 million of expenditure,’ said economist Robert Pollin of the University of Massachusetts Amherst, whom the Commerce Department hired to run the numbers.” (Ari Shapiro, “Is Obama’s Bet On Green Jobs Risky?” National Public Radio, 6/13/11)