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Mar
23

It's Not My Fault!!!!!!

In an interview yesterday with Marketplace.org President "Not My Fault" Obama put out a real whopper.

Marketplace's Kai Ryssdal : With all respect, it was kind of a gutsy move I think to come to a solar facility. Your administration has staked a lot on clean technology, green jobs. The biggest item most people know about that strategy is, of course, a company named Solyndra, which your administration gave loan guarantees to, that then went bankrupt and has been the subject of many investigations. Are you doing your "all of the above" strategy right if that's what we have to show for it -- Solyndra?

Obama: We are doing the "all of the above" strategy right. Obviously, we wish Solyndra hadn't gone bankrupt. Part of the reason they did was because the Chinese were subsidizing their solar industry and flooding the market in ways that Solyndra couldn't compete. But understand: This was not our program, per se. ..

Emphasis mine.  Not your program?  Really????  Even the leftish leaning Annenberg Foundation couldn't let that go unchecked.

President Obama exaggerated when defending his administration’s approval of a $535 million loan guarantee to Solyndra, a now-defunct solar company.

Obama referred to Solyndra’s loan at an Oct. 6 press conference as “a loan guarantee program that predates me.” That’s not accurate. It’s true that the Energy Policy Act of 2005 created a loan guarantee program for clean-energy companies developing “innovative technologies.” But Solyndra’s loan guarantee came under another program created by the president’s 2009 stimulus for companies developing “commercially available technologies.”...

...The loan guarantee program that provided financing for Solyndra, however, does not predate Obama.

There are two loan guarantee programs for renewable energy companies. The first was created under section 1703 of Title XVII of the Energy Policy Act of 2005. It was designed to help support U.S. companies developing “a new or significantly improved technology that is NOT a commercial technology,” according to the Energy Department’s description of the program. It was a self-pay credit subsidy program, meaning the companies receiving the loan would have to pay the government a fee “equal to the present value of estimated payments the government would make in the event of a default.”

The second program was created with the passage of the American Recovery and Reinvestment Act of 2009, more commonly known as the stimulus law. The recovery act amended the Energy Policy Act of 2005 to create section 1705 for “commercially available technologies,” as the Energy Department explains on page 12 of a 2009 report on stimulus funding. The stimulus provided more funding for the loan guarantee programs. The loans under the new program also came with no credit subsidy fees, making them more attractive and less expensive than those under the program signed into law by President Bush. It was under this program that Solyndra was able to get financing, although the company initially applied under the section 1703 program.

In a March 2009 press release announcing a $535 million loan guarantee for Solyndra, the Energy Department said: “This loan guarantee will be supported through the President’s American Recovery and Reinvestment Act, which provides tens of billions of dollars in loan guarantee authority to build a new green energy economy.” Damien LaVera, an Energy Department spokesman, confirmed that Solyndra’s funding came solely from section 1705.

Emohasis again mine.....But wait - that is not the ONLY whopper in that interview.

But understand: This was not our program, per se. Congress -- Democrats and Republicans -- put together a loan guarantee program because they understood historically that when you get new industries, it's easy to raise money for startups, but if you want to take them to scale, oftentimes there's a lot of risk involved, and what the loan guarantee program was designed to do was to help start up companies get to scale. And the understanding is is that some companies are not going to succeed, some companies will do very well -- but the portfolio as a whole ends up supporting the kind of innovation that helps make America successful in this innovative 21st century economy.

FactCheck.org says not so fast on that one...

The president also overstated past Republican support for the program, saying “all of them in the past have been supportive of this loan guarantee program.” Republicans overwhelmingly opposed the American Recovery and Reinvestment Act of 2009, and some of them even voted against the Energy Policy Act of 2005 at a time when Republicans controlled both houses of Congress.

And the third whopper.....

Do I wish that Solyndra had gone bankrupt? Absolutely not. And obviously it's heartbreaking what happened to the workers who were there. When you look at the overall portfolio, is it right for us to make sure that we're not just cashing in our chips and letting the Chinese or the Germans develop the technologies that we know are going to be critical in the future? I'm proud to say that we're going to continue to support it.

Yes - let's take a look at the success of the overall portfolio shall we Steven Hayward?

When Solyndra crashed and burned last fall, defenders of government greenery said, “Well, just like venture capitalists, investments go bad sometimes.  Solyndra was just one out of a whole portfolio.”  So stop making such a big deal.

Well, today we learn, courtesy of a Freedom of Information Act request by the Wall Street Journal, that fully one-third of the Dept. of Energy’s clean energy loan portfolio is on an internal “watch list” for being at high risk.  No wonder Obama is now saying, Solyndra—never heard of them, wasn’t us . . . per se.  Solyndra wasn’t an outlier: it is the model.

Emphasis mine...Or - in the words of FactCheck.org......

Obama also defended the funding for Solyndra by saying that the loan program’s “overall portfolio has been successful.” But it may be too soon to say for sure.

So far, the Energy Department has finalized loan guarantees for 33 projects and has conditional commitments for five others. In total, the Energy Department says that it has put almost $36 billion into the program, according to information published on its website.

It says that “these projects plan to employ more than 60,000 Americans, create additional tens of thousands of indirect jobs, provide enough clean electricity to power three million homes, and save more than 300 million gallons of gasoline a year.” That’s all well and good if everything goes according to plan. But as the Solyndra episode demonstrates, it doesn’t always work out that way.

For one thing, the figures for jobs created are supplied by the companies themselves, but not independently verified by the Department of Energy. Furthermore, it is too early to say whether the government will get all of its loaned money back when all is said and done.

In the case of Solyndra, according to news reports, the company had drawn down all but about $8 million of its total loan allotment at the time that it announced it would file for bankruptcy. It’s not clear that taxpayers will get any of that money back. And while the Solyndra project was responsible for creating 3,000 construction jobs, according to the company, nearly 1,100 people lost their jobs when it announced it was shutting down operations at its solar plant.

Three whoppers in one short 1:41 section of the interview.  When you are a leftist and the Annenburg Foundation calls you out, you know you have really stepped in it.  And the longer that President "Not My Fault" Obama has to defend his failed energy policies, you are going to see even bigger whoppers coming out of the campaign.

Pass the popcorn - it's getting good.

 

Written by LL.

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