Gov’t-Backed ‘Clean’ Energy Company Cancels IPO
- Posted on April 16, 2012 at 11:47am by
Becket Adams
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Last week, BrightSource Energy, a “green” energy company, canceled its initial public offering (IPO), admitting that there is no market for its stock. Of course, this sort of failure probably wasn’t what the Department of Energy (DOE) had in mind back when it decided to award BrightSource a $1.6 billion loan guarantee for its Ivanpah plant in California.
“Not too long ago, the prospects for BrightSource seemed so limitless that the company incorporated the word into its logol,” the New York Times’ Diane Cardwell writes. “It had raised tens of millions of dollars from leading venture capitalists, struck partnerships with corporations like Google, Siemens and NRG Energy.”
“Supported by state policy that encouraged utilities to buy lots of solar power, BrightSource had also signed long-term deals to sell much of its planned electricity output to two large utilities,” she adds.
But then something happened: BrightSource (like Ener1, Energy Conversion Devices, Solyndra, Solar Trust, Mountain Plaza Inc., Fisker Auto, etc.) discovered that there isn’t much of a market for renewable energy. Well, not when you’re dealing with competition from the natural gas market and you’re being undercut in the renewable industry by foreign competition.
“The continued market and economic volatility are not optimal conditions for an I.P.O.,” John Woolard, BrightSource’s chief executive, said in a statement.
One could probably say BrightSource’s IPO failure is simply par for the course as far as “green” energy investments made by the DOE are concerned.
It’s no secret that the “clean” energy industry is struggling. As mentioned earlier on The Blaze, the renewable industry’s failure to produce results despite generous — and ethically questionable — support from the Department of Energy has become something of a scandal in the past few years (think Solyndra).
So did politics have anything to do with the DOE’s decision to invest in Brightsource? That is, could this company add to the ever-growing list of deeply regrettable investments made by President Obama’s DOE?
Let’s see (via the Washington Free Beacon):
BrightSource received a $1.6 billion loan guarantee from the Department of Energy, funds that were allocated in the $787 billion stimulus package passed in 2009.
The largest investor in Brightsource (with a 25 percent stake) is VantagePoint Venture Partners, a firm whose principal, Sanjay Wagle, helped raised millions for President Obama’s campaign in 2008 and even served as a “renewable energy grants adviser” at the DOE.
Senate Majority Leader Harry Reid (D., Nev.) is an avid supporter of the BrightSource, and the company’s executives have in turn given thousands of dollars to Reid over the past few years, even hosting a fundraiser for Reid at the BrightSource headquarters in Oakland, Calif.
If nothing else, we can certainly say BrightSource is well-connected.
Front page photo source: BrightSource Energy
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Comments (54)
steveh931
Posted on April 16, 2012 at 2:30pmCan we get a report on how many temporary jobs this company provided and how much this venture cost the American Taxpayers per temporary employee? Every revenue s**king leech needs to go to prison for a very long time. No private investors should receive a dime from the Federal Government, they failed to provide a service.
Report Post »Hollywood
Posted on April 16, 2012 at 3:43pmMaybe they can get satan to get involved, since he will appear as an angel of LIGHT. Maybe he can bring some LIGHT to this subject comapany. OOPS! Forgot. satan is involved through his angels Barak and Chu!
Report Post »JohnTwoFeathers
Posted on April 16, 2012 at 7:55pmThis is taking the form of a giant PONZI operation run by exectutive orders directly from the POSpotus. He needs to be brought to trial ala Bernie Maydof style convicted and sent to prison for life. He doesn’t need the Down Low Club boys any more, he’s screwing everyone. Republican and dumbocrap.
Report Post »wewantchillywilly
Posted on April 16, 2012 at 2:10pmthis is so corrupt i just can’t take it anymore.
Report Post »johnjamison
Posted on April 16, 2012 at 2:20pm2013 supenia will be going out across America 100′s if not thousand will be stripped of their assets and placed in jail for the largest theft in U.S. history. The Democratic party that back this theft will be wiped from the U.S. every single one that accepted donations from these thieves will be jailed as well.
Report Post »It‘s time to end corruption it’s time to take back D.C .
Paul -Indiana
Posted on April 16, 2012 at 5:35pmKeep remembering that Obama was elected by only 30% of registered voters. There was a 58% turnout and of the people who actually voted, 52% voted for Obama. Multiply 0.58 and 0.52 and you get 0.30. Just 30% of registered voters saddled us with Obama. Forget about the polls and just vote. He has not gained followers.
Report Post »onacoma
Posted on April 16, 2012 at 1:50pmThere are more of these plants then the article lists! In Tonopah, NV is another $600 Million Dollar Loan Gar-On-Tee by us Tax Payers! Please note SCE in 1980s built a similar plant in Barstow, CA with a Grant from the DOE. That plant was so efficient that it has been dismantled for scrap! These plants cost 3 time that of nuclear given their useful energy production! Standard in the Energy production is a Megawatt powers a 1000 homes. A natural gas and coal plants cost $2 million per megawatt, a nuclear plant cost $8 million per megawatt, and one of the “Solar” plants cost $18 million given it in-efficient power production. The “Solar” plant only powers 330 homes per Megawatt as the plant’s parasitic load eats up all the energy to produce the power and keep the plant running! Our energy rates will triple with the cost of this energy mixed in with NG or Nuclear!
As a note we don‘t have to buy their stock as they have a Power Purchase Agreement with your local utility and you’ll PAY monthly for these Hermaphrodite Energy Plants!
Report Post »singray
Posted on April 16, 2012 at 1:45pmThis is the redistribution of wealth people. And it ain’t what they claim it to be. All this other stuff is just a distraction. How much of this is being converted to gold. Put tons of money into the hands of those you want to have it. These individuals then convert to gold. This raiding of the Treasury causes the Dollar to collapse. Now who has all the power, as because with wealth comes power. The King sure is using his pawns well though. To bad they don’t realize it. They will be sacraficed, just as the rest of us of course.
Report Post »FlowerBell
Posted on April 16, 2012 at 4:05pmAgree.
Report Post »Detroit paperboy
Posted on April 16, 2012 at 1:27pmAnother Obama donor, who da thunk it ?
Report Post »mcsledge
Posted on April 16, 2012 at 1:25pmCan you say money laundering.
Report Post »workinghard
Posted on April 16, 2012 at 1:24pm“Last week, BrightSource Energy, a “green” energy company, canceled its initial public offering (IPO), admitting that there is no market for its stock.”
Crap! Al Gore must be going broke!
Report Post »Gryphon Moor
Posted on April 16, 2012 at 12:55pmSanjay Wagle was a big Obama supporter…. I knew it, I knew there would be an element to this story that portrayed Obama as a crook. He is the worst thing that ever happened to this country.
Report Post »carolewash
Posted on April 16, 2012 at 12:53pmWhy no interrest in the new Exe Order on natural gas control? We have a pattern. First oil (no permits) then Coal (shut them down) Oil refineries on the East coast shutting down and now natual gas being regulated by guess who the EPA and feds. Pretty soon all we can get is green energy which doesn’t work and costs and arm and a leg. Always watch the other hand. This EO was signed while everyone was watching the sex scanal that isn’t:)
Report Post »lobster
Posted on April 17, 2012 at 7:38amAnd the DNR in Michigan is calling pigs and “invasive species.” Boy has our country fallen into the trashheap quickly.
Report Post »HKS
Posted on April 16, 2012 at 12:30pmAnytime novelties get confused with the mainstream resources, bad things happen like loosing a ton of money. However, on the bright side, someone is making all that money, like Soros, Gore and the like.
Report Post »gperky
Posted on April 16, 2012 at 12:45pmAnd I’m sure that they are paying their fair share of taxes to support our waining government! NOT!
Report Post »cookcountypatriot
Posted on April 16, 2012 at 12:27pmall these total failures shows 1 of 2 things…1 either the progressives are really stupid and ignorant of buisness or 2,,,its just a huge scam to was money through these failures back into thier pockets…im guessing its 2…these criminals need to be defeated in nov…
Report Post »gperky
Posted on April 16, 2012 at 12:49pmThis, like the many others that have failed, was paid for with stimulus dollars. Those stimulus dollars was printed on paper that will have to be covered somewhere in the future. However, it won’t come due as long as Obama is in office so he and his cronies will reap billions that my children will have to pay for. By then, we will have a Repub in office and he can take the blame for the huge debt that has come due from the Chinese!
Report Post »kevymac
Posted on April 16, 2012 at 4:30pmIt’s both 1 & 2
Report Post »Snowleopard {gallery of cat folks}
Posted on April 16, 2012 at 12:25pmNo suprise, as anything Obama is involved in will only benefit him and his political cronies in the end; and Soros when possible.
Report Post »blanco5
Posted on April 16, 2012 at 12:15pmHAHAHAHAHAHA…..breathe, breathe….HAHAHAHAHAHAHA!!!!
Report Post »RocktonWhy
Posted on April 16, 2012 at 12:12pmYet another example of “CHANGE YOU CAN BELIEVE IN…”
Yes, the money CHANGEs location (from our pockets into theirs) and YOU CAN BELIEVE that we will never see a nickel of it agaIN! (caps lock for emphasis!)
Report Post »AvengerK
Posted on April 16, 2012 at 12:11pmLadies and Gentleman….don’t forget the other important component of this. The same day that Brightsource pulled it’s IPO, Obama appointed Heather Zichal as head of his “task force” on hydraulic fracking. This is not an incosequential thing: in order to prop up the line of failing solar companies that Obama and Stephen Chu have wasted billions of tax dollars on, Obama needs to force natural gas prices higher.
Report Post »abbygirl1994
Posted on April 16, 2012 at 12:08pmI am thinking Obama needs to take all the money he has recieved for campaigning and pay it towards these failed solar businesses.. who he loaned millions and now billions of tax payer dollars to! Where the hell is our congress?? All I hear is silence.. well we can silence them forever by voting everyone of them out of our gvoernment along with Obama and his merry men! Lord help us!
Report Post »SpankDaMonkey
Posted on April 16, 2012 at 12:08pm.
Report Post »FYI there is no such thing as “Clean Energy”………It’s kinda like Man Made Global Warming it does not exist………..
wboehmer
Posted on April 16, 2012 at 12:16pmBy jove . . . I believe you’re on to something here!
Report Post »Shasta
Posted on April 16, 2012 at 12:20pmPeople have been led to believe that electric vehicles are a wonderful source of ‘clean’ transportation. These people don’t follow the worm hole all the way to the coal fired power plants at the other end of the wire. These same coal plants which by the way are under attack by the Obama administration. It is all a setup; it is all income redistribution; and it is all Obama forcing America to step down so other countries can step up.
Report Post »RayOne
Posted on April 16, 2012 at 12:07pmKeep this name and its Board of Directors on ‘search standby’.
Report Post »It doesn’t hurt to start a listing on WH visitation logs.
elosogrande
Posted on April 16, 2012 at 12:06pmWhat else would you expect? It’s time to face up to the fact that Global Warming and renewable energy are part of a scheme to bilk the American Taxpayer out of billions if not trillions of dollars. That’s the only purpose for the scheme.
The “scientists”, professors and politicians who continue to brain wash the public with green energy B.S., would not have their high-paying jobsand high papying government grants without the myth that global warming is man-made by the production of CO2 gas. If they can’t keep this lie alive, they’re all out of work. The reason they all get so angry when their lies are questioned is because they are in danger of losing their jobs, and they have no where else to go.
Men and women are getting advanced degrees in areas of green energy. Their educations will be of no value if the truth gets out in the open. No one will hire people with a degree in a phony science, so they are desperate to continue the lie, no matter what it costs…the rest of us.
Report Post »possom
Posted on April 16, 2012 at 12:04pmGreen energy will alway’s be a failure as long as the gov is involved!
Report Post »Shasta
Posted on April 16, 2012 at 12:15pmGreen energy will never see the light of day (sorry) if the Government is not involved. This president does not believe in free markets, so none of this should be a surprise.
Report Post »AvengerK
Posted on April 16, 2012 at 12:02pmJay Carney is saying that he knows at least 3 Brightsources that have visited the white house.
Report Post »Apple Bite
Posted on April 16, 2012 at 12:01pmSolar Trust of America: FAIL
Bright Source: FAIL
Solyndra: FAIL
LSP Energy: FAIL
Energy Conversion Devices: FAIL
Abound Solar: FAIL
SunPower: FAIL
Beacon Power: FAIL
Ecotality: FAIL
A123 Solar: FAIL
UniSolar: FAIL
Azure Dynamics: FAIL
Evergreen Solar: FAIL
Ener1: FAIL
Raser Tech: FAIL
SpectraWatt: FAIL
Mountain Plaza Inc.: FAIL
Olsen’s Crop Service: FAIL*
Olsen’s Mills Acquisition Co.: FAIL*
Abound Solar: FAIL
Sempra: FAIL
Somebody, anybody, please do keep a running tab on Obama’s Green Energy failures, so I won’t have to!
Report Post »gperky
Posted on April 16, 2012 at 12:51pmIT would be nice if we had all the subsidies next to these failing companies so we could keep tally. That way we can see a trend on how long they stay in business based on how much subsudy they have been given.
Report Post »13th Imam
Posted on April 16, 2012 at 2:01pmI just reported your post as dangerous. It is dangerous only if SOMEONE puts a TAXPAYERS forced contribution dollar figure next to each failed company. I have asked the BLAZE to put together your list fo a while, but expanded to put names next to the Company’s. Let’s see which DEMOCRAT bundlers,, fund raisers, and other D’s . pocketed this Taxpayer largesse.
Report Post »Thanks Again 13th
MittensKittens
Posted on April 16, 2012 at 12:00pmLooks like CLEAN energy has a DIRTY little secret!
Report Post »lukerw
Posted on April 16, 2012 at 11:58amThis is the Government’s version… of a Federal Lottery!
Report Post »Master.Debater
Posted on April 16, 2012 at 11:53amOOPS! Private investors, unlike Obama apparatchiks, actually do DUE DILIGENCE before investing their capital.
Report Post »AJAYW
Posted on April 16, 2012 at 12:01pmI would almost be willing to bet that obama is working on a plan that will come up with a way to force people to buy their stock.
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