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-- -- -- Another government backed Green energy company goes bankrupt it's cold and not one makes lithium ion batteries for electric -- He got a 118 million dollars in a grant from the Fed's.
More than fifty million of it already spent and probably gone.
Joining us now is Robert Bryce in Manhattan institute guy he's the all -- all but how -- hungry Robert welcome to the program now a hold on just for a second a way to listen to something.
This is vice president Joseph Biden one year ago at the end don't -- planned in Green field at Indiana.
-- was catching on folks the industry is transforming itself and we believe Americans are ready to embrace that transition.
You folks you folks standing right here in the floor and -- one.
Or on the ground floor that transformation.
I did you catch that.
And -- long exclude these and won't he actually said Enron twice in the same presentation -- connect.
I'm going ahead of myself what do you make of this another Green energy bankruptcy.
Well sure the only thing that surprising isn't it's not surprising at all.
That what the problem in the electric vehicle market which were call the Obama administration has given.
Five billion dollars in grants and loan guarantees is that the market is getting all this government push but there's no customer poll.
If you look at the news release from -- one the CEO of the company when talking about why they filed for bankruptcy its that he said this.
Our business plan was impacted when demand for lithium ion batteries slowed due to lower than expected adoption of electric passenger vehicles.
Well no kidding so they say they have 110 of 1% of that of the passenger car market now new sales new car sales in the United States.
Customers are staying away and drove.
So the only so -- is -- -- -- solution.
But one -- moment.
Who's not in a -- out of the problem but look.
If you spent five billion on electric cause the government presumably will now poll shows a almost -- sows into buying electric costs the state of California is trying to do just that.
You think that this is what's gonna happen.
Well I can't predict that Stewart I doubt it but there the problem is that consumers are looking at these electric cars.
And they're not seeing a value proposition why would you buy a Chevy Volt for instance when you can buy a Toyota Prius for about 50% last.
Why would you buy the Nissan leaf at 35000 dollars when you can buy a Nissan Versa.
For less than half the money.
Ford is going to introduce a new EV focus less next year or this year rather I think it's had its twice again as expensive as the standard -- gasoline -- I -- I'm not mistaken though in the president's state of the union message he said he would double down.
On alternate energy on Green energy I think he said that -- he's he's gonna shell out some more taxpayer money I think.
Well and that's unfortunate because what we were we -- what we're seeing now is the beginning of the meltdown in the TV market.
And and let's look just at Ener1 yes they get a 118 million dollar grant they collected about 55 million dollars of that.
Well they have about 275.
People on the payroll now the simple math shows them for each job that -- one has created its cost US taxpayers about 200000.
I mean -- we hear about these Green jobs but that the return on investment for the taxpayer is terrible you've got -- Robert -- we appreciate you being with us thank you so.
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