Another Green Company Goes Belly-UpPosted: October 17, 2012
The American solar and wind industries have had a rough go of it the past few years despite considerable assistance from Washington. Now, the FT reports that A123 Systems, a company that specializes in manufacturing batteries for electric cars, is filing for bankruptcy. This is yet another blow for Obama’s green energy program, under which the company received a $249 million grant:
[The] bankruptcy follows that of other companies backed by US government grants or loan guarantees, including Solyndra, a manufacturer of innovative solar modules, Abound Solar, another panel maker, and Ener1, which also makes batteries for electric cars.
The news is unsurprising; electric cars simply aren’t selling as well as boosters promised. Following low sales reports, A123 missed a debt payment on Monday, and announced plans to file for bankruptcy and sell most of its assets to to other companies.
A123 Systems is only the latest in the growing list of failures in Obama’s controversial green jobs agenda, which Republicans have been consistently attacking on the campaign trail. Whether or not the Administration pays a political price for these failures, it’s time for a change of direction before millions more dollars are wasted.
- Another green energy bankruptcy gives Romney fodder for debate (cbsnews.com)
- A123 is latest aid recipient to file bankruptcy – Boston Globe (bostonglobe.com)
- Official: A123 Systems Files for Bankruptcy (dailytech.com)
- Breaking: Another Green Company (Which Received $249 Million in Govt. Grants) Bites the Dust (see Update) (newsbusters.org)
- A123 Bankruptcy Protection Filing Turns Political (wbur.org)
- Electric Car Battery Maker A123 Systems Files Bankruptcy (bloomberg.com)