Electric car maker, Fisker Automotive, has announced layoffs at two plants citing regulatory issues, “retooling” and a shortage of cash. Fisker has received $193 million of about $529 million in loan guarantees from the Department of Energy. Fisker is just the latest in a string of green energy companies championed by the Administration who are facing serious financial trouble. Remember Solyndra? Michelle Malkin called them “green robber barons” and I think the comparison is apt.
The heads of these companies are allies of the administration and have no problem gaining access to taxpayer dollars; then they fail and we never get the money back. I personally advocate an “all of the above” energy strategy favoring no single source over any other. Government should be getting out of the way, not picking winners and losers. Capital will flow to the most productive and political access will cease to be part of the calculation. This is the difference between real capitalism and crony capitalism.