Where Did All That $$ Go

I recently blogged about the now bankrupt solar panel making company Solyndra, and discussed why this meltdown occurred. Republican party members are now attacking the Obama administration saying that the $535 million loan guarantee was a decision made based on politics, and also a waste of taxpayer's money. A recent response from Department of Energy Secretary Steven Chu (see here) was given were he defended the administration stating that Solyndra's collapse was unforeseeable. After reading Secretary Chu's response, I couldn't agree more with him. No one could have predicted the rapid fall in price of silicon allowing
China to develop more affordable solar panels. It is extremely unfortunate and somewhat frustrating that so much of the taxpayer's money was lost during this venture, but I think that people need to applaud the effort. That insanely steep loan guarantee was the first move made by any political figure-head to make America a greener nation for its citizens. These types of endeavors are vital to the longevity of our nation. Being green means taking risks. This is not an issue that can or will be solved over night. Too many people are stuck in traditional ideas and policies and are unable to realize that to produce the drastic overhaul this country needs to survive for centuries to come, our government must take steps, such as these, in the direction of green companies.

With that being said, after diving deeper into Solyndra's story I found it enormously disturbing that the administration improperly restructured the loan back in 2010 allowing private investors to get $75 million of their money back before the government sees a dime. I find this restructure to be somewhat unconstitutional. It seems to put a definite higher importance on these private investors, dwarfing the taxpayers and our hard earned money. This is where my opinion splits. Both sides make a compelling argument. Secretary Chu states that this was a necessary and sort of "last-ditch" effort to try and get the company back on its feet, but to no avail. With hopes high, and money falling from the sky Solyndra was still unable to compete with Chinese imports. Simply put, this is is sad day for taxpayers and a sad day for America.