Green Dreams, Economic Nightmares

California continues to serve as an object lesson to the rest of the nation.  

That most blessed land of Queen Calafia, that could be an economically and geographically viable nation in its own right, is stumbling and staggering under the weight of progressive statism. It's latest woe, like all the others, is of its own doing.

The state has mandated that one-third of its energy must come from renewable sources by 2020.

California's increasing use of renewable power will come at a price, pushing up electricity bills across the state.

And while it's impossible to tell how big the cost to consumers will be, some experts fear the total cost of renewable energy in California will be in the billions of dollars.

"You're going to see significant price increases over time from renewables," said Aaron Johnson, director of renewable energy policy at Pacific Gas and Electric Co. "As you add it to the system, it is going to result in higher costs for consumers."  (SF Gate - California Renewable Energy)

Eschewing cheap and bountiful gas and coal for green pipe dreams is suicidal, but suicide is California's specialty.  The only thing that keeps such governmental action from being criminal is the fact that people can escape, and they are.  The ones that are still there voted for higher energy bills, so I don't feel sorry for them.

Meanwhile, in China, a Boom Goes Bust...

Jersey (I think it was Jersey, if not, it was one of the statists that comment here) was complaining last week about China subsidizing it's solar industry.  I told him we should thank the government of China for chipping in to make solar panels we buy cheaper.  Our government would be stupid to do the same.

Now comes news that China's solar industry is collapsing...

Nov. 22 (Bloomberg) -- Losses for China’s largest solar manufacturers, including Suntech Power Holdings Co. and JA Solar Holdings Co. may continue through next year as declining shipments prompt them to slash prices and liquidate inventory.

“Liquidation is leading to suicidal pricing.” Polavarapu said in an interview today. "There are too many solar companies in China, he said, and they are cutting prices to maintain share."

Once freed from government intervention (bad money always chases out good), solar will make technological gains and perhaps be economically viable someday.  For now, it remains the energy of the future.

Meanwhile, as Obama's venture socialists still talk of stimulus multipliers and lust for the opportunity to dump even more money down green job sinkholes, the gas and oil industry is creating real jobs and providing cheap energy to an America mired in high-unemployment Obamanomics.

The petroleum industry has done more for this country than Obama could ever dream of.

WRM - Chinese Solar Industry Goes Belly Up
The Fraying of China's Guilded Age