President Obama wants us to trust him when it comes to government snooping on our data. There are too many reasons not to trust him to even count. Now here’s another one – a major Democrat donor acquired a failing clean coal company, and after that acquisition, said clean coal company acquired hundreds of millions in taxpayer funded stimulus. Hmm, do you think politics had anything to do with this rotten deal?
DOE agreed in 2009 to contribute $308 million in stimulus to the construction to a $2.8 billion coal plant with carbon sequestration technology.
BP and Rio Tinto, which owned the plant’s parent company, decided in 2011 the project was not financially viable and told DOE they would withdraw from the agreement.
With DOE’s help, they found a company to take over the project: Massachusetts-based SCS Energy. The department pledged another $100 million for the project, which was projected to cost another $1.2 billion above initial estimates.
SCS chairman and chief executive James Croyle is a major Democratic donor, according to the Center for Responsive Politics.
Croyle donated $2,300 to President Barack Obama’s 2008 campaign, more than $31,000 to the Democratic Senatorial Campaign Committee in 2010, and nearly $5,000 to scandal-plagued Sen. Bob Menendez (D., N.J.) in 2009 and 2011.
“The problems encountered with the terminated $2.8 billion agreement, economic viability and securing power purchase agreement arrangements were acknowledged and understood within the department” at the time, according to a reportreleased last week by DOE’s inspector general.
The department insisted that its subsequent agreement with SCS was financially sound, but “the department relied on financial projections that were not always fully supported,” the IG found.
Read the whole thing, it’s like a primer on crony capitalism, all courtesy of we the schmucks who are funding it all.
I guess when Obama promised to bankrupt the coal industry, he was only talking about the “dirty” ones that aren’t Democrat donors.