Truly Massive Solar Fail
Turns out solar power is not profitable, and in fact it's a big money loser.
The only reason it was ever profitable was truly massive subsidies. Now, just cutbacks, not elimination, just cutbacks, on the subsidies will spell the end of the solar industry in Europe. It was in all the papers.
If an activity is profitable, it produces more in value than it uses up in costs. If an activity is NOT profitable, it uses up more in resources than it produces in value.
If the only reason an activity is profitable is artificial subsidies, financed by money taken from taxpayers at gunpoint, against their will, then the "positive profits" signal is fake, and the activity still uses up more resources than it produces in value.
Finally, any activity, no matter how wasteful, can be made "profitable" with large enough subsidies.
People could have bought solar panels on their own, voluntarily, if it made economic sense to do so. Why would being forced to buy solar panels makes sense? And, if the government takes away huge amounts of my income, and lets me have some of it back if I purchase an extremely wasteful technology, in what way is that a voluntary transaction?
The solar "industry" is composed largely of rent-seekers and brigands, combined with enough genuinely committed (though mistaken) true believers to give the whole noisome mess moral cover. The thing that's hard to understand is why anyone would believe that a technology that uses up more resources than it produces is "environmentally friendly."
Labels: solar fail