The collapse of renewable energy companies threatens Joe Biden’s green policy

Similarly, Reuters recalled that “Earlier this year, European energy companies Equinor (EQNR.OL) are turning over a new leaf and BP (BP.L) are turning over a new leaf and terminating their agreement on sell electricity to the state of New York from the proposed Empire Wind 2 offshore wind farm.

The departure of companies from renewable energy projects may affect the ecological policy pushed by Joe Biden. The White House indicated last year that the Democrat had set his sights on the deployment By 2030, electricity production from offshore wind farms will reach 30 gigawattsenough to power more than 10 million U.S. homes with clean energy.

In this regard, The Telegraph explained that Vineyard Wind 1 “is delivering 25 to 30 percent of its 68 megawatts (MW) of wind to Massachusetts residents in January with the launch of five offshore turbines. The South Fork Wind project also successfully began its first deliveries to New York in March, with 12 turbines capable of generating part of its 130 MW capacity.”

However, the media also highlighted that these efforts represent less than 1% of Biden’s 30 GW capacity target, and only 2030 is five and a half years away.

“Given the wind industry’s insatiable appetite for ever-increasing subsidies, and ever-rising utility bills, it’s an open question how many more billions of dollars the federal government can print to keep the projects alive before voters start to revolt against the costs,” The Telegraph reported..

Meanwhile, states like Texas could face the consequences of focusing all of companies’ efforts on renewable energy. Specialist David Blackmon warned in The Telegraph that the state could face power outages over the summer. That’s because in recent testimony before the state legislature, grid managers from the Electric Reliability Council of Texas (ERCOT) explained that Texas has up to a 16% chance of rotating power outages during the peak of the August heat.

“It’s an inconvenience that many Texans have become accustomed to in recent years as the state’s power grid, overloaded with unpredictable, erratic wind and solar capacity, becomes increasingly unstable,” Blackmon said.

Blackmon reminded that this problem is not new. In the past, Texas has experienced power outages during weather disasters. However, Blackmon detailed: “This problem has been largely ignored by power generation companies that have focused on building new wind and solar capacity to take advantage of an array of state and federal subsidies.”

Additionally, the Heritage Foundation report details that Joe Biden’s policy of aggressively pushing a transition to alternative green energy leaves the U.S. military vulnerable to enemy attacks.

“Current efforts to force a transition to green energy may limit available energy resources that U.S. forces will need to carry out their duties around the world – a serious gap that the United States cannot accept,” the report explained.

In the same vein, Brent Sadler, senior research fellow for naval warfare and advanced technology at the Allison Center for National Security, spoke with the Heritage Foundation about another report titled “China Handcuffs: Don’t Let the U.S. Military Become Dependent on China’s Green Energy “.

“Due to heavy dependence on foreign sources, poor policy choices, and restrictions on fuel transportation, the United States the military may be exposed. “There is a risk of local fuel shortages, global supply disruptions and Chinese economic coercion during the conflict, which will lead to a significant increase in energy demand,” Sadler stressed.

“European wholesale energy prices have fallen”

But it’s not just in the US that renewable energy companies are causing a mess In Europe, it is also having a big impact. A Bloomberg report explained that Germany will have to find more resources to finance its energy transformation ambitions, as the subsidies it has to pay renewable energy producers have doubled.

This information was confirmed by the country’s Economy Minister Robert Habeck, who explained that the state will pay wind and solar power plant operators up to 20 billion euros (21.7 billion dollars) by the end of 2024. This is twice as much as network operators forecasted.

All this comes at a time when the country’s renewable energy fund has suffered losses of more than over 130 million euros in February.

In this context, Bloomberg pointed out that “European wholesale electricity prices have fallen sharply over the past year and remain at levels seen before energy crisis caused by Russia’s invasion of Ukraine. This means that the government must cover the difference to ensure that renewable energy producers are paid the guaranteed minimum strike price.”