President Joe Biden intends to spend a practically untold amount of taxpayer dollars on green energy to stimulate the U.S. economy and to make up for failed investments he oversaw under the Obama administration.
Biden is currently developing a stimulus plan similar to Obama’s 2009 American Recovery and Reinvestment Act, a $787 billion economic stimulus package intended to aid America’s recovery following the Great Recession of 2008. Obama’s stimulus was the largest in American history, prior to the coronavirus pandemic.
As part of the Obama administration, then Vice President Biden oversaw spending and “personally announced hundreds of millions of dollars worth of loan guarantees awarded to companies that went bankrupt within a few years,” reports the Daily Wire:
Two solar power companies, Solyndra and Abound Solar, both went bankrupt in 2011 after receiving loan guarantees under Obama’s stimulus worth $535 million and $400 million, respectively. The small automaker Fisker received a $529 million loan guarantee to manufacture hybrid and electric vehicles before going bankrupt in 2013.
A123 Systems, which made batteries for Fisker, announced bankruptcy shortly after the car company and after receiving a $279 million loan guarantee. The failed stimulus investments cost U.S. taxpayers hundreds of millions of dollars.
Biden is now using Obama’s plans as a blueprint for his climate stimulus to rebuild the U.S. economy post-pandemic, according to the New York Times. Biden intends to transition taxpayer dollars toward green energy and infrastructure with lessons learned from the failures of Obama’s American Recovery and Reinvestment Act.
The New York Times reports:
Now, 12 years later, President Biden is preparing the details of a new, vastly larger, economic stimulus plan that again would use government spending to unite the goals of fighting climate change and restoring the economy. While clean energy spending was just a fraction of the Obama stimulus, Mr. Biden wants to make it the centerpiece of his proposal for trillions of dollars, not billions, on government grants, loans, and tax incentives to spark renewable power, energy efficiency and electric car production.
In addition to the green stimulus, the Biden administration is also developing a plan to implement tax increases worth approximately $3 trillion over a 10-year period. The tax increase would be used in part to fund expenses on green energy and electric infrastructure to transition the U.S. economy away from oil and gas.