David Lentz

Senate May Kill Solar Rally

It seems that the major negative to the proposed bill is its attempt to pay for itself by closing tax incentives (a.k.a. "loopholes"). Apparently just blind tax-cutting is the only formula for passing legislation these days -- that, and local application of pork to keep the sheeple happy.

One would (desperately) hope that the days of cutting taxes while increasing spending are behind us -- but it seems that the drunken party inside the beltway continues at full tilt.

Beware of the Solar Stock Fad

I would agree, that there is a mania in solar stocks at the present time. But like all bubbles, it may persist for far longer than one would believe rationally possible, especially with soaring oil prices and many governments (not our own, sadly) providing huge tax incentives to spur the conversion to solar electricity.

Once we have plug-in hybrid cars, and are a bit further along the curve of lowering prices for roof-top solar units, it may be possible that solar electricity for consumers will even make economic sense -- and the odds of that increase a lot if we see significant tax credits for plug-in hybrids and solar electric installations, which might happen after Big Oil loses the White House (however, they'll still have much of the Congress).

Being able to replace $3/gallon gasoline (possibly $4/gallon if things keep going the way they have been) with $1/gallon grid electric power is attractive, but nothing like the thrill of most of your driving being done on electricity collected from a garage roof solar panel. Throw in the reduction/elimination of the household electric bill, and the case for solar electricity approaches the realm of the economically justifiable -- even without the tax credits.

Of course, it's emotionally justifiable long before that.