Thursday, February 26, 2009

The Alternative Universe of Alternative Energy

The alternative energy crowd are the new alchemists, who believe there's a Philosopher's stone that will turn Sun, Wind and Water into gold.


Alternative Energy Is a Giant Capital Pit, Kedrosky Says: "There's No There There"

Alternative energy is one of the key pillars of Barack Obama's budget "blueprint", formally unveiled today.

"We know the country that harnesses the power of clean, renewable energy will lead the 21st century," Obama said in his speech Tuesday night. "It is time for America to lead again."
Many green energy advocates say the annual $15 billion of related spending in Obama's plan isn't nearly enough, while critics say so-collared green-collar jobs are a myth and, regardless, won't do much to help an unemployed machinist in the Rust Belt.

Investor and blogger Paul Kedrosky of Ten Asset Management says such debates miss the broader point: Unlike during the growth of computers, when the industry coalesced around the Mac and Windows OS, there is no agreed upon alternative energy platform. As a result, nobody really knows how much money we need - or don't need - to invest in clean tech, which he says is more akin to drug discovery (biotech) vs. traditional tech.

Clean tech is "a giant capital pit" and public investors should only play at the margins, while private investors should focus on technologies like batteries for hybrid cars that play on the edge of existing, established industries, Kedrosky says.

Beyond that, "there's no there there" in clean tech investing, he says.

4 Comments:

Blogger Torrance Stephens - All-Mi-T said...

and we dont get most of our oil from natins that hate us dems and gop = same

11:41 AM  
Blogger no_slappz said...

Alternative-energy believers seem to think there is a form of energy that is both free and free of all harmfullness.

They believe in flying carpets and perpetual motion machines.

11:33 PM  
Blogger no_slappz said...

This comment has been removed by the author.

11:33 PM  
Anonymous Anonymous said...

Hey slappz are you writing a new book?

1:47 PM  

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