Thursday, 21 February 2013
Solid Energy anything but! Hoorah!
Coal exporter Solid Energy is on the verge of Financial collapse with NZ$389m in debt.
Sadly the government may yet consider a bailout.
Solid Energy been trying to get permits to mine lignite coal in Southland, the dirtiest type of coal and a contributor particulate atmospheric carbon, second only to CO2 for radiative forcing. The US Coal industry is struggling too. US coal companies mining similar US coal reserves are forced to sell to Asia at prices as low US$1/tonne.
As Solid energy exports half of its production it is no wonder it too is tanking.
The woes of Big Coal are cause by the evaporating market as people and organizations compelled by the evidence for climate change reject dirty energy.
The demise of Solid Energy is hopefully the beginning of the end do what we can without regard for considerations whether we should.
So typical of such corporate failures the top officers are bailing out secured by millions in golden parachutes.
Last year Solid Energy paid $11m in executive bonuses after a failed experiment is bio-fuels.