#wasteoftime

Lessons from Deutschland on why renewables are a bad idea – period

 New wind park projects face a significant amount of red tape. And then there...

The normally left of centre leaning Der Spiegel has put together two decent hit job articles on the failure of the energy transition in Germany. This is what happens when misguided altruism turns on itself and ends up costing a bomb for little result. Australia, are you listening? Germany has already done beta testing on renewables and as a culture is not renowned for doing half-baked jobs. Yet Merkel can add this to the list of failures.

Part 1 – Germany Failure on the Road to a Renewable Future

“But the sweeping idea has become bogged down in the details of German reality. The so-called Energiewende, the shift away from nuclear in favour of renewables, the greatest political project undertaken here since Germany’s reunification, is facing failure. In the eight years since Fukushima, none of Germany’s leaders in Berlin have fully thrown themselves into the project, not least the chancellor. Lawmakers have introduced laws, decrees and guidelines, but there is nobody to coordinate the Energiewende, much less speed it up. And all of them are terrified of resistance from the voters, whenever a wind turbine needs to be erected or a new high-voltage transmission line needs to be laid out.”

Germany’s Federal Court of Auditors is even more forthright about the failures. The shift to renewables, the federal auditors say, has cost at least 160 billion euros in the last five years. Meanwhile, the expenditures “are in extreme disproportion to the results,” Federal Court of Auditors President Kay Scheller said last fall, although his assessment went largely unheard in the political arena. Scheller is even concerned that voters could soon lose all faith in the government because of this massive failure.

There is also such an irony when these mad green schemes encounter scourge from animal rights groups. Former Green’s leader Bob Brown knows the feeling,

“The bird of prey [red kite], with its elegantly forked tail, enjoys strict protection in Germany…Red kites are migratory, returning from the south in the spring, but they don’t return reliably every year. The mayor would have been happy if the bird had shown up quickly so its flight patterns could be analyzed and plans for the wind park adjusted accordingly. It would have been expensive, but at least construction of the project could finally get underway.

But if the bird doesn’t return, the project must be suspended. Spies has to wait a minimum of five years to see if the creature has plans for the nest after all. Which means the wind park could finally be built in 2024, fully 12 years after the project got underway.”

Part 2 – German Failure on the Road to a Renewable Future

An additional factor exacerbating the renewables crisis is the fact that two decades after the enactment of the Renewable Energy Sources Act (EEG), 20-year guaranteed feed-in tariffs will begin expiring next year for the first wind, solar and biomass facilities. Some of those who installed solar panels back then — often farmers and homeowners — are still receiving 50 cents for every kilowatt-hour they feed into the grid. Today, larger facilities receive just 5 cents per kilowatt-hour.

The state has redistributed gigantic sums of money, with the EEG directing more than 25 billion euros each year to the operators of renewable energy facilities. But without the subsidies, operating wind turbines and solar parks will hardly be worth it anymore. As is so often the case with such subsidies: They trigger an artificial boom that burns fast and leaves nothing but scorched earth in their wake.

As Australia continues to expand the renewables portion of our power grid, the lessons from the Germans couldn’t be clearer – market distortions and misguided investments only lead to marginal results on the back of massive investment to stop something that can’t be controlled. German taxpayers have been swindled and Aussies are sleepwalking down the same path.

Job opening: Activism & Impact Manager

Activism

This is actually a job. Ben & Jerry’s Ice Cream is hiring an ‘Activism and Impact Manager‘. Lucky for them, its parent Unilever is also a woke corporation. The job spec is simple:

Do you have at least three years’ experience working in campaigning within the NGO, charity or grassroots movement-building space? Have you got a passion for the idea that business can be used to drive positive change in the world? Do issues of social and environmental justice drive you to take action and are you able to persuade others to join you?

Values-led ice cream company Ben & Jerry’s is recruiting an Activism and Impact Manager to lead social and environmental justice campaigns in Australia and New Zealand with our team in Sydney.

CM guesses that milk shaking conservatives is a new thing of the left so there are some definite synergies to be had by “Ben & Jerrying” them. Hopefully, the Chief “Woke” Officer (CWO) can offset any losses to Unilever’s bottom line by encouraging activists to only use social and environmental just milk-based products from Ben & Jerry’s to ensure that the lost business from one side is made up through willful waste on the other.

When will businesses learn that telling their customers how to behave is not required? Yet another business to swipe from the list – Nike, Gillette, Ben & Jerry’s, Colgate, Starbucks…

Down and out in Davos

Davos is likely to be unlike any gone before it. Lucky for the globalist elitists who like to rug up in mink collar lined Moncler down jackets, Trump won’t be there to verbal them over their blatant double standards. Ironically the fact he isn’t going is more evidence of their inability to self reflect rather than the other way around. Trump is hardly an eloquent mouthpiece at the best of times but his words and stance around nationalism resonate far wider than the €200 Chateau Briande chewing wealthy will be prepared to admit at Davos.

France. As the Gilets Jaune (Yellow Vest) movement rolls into week 9, where has the media been reporting it? Macron would normally attend the Davos mob as “the poster child” but he can’t because of the domestic situation. Should he show up to hug his globalist chums, the chaos at home would exacerbate. This is no small matter for the proponents of world government. We shouldn’t forget Marine LePen is polling higher than Macron. Nor should we overlook the fact she won 35% of the 2nd round vote, twice the level ever seen in the anti-EU Front National’s history.

Germany isn’t much better. Although Frau Merkel will be in Davos. Despite stepping down from the rotting carcass her policies have turned her party into, she’ll be fawned over at the matriarch. Deutschland, the paragon of the EU’s economic chest beating, saw industrial production plunge 4.7% in November, its worst showing since the GFC. The fastest rising party in Germany, the anti-immigrant AfD, whose chairman was bashed to within an inch of his life, plans to be far more open about jettisoning the EU going forward. Yet more anti-globalist forces at the gate.

Italy has felt the wrath of EU meddling in ratifying its latest budget. Despite 60% of the country voting in eurosceptic parties last year, the EU is still pushing its weight around via the ECB. Italians are far from pleased with Brussels. Many of her banks in the south are carrying nose bleed territory bad debts which make them technically insolvent. Italians want out.

Hungary, Poland and the Czech Republic have openly rejected globalism and any shaming from the Bullies from Brussels has only led to bigger majorities handed to them by their citizens.

Austrian Chancellor Sebastian Kurz has made it clear that illegal immigration is not for them, no matter how much UN global compacts or EU directives want to encourage it. Why else would he appoint a member of the anti-immigrant FPO as the minister for that portfolio?

PM Rutte of The Netherlands lost seats in the last election, mainly to Geert Wilders’ anti immigrant PVV. The socialist parties were all but annihilated.

UK PM Theresa May is looking on shaky ground to pass her version of Brexit through the Commons. Even Jaguar’s woes in China are supposedly the fault of Brexit. Even the iconic brand’s UK sales are up 76% since 2013. Surely it’s macroeconomic headwinds not leaving the EU that is driving this. Despite all the scare stories from the BoE, the people aren’t buying it. The UK has its highest ever petition signed to get parliament to vote for “No Deal”. So much for the expert’s advice!?

There is a groundswell movement the establishment continues to ignore. Famous economists giving fire side chats to out of touch journalists don’t convince the people who aren’t living these utopian dreams espoused from Davos.

Davos seems a bit like an Oscars gathering. The audience they are appealing to are increasingly looking the other way and tuning out. It matters not whether some believe we need to show more compassion and embrace global cooperation. The people in charge of selling it could not muck up the messaging and execution of said plans if they had a mandate to do so.

Davos 2019 may well see its proclamations become little more than rearranging deck chairs on the Titanic. We’ve been so overdue an economic correction and the little bigoted people increasingly trying to protect their own interests are already telling us they’re knee deep in recession already. At the same time they’re sick of their leaders legislating against them for supposed intolerance.

Maybe France is the globalist canary in the coal mine. Macron’s police force is already being asked to step it up a notch against the protestors. He need be wary of the police switching sides which would be a cataclysmic blow for globalism. Bring it on.

Trudeau waves to an empty airfield?

F3D5399D-7740-46BC-AEB8-B166D4F5E698.jpeg

Canadian blogger Spencer Fernando reports,

During yet another foreign trip (this time to Peru for the Summit of the America’s), Justin Trudeau took a moment to wave to the adoring crowds as he boarded his airplane.

Trudeau often waves as he boards his airplane, and this time seemed no different.

Except, there was nobody there.

6E979398-995C-49F7-8257-BD4222046650.jpeg

Talk about a photo-op failure.

It was a great visual example of how Trudeau’s manipulatively-crafted image is empty at its core, based on appearances above substance.

Beyond these photos though, the real concern is the damage Justin Trudeau is doing when it comes to investment fleeing Canada. With the Kinder Morgan Trans Mountain expansion on life support, and people losing confidence in Canada as a place to do business, no amount of photo-ops can distract from the real economic consequences of Trudeau’s failed policies.”

CLWHOLESS – and we want to entrust these people with our money?

77EB9626-F2E8-4948-8DAC-B4B07FD697BA.jpeg

It is hard to work out what is worse. The fact that WHO appointed Robert Mugabe as a goodwill ambassador or the later revocation? To think that he would pass the “sniff test” in round one for the values of WHO in the first place boggles the mind. None-the-less, doesn’t this kind of vindicate Trump’s constant slapping of the UN and it’s stooges for not being accountable despite the billions of our tax dollars that fund the lavish tax free lifestyles they enjoy!? Yes these same clowns work in the IPCC, HRC, HCR and other councils too but we are expected to sit back in awe of their competence and judgement in decision making processes. Total waste of time and money.

Hinomaru Hard Drive proves Japan Inc’s memory is too short

IMG_0500

It seems the Japanese government is trying in earnest to launch a local based consortium to fend off foreign attempts to buy Toshiba’s memory business. Taiwan’s Hon Hai, which recently acquired Sharp, is in the running to buy it. It begs the question that if the technology that resides inside Toshiba’s memory division is so state of the art (Hon Hai seems to think so), why aren’t Japanese corporations lining up to buy it? Affordability may be one argument but why isn’t there a Softbank Masayoshi Son styled mega-scale leveraged buy out? Where is the risk taking corproation that can see the future value? Why does the government require an orchestrated syndicate to launch a group bid? We only need to look at the long history of failure of this type of consortium formation.

Exhibit #1. Elpida Memory. Originally the love child of the failed DRAM businesses of Hitachi & NEC in 1999, it adopted Mitsubishi Electric’s struggling DRAM operation in 2003. It listed in 2004 and went bankrupt in 2012. Put simply Japan’s DRAM business, already buried by foreign manufacturers with lower costs, required regular capital raisings which dfailed to deliver the rosy future painted by the charismatic CEO Sakamoto. Hinomaru DRAM died.

Exhibit #2: Japan Display (JDI) which is the listed LCD JV of Sony, Hitachi & Toshiba is yet another mish mash of companies that is trying to keep an uncompetitive product on life support. While it might have Apple as a customer it has margins which scream lap dog. JDI’s market capitalization is 1/3rd of its listing value. Once again Hinomaru Display shows signs of remaining an uncompetitive sloth. Yes, tech analysts will tell me it has best in class technologies. Sad thing is they aren’t getting paid a fair rent for it.

Exhibit #3: Renesas Electronics was formed as the rejected love-child of NEC Electronics which was bought by Mitsubishi Electric and Hitachi. The lack of profitability saw the government’s Incubation Network Corporation of Japan take a c.70% stake in the group to help revitalize it. The shares have performed well in the last 12 months but remain 90% below the peak when it was conceived. Much of the performance is weighing on the expectation of automotive electronic systems requiring more of their chips.

Minister of Economy Trade and Industry (METI) Hiroshige Seko said recently that Toshiba’s memory chip technology could be used to wage destructive cyberattacks if installed in corporate data centers. National security issues should always be entertained as they are in many countries but corporate data centre vulnerability is a much broader problem. Protecting memory chips won’t necessarily stop hackers – in individual, underworld and state sponsored forms – from carrying out cyber attacks.

What we are dealing with here is yet another last ditched attempt to save face in an industry which has lost its competitive edge. Instead of being an IP owner that outsources production it insists on keeping the entire model in a state that can’t compete. Ultimately market economics is a tough judge and jury. Putting together such Hinomaru structures only leads to inefficient capital allocation that hopes to survive as two drowning men trying to make one swimmer. It misses all of the points of making it competitive. Instead of taking hard decisions, it wants the board of Toshiba to accept a lower bid from national interests as preferable to a better bid from a foreigner. How that plays into Japan’s wish to foster best in class corporate governance one will never know? Like Daiko Henjo, such rearguard actions only support the idea that running businesses inefficiently is OK because eventually government backed bailouts are there to save them.

That doesn’t foster risk taking so desperately needed to turn the tech industry’s in Japan around. Is it any wonder that Intel made 50% more net income over the last 25 years than all of Japan’s largest 20 tech companies combined?…