SunEdison Plunges 15%, Halted As Tepper Sues To Block Acquisition
The ongoing drama between SunEdison and Terraform Power and Appaloosa's David Tepper just escalated yet again. The stock plunged 15% after an initial halt but is now halted once again as Tepper says "immediate action is needed" as he sues the firm to block the firm's 'nepotistic' deal to acquire Vivint assets, having previously warned SUNE is "self-dealing."
As Reuters reports,
David Tepper-led hedge fund Appaloosa Management LP sued to prevent SunEdison Inc's yieldco from taking over some of Vivint Solar Inc's assets after SunEdison acquires the rooftop panel installer.
The yieldco, TerraForm Power Inc, is to acquire Vivint's residential solar rooftop portfolio after SunEdison completes its acquisition of Vivint.
And the result...
(1 vote)
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billionaires are losing money left and right. why doesn't the fed do something? the horror, the horror...
solar doesnt work, even with the tax credits it is simply too expensive to make electricity. Tired of government picking "winners"
In Nevada there is a lot of sunlight and a lot of solar panels, but they generate electricity at a cost of 25 – 30c per kWhr. With subsidies and tax benefits, the cost “falls” to 15c. (In this context, the word “falls” means “is dropped on other people”.) But the retail rate for electricity is 12.5c. So having solar panels doesn’t help you much unless you can sell that excess electricity, which the state of Nevada was buying at 12.5c. That price sounds fine and dandy til we find out that they could have bought the same electricity at wholesale rate of around two cents.
So Nevada has decided that’s what the state will pay… 2c, not 12.5c. The latest decision is to apply normal free market rules. Nevada will now pay wholesale rates for electricity. No more shopping for boutique electrons.
Taking into account all the tax cuts, subsidies and total costs, who would have thought that paying 15 times the wholesale rate for electricity would be economically unsustainable?
http://joannenova.com.au/2016/01/nevada-reversal-solar-earnings-rate-dro...
I have not followed this closely but it is being spun as 'Warren Buffet is screwing the owners of solar panels'.
It probably does have its roots in the legislature's activities of creating a special class of electrons as you say.
The free market is just too dangerous to be allowed to roam about uncaged.
The utilities pay for grid upkeep/maintenance and that is usually the portion of your bill that states "T&D charges" (Transmission and Distribution). QF's (Renewable Qualifying Facilities) (See PURPA), that are engaged in grid connected operations generally operate under Net Billing agreements/contracts which vary from state to state. Back in 1999-2000, utilities were forced to divest their generating assets due to deregulation in many states and become solely T&D entities. The main reason were stranded costs which resulted in utilities requesting rate increases incessantly to state regulatory bodies, (Public Utilities Commissions). Under the leadership of governor Angus S. King. (and this ), whose son became involved with First Wind, now SUNE.
At that time they also tried to eliminate all renewable systems from current net metering agreements which the QF generators were paid directly by the utilities for excess generation at the AVOIDED COST RATES. IOW 2 cents per kWh and not the retail rate 12 cents at the time. Also they did not pay a T&D charge.
I entered the frey to continue the practice of Net Metering but the utilities (and ENRON) argued that there would be a tax problem under the new deregulation rules. I came up with a new annualized net metering procedure that eliminated the taxation issue by allowing any excess generation to be rolled over month to month, (like banking it), and have any excess applied to monthly bills where the QF didn't generate enough to cover usage up to their usage for that billing cycle. After a one year period the excess would reset to zero and you start again. In most states you still pay a T&D charge and rightfully so as the lines do need to be maintained and you are connected directly to the grid.
Some states have upped the rating of QF's to 660kW or larger (when the new rules were enacted, it was <100kW). Those states that allowed the QF to be paid full retail have had to re-examine their policies. Nevada just did and it only makes sense to pay the QF the avoided cost rate.
I will not get into the REC scheme here but may expound on it another day.
Edit: More very revelent material added.
I'm afraid that some people seem to have missed the point of a solar installation, at least as I see it.
I didn't tear the roof off my east-west barn and rebuild it specifically to make it solar friendly, hang a bunch of panels on it that I purchased one-by-one as funds were available, and loaded up on all the other hardware and batteries and suchlike things to save money on my electric bill or to gouge the shit out of others forced by the State to buy my overpriced surplus. I do neither on my ever-experimental standalone system.
I did it to get free of commercialized cartels AT ANY COST WHATSOEVER and regain some slight degree of independence rather than fall in line with our increasing trend towards inescapable interdependence.
When some friendly foreign power switches off the grid, there are a lot of people who will be congratulating themselves on their determination to live free of such blackmail and rejoicing in the fact that freedom isn't free, but it sure is nice at any cost. Cold beer for me.
For offgrid applications Use Surrette 8CS25PS batteries (this should be 2 banks connected series-parallel), or these, and 2 Xantrex SW5548 stacked inverters. Size the system to your expected usage plus breathing room, about 4 days and note your phantom loads. A good software would be Homer. I suggest a Bergey Excel-R turbine as primary if the site is reasonable for wind, and solar at about 3kW. If you have a good hydro site I strongly recommend Canyon Hydro. The permitting etc for small hydro is complex but these are the the guys and gals you want to talk to.
Have a 15kW (or appropriately sized) propane generator on hand. The propane can be part of the heating, cooking and laundry dryer component of the system.
LJ.
MEMO to the Hedgeless Horseman: Add these to the list.
Disclaimer, I have no financial or other interest in all of the above. I have worked with all the systems and manufacturers some years ago and have had outstanding results. They are still in business and that speaks volumes.
Tarabel, hope you put on a standing seam metal roof. That is my other recommendation to all.
Yep, solar technology just doesn't produce the watts need to justify it. Maybe someday but not now.
Tired of government picking "winners"
It is not so much government picking winners as much as it is goverment picking friends / donors.
Sick Balls David! Scrutinize the books and examine the First Wind transaction.
http://www.marketwatch.com/investing/stock/terp
http://www.marketwatch.com/investing/stock/glbl
Blue Mountain Capital (listed as insiders at TERP and JP Morgan keep propping them up as I suspect the PPT as well..... About Blue Mountain
Company[edit]BlueMountain, a private company formed in 2003,[1] was reported to manage financial assets of US$20 billion in 2015.[2]
The company made a reputation in part by making trades with JPMorgan Chase in the wake of the 'London whale' trading loss in the bank's London branch.[2][3]
The company has offices in New York, London and Tokyo.[4]
http://www.marketvisual.com/Search/Results?searchString=bluemountain
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Terra Nova Renewable Partners, A Partnership Between SunEdison And Clients Advised By J.P. Morgan Asset Management - Global Real Assets, Buys 33 Percent Stake in 336 Megawatt DC Solar Portfolio from Dominionhttp://www.prnewswire.com/news-releases/terra-nova-renewable-partners-a-...
Update: and Absolute Must See... Tyler's, if I am wrong on this, please ban me from ZH.
http://www.marketvisual.com/Search/Results?searchString=terra+nova
Speaking of solar panels, Ag just got a .999 boner.
Solar Panels, lots of sunlight, and a microinverter-based system is affordable (with state, local, and federal tax breaks) and sustainable as long as the sun shines.
Cannot say the same for a fossil fuel powered system. Most, if not all solar trash-talkers have no direct experience with a working solar system.
Try walking a mile in my moccasins before keyboarding bullshit, y'all ignorant bitchers !
"Try walking a mile in my moccasins before keyboarding bullshit, y'all ignorant bitchers !"
I've walked in those moccasins for miles sonny boy....
Tell me how ...
Probably just conjecture, never mind.
And, I ain't your son, lumberjerk.
I'd disown you if you were.... I am the grand daddy of Annnualized Net Billing and have years of experience in the sector. I saw the fraudsters move in and then they supersized it.
Now to cover my short on TERP (try the investopedia Warren Buffet Challenge) LOL ... Better see the comments I have made since your assinine hippie comment. Hope you take my suggestions to heart. I used to charge for them and did the required work succesfully. My advice comes at no cost here. Due dilligence and experience counts in this day and age, I harbor no ill will and am thankful that ZH has given us all the opportunity to debate.
LJ
need another greedy jew to take the other side for some real fun... Icon? Ackman? Rothschild?
A private Jew can have a stock halted? Does the SEC even pretend anymore? "Turn those machines off!" "Why 'yes,' Mr. Jew."