Category Archives: Domestic Energy

In 2012 the Governor of the State of Delaware, Jack Markel, entered into a long-term contract with Bloom Energy.  The contract obligated Bloom to begin manufacturing their “Bloom Boxes” in the closed Chrysler Assembly plant.  Delaware was obligated to subsidize Bloom to the tune of the difference of the cost of the electricity produced by Bloom Boxes and the cost of open market electricity.  That subsidy rose from $0.67 in October 2012 to $3.83 for September 2013, a 570% increase, where it increases each ratepayers month’s bill. Delaware has mandated a requirement to buy renewable energy produced electricity that grows to 25% of the total energy used in the State by 2025.  The open market electricity price has been dropping due to the increased availability  of  natural gas from fracking operations around the Nation. The natural gas is becoming the major source of energy for producing electricity.   Natural gas is not considered a “renewable” form of energy.  But the State passed an exception to their renewable energy law that allows  Bloom Box energy  to be called “renewable” even though these boxes use natural gas as their energy source.  The irony here is that the electricity  produced using natural gas the standard way, the electricity is much less expensive than electricity produced by Bloom Boxes.   But remember, the State has a law  that demands the use of “renewable” energy produced electricity.

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