Distributed Solar vs Utility War About To Heat Up...

[Ian S]

The utility industry is not likely to take a bond downgrade lightly.

[J.P.M.]

The utility industry is not likely to take a bond downgrade lightly.

Saw that one too. I'm not sure a grade change from a brokerage house spells the doom of the utility business. Maybe/probably good info for investors but in a different context than utility ratepayers with solar and net metering concerns.

[russ]

Be interesting to see the moves Barclays made before the article came out - over the past six months.

I expect that this is a word play for some reasons known to Barclays senior management?

They talk about storage - it would be interesting to know what they think they know - what they are referring to. We don't see much happening in distributed generation as of yet.

[Sunking]

Be interesting to see the moves Barclays made before the article came out - over the past six months.

I expect that this is a word play for some reasons known to Barclays senior management?

They talk about storage - it would be interesting to know what they think they know - what they are referring to. We don't see much happening in distributed generation as of yet.

One thing I have learned in 30 +years of investing is the Institutional gangs like Barclays, Edmunds, Goldman. Berkshire and others is they do the exact opposite of what they say they are doing. For example if a stock is hot and they recommend a strong buy means sell if you have any because they bought it low, made a huge gain and trying to push it just a little higher while they sell out before the big fall comes. Likewise if they are downgrading a stock or bond tells me they are buying it big time driving the price as low as they can to snatch it all up.

[russ]

One thing I have learned in 30 +years of investing is the Institutional gangs like Barclays, Edmunds, Goldman. Berkshire and others is they do the exact opposite of what they say they are doing.

Many years back I learned the the Mexican telephone company TFONY was a Merrill Lynch select penny stock. They would sell all they had on hand every six months and then slowly by it back as it tanked. It was guaranteed to go from about 3/16 to 7/8 during the run up.

[Ian S]

Saw that one too. I'm not sure a grade change from a brokerage house spells the doom of the utility business. Maybe/probably good info for investors but in a different context than utility ratepayers with solar and net metering concerns.

No, no doom involved. However, it gives the utilities more ammo in their war on residential solar. A downgrade in rating often translates into a higher cost of borrowing and I have no doubt that the investor utilities and their fossil foolish allies will be touting that.

[russ]

fossil foolish allies

Green blather Ian.

[Ward L]

Doesn't Add Up

This article suggests batteries and the tiny fraction of homeowner solar are going to put the bite on electric companies? All I've read here is batteries are way too expensive. With fracking creating cheap natural gas electrical rates could stay low if it were not for greenhouse regulations. The EPA is putting the hurt on coal fired plants that is the big bogey for power companies. Solar is only a great investment for the typical homeowner because of tax incentives and "green power" laws coming to states like California. I'm probably missing the point, but this article is total BS.....maybe I should read it again, nah, who cares.....

[russ]

This article suggests batteries and the tiny fraction of homeowner solar are going to put the bite on electric companies? All I've read here is batteries are way too expensive. With fracking creating cheap natural gas electrical rates could stay low if it were not for greenhouse regulations. The EPA is putting the hurt on coal fired plants that is the big bogey for power companies. Solar is only a great investment for the typical homeowner because of tax incentives and "green power" laws coming to states like California. I'm probably missing the point, but this article is total BS.....maybe I should read it again, nah, who cares.....

Barclays trying to make points with the loony left - nothing more.