Juggling Dynamite

Idled in 2013, and formerly the largest Co2 emitting plant in Canada, Ontario is converting the Nanticoke coal plant to a 44 MW solar installation. Now we are using our heads.  See, Ontario to convert largest coal plant:

“…the grounds of the idle Nanticoke Generating Station—once North America’s largest coal plant—will soon be lined with solar panels.

Ceasing energy production in 2013 as part of Ontario’s phase-out of coal energy, the enormous plant, which could produce almost 4,000 megawatts of power at full capacity, was officially shuttered for safety reasons last year. But the strip of land on the north shore of Lake Erie will soon begin churning out power once again—only this time, the electricity will be emissions-free.

As part of the Independent Electricity System Operator’s 455 MW power procurement announcement earlier this week, the Nanticoke, Ont. site will be repurposed to house a 44 MW solar farm.

Sarnia is another southern Ontario location taking advantage of developments in solar technology. Enbridge operates a 80 MW photovoltaic plant outside the city.

When corporations buying back their own shares have become the only net buyers for stocks, you know that we are very, very late in an epic cycle.  And when that buying has been possible only by borrowing suicidal levels of debt to keep the Ponzi-like dream alive, you know we have a contest of greater fools:  those buying the debt and those buying the shares. The bond buyers are throwing good money after bad in desperation for yield, while the corporations are cannibalizing their balance sheet in order to feed a fleeting illusion of rising share prices.  In the end, both are likely to earn what they deserve:  capital losses.  See:  There’s only one buyer keeping the S&P alive.

Prem Watsa of Fairfax Financial laid out similar conclusions in his latest shareholder letter.  The financial-tainers on BNN made note this morning.

Fairfax Financial CEO Prem Watsa laid out a litany of risks in his latest letter to shareholders. From plunging commodity prices, to Canada’s housing market and frantic policymaking in China – he’s telling investors it could all come to a head early this year. Here is a direct video link.

Interesting discussion on Charlie Rose last night on ideas to break political impasse. It is necessary (and healthy) for intelligent leaders to hold, exchange and respect opposing views from those around them.  Intolerance is a sign of weakness not strength.

Former Senators Tom Daschle and Trent Lott discuss their book “Crisis Point: Why We Must—and How We Can—Overcome Our Broken Politics in Washington and Across America.” Here is a direct video link.