But when quizzed by a shareholder about why they were selling off such good assets - selling the things investors had bought into BBW to own - BBW came up with entirely new reasons. Now BBW says the Spanish wind farm operation is a dog - a low-yielding asset that didn't produce and economic return. That's a little at odds with the glowing picture painted in previous reports. I'm not sure it was the smartest thing to say when the sale hasn't settled yet.

Wind power can't survive without massive subsidies, courtesy of you and me. "If these hidden subsidies were taken away, there would not be a single wind turbine built in Britain," says David Bellamy, a well-known environmentalist who has been tramping the Scottish countryside to oppose a massive wind project there. ...When will we stop pouring billions into wind? I have no idea. Politicians really love their turbines. Meantime, that soft whooshing sound you hear is your friendly green government, vacuuming money out of your pockets.

This morning BBW and BNB announced they were selling their 50/50 Portuguese wind farm joint venture to a Portuguese private equiteer Magnum Capital for $2.23 billion. A year after BBW bought its half from parent BNB, BBW is recording a loss of $11.7 million while BNB is claiming a small but undisclosed surplus over book value. But that's not really the point of this transaction. Everyone knows why BNB is selling - it rather desperately needs money to pay down debt.

Once a booming industry thanks to sky-high oil prices, the feel-good trend, carbon reduction and subsidies, the financial crisis has pushed investors to give up on green energies, and like the dot-com bubble of 2000, some analysts say it's about to burst. ..."I think economic reality will kill the green industry," said Mr. Buckee, who now lives in Britain and lectures on climate change. Solar energy isn't alone in its woes. Wind, biomass, biofuel and other "clean-tech" companies are getting pasted too as the financial crisis sends investors fleeing from technology names, dries up credit and freezes the IPO market.

When you think of the care that France lavishes on its landscape, it's surprising that so little has been done to control the proliferation of ugly wind farms. Rather belatedly, a small revolt is now brewing against what the opponents see as a state-subsidised racket in the name of sustainable development. ...They [the turbines] may not look too bad in the semi-urban countryside that prevails in the low countries and other parts of northern Europe. But it's sad to see them becoming a menace to the spacious countryside of France. Lets hope that they can put more off shore or develop other renewable sources such as tide and wave power.

A series of events on bats look set to be overshadowed by problems affecting the mammals' chances of survival, according to an expert. Anne Youngman, the Bat Conservation Trust's Scottish officer, said wet weather may have hit the breeding season for a second year running. ...On the agenda is a presentation on wind farms in mountain areas of Portugal. Ms Youngman said: "Wind farms were a hot topic at the last symposium. "In Germany, there are turbines above forests and the mortality rate of bats has been found to be high.

One of Spain's last untouched landscapes, the Sierra de Gata in north-western Extremadura, may shortly be inundated with up to 91 wind farms. Ecologists are increasingly concerned about the impact these "parques eólicos" may have on the varied wildlife of the region - and, not least, on its pristine landscapes. Currently, Extremadura is popular with nature tourists, particularly walkers and birdwatchers from all over Europe. For centuries this region was so off the beaten track that many people in the Spanish cities had never heard of it. Now the Sierra is waking up to the 21st century, and it threatens to be a rude awakening.

Only George Orwell could have invented - and named - the British Government's Renewable Transport Fuel Obligation (RTFO) that came into operation yesterday. It is the latest in a long line of measures intended to ease the conscience of the rich while keeping the poor miserable, in this case spectacularly so. ...The British Government has been persuaded by the wind turbine manufacturers to commit a third of its annual renewables subsidy to this uniquely inefficient energy source, advertising over hill and dale the cabinet's horror of making a decision on nuclear power. ...If all these fancy subsidies and market manipulations were withdrawn tomorrow and government action confined to energy-saving regulation, I am convinced the world would be a cheaper and a safer place, and the poor would not be threatened with starvation. Just now, for reasons not all of which are "green", commodity prices are soaring. Leave them. Send food parcels to the starving, but let demand evoke supply and stop curbing trade. The marketplace is never perfect, but in this matter it could not be worse than government action. Playing these games has so far made a few people very rich at the cost of the taxpayer. Now the cost is in famine and starvation. This is no longer a game.

What's telling is that the European interest hasn't wavered even though U.S. federal subsidies for clean energy are slated to expire this year and have yet to be extended. Historically, the federal tax-credits have been make-or-break for the industry. Now, though, it appears other factors weigh more heavily. EDP is so anxious to expand in the U.S. that it ordered more wind turbines from India's Suzlon this week, even though those Suzlon machines have had technical glitches. The big drivers? State incentives for renewable energy, like those in Texas; a slow but inexorable shift in the U.S. toward cleaner energy; and the high-quality wind resources in the U.S., which dwarf those of Europe (and other parts of the world.)

While wind energy is being wildly supported by many in the U.S., there have always been drawbacks to the performance and costs of these machines. The U.S. has had a heavily subsidized romance with them for nearly 40 years and too few of the state and federal policy makers have taken a close look at what the tens of billions in subsidies have actually done for the taxpayers. These wind energy programs have made many companies such as Florida Power and Light very wealthy because of the heavy subsidies, tax credits, and accelerated depreciation allowance. Additional benefits come from local taxing authorities. This source of energy remains very unreliable and limited, having produced only about 1% of the nation's energy for decades.

Here's the $36 billion question: Is wind power an expensive distraction or a key ingredient in the global energy cocktail? It all depends how you move the juice. ...Doubts over the real contribution of wind power aren't just an American thing. Energy Tribune recites the entire litany of arguments against wind power, one of Britain's hopes for curbing emissions of greenhouse-gases and meeting ambitious European targets for clean energy. ET's verdict? Wind power is "overblown": Too dependent on subsidies, plagued by technical problems, intermittent, and ugly to boot, threatening to tarnish forever British hills and beaches. (Ask vacationers in Brighton what ugly really is.) It's true that wind power's development-in the U.S. and elsewhere-relies almost entirely on subsidies. ...And there's little chance wind farms will ever come close to producing 90% of their headline generation capacity, as nuclear does; the best machines in the best spots now offer about a 35% "load factor". But the real question when computing cost doesn't lie just with the turbines themselves, but rather how to get that electricity onto the grid.

Worldwide opposition to wind power has now reached a crescendo and governments have been forced to respond with new planning regulations which impose the technology, often against huge objection. Public distaste for wind turbines revolves around landscape impact and concerns about noise and loss of tranquillity, but technical objections are of greater concern. ...The power industry concedes that wind turbines would not be built without unprecedented consumer-sourced subsidy or massive tax breaks. It is time for the threat posed by intermittent renewables, not least in requiring CO2-emitting coal-fired spinning reserve, to be investigated independently, without political interference.

Another area where the French have emphatically got it right is in power generation. After the oil shocks of 1973, France, with no significant oil or gas reserves of its own, embarked on a massive expansion of nuclear power, completely ignoring the doom-mongerers such as Greenpeace. The result has been an unqualified success story. Today, France has 59 nuclear power plants producing 78 per cent of its electricity needs. Electricity is so cheap and abundant that much of it is exported to the UK and Germany, earning the French economy about three billion euros a year. ...And because nuclear emits no carbon or pollutants, France is also one of the "greenest" countries in the industrialised world.

In 1996, Denmark went on to hit industrial producers with a $15 per tonne carbon tax, initially neutralized by cuts in payroll taxes. What happened? By 1998, manufacturers started shutting their doors due to high energy prices, and overall Danish carbon tax revenues started to fall along with manufacturing jobs. At the same time, the cost of government programs rose significantly. The government's solution incredibly was to - wait for it - subsidize electricity to select manufacturers and raise income taxes by lowering the income threshold on the country's top marginal rate. By 2001, with economic growth hovering at one- seventh-of-one-percent, Danes making over CAD$50,000 paid 59 per cent of their income in taxes and had to cope with record electricity prices. The entire debacle led to a change of government that year, with the incoming government promising a tax freeze, followed by a tax reduction - including those taxes on energy.

Any approach to determining economic policy for climate change should take into account the possibility that the current understanding of the atmosphere may not be translatable into reliable forecasts with a precision that allows the design of an economic response. Further, any economic forecasts that are used to construct models of future carbon use and carbon dioxide emissions will be unable to deal with technical innovations. Their success cannot be predicted. This impacts on policy in two ways, first the obvious uncertainty in estimating economic development but more immediately the desire of governments to stimulate technical solutions. The need to be seen to be taking action frequently descends to picking winners and creating classes of rent seekers. ...As an example the present subsidies for wind farms are a response to demands for action from Green groups and green politicians. The result is a new rent seeking group. There is little cost benefit analysis to guide policy development. Rather policy is set to subsidise non-competitive technologies that may produce unquantified benefits. A simple comparison with the more conventional alternative of natural gas shows the use of gas to be more cost effective and useful as gas turbine generators produce electricity on demand. General encouragement of innovation should be the limit of government policy. It is hard enough in business to develop innovations and well beyond the reach of general government.

If you thought the 2008 presidential race was shattering all records for windy rhetoric, it's nothing compared to the political eco-rhetoric being spun to US taxpayers -- to get them to cough up billions of dollars to fuel a renewable wind power industry boom sensible investors won't touch with a turbine's rotor blade. ...Wind power sounds a great European success story -- one to be echoed in the US, it seems, as 2008 is set to see wind power developments shatter records for the fourth consecutive year. However, a closer look at the European "success" story reveals that all is not quite as it seems. Wind seems to be blowing in the mind of the politically correct and those on the recent environmentalist bandwagon but the cost is going to be huge, no companies will plunge into it without massive government subsidies and, if actually built, power reliability will take a nosedive. ...The bottom line is that the renewables debate, and investment in it, is as much about ideology and political belief as it is about economics and environmental issues. When the real cost of turbine power as a major player toward our future power needs is assessed, the answer just ain't "blowing in the wind".

The greens favour high oil prices because consumers use less of the stuff when it costs more, and because high prices for oil make other forms of energy more competitive. Nuclear power, solar energy, wind power or any of the other substitutes for fossil fuels can become more economically viable only if oil prices stay about where they are - and politicians stump up some generous subsidies, sceptics would add. Meanwhile, the hunt for the proverbial free lunch is on. The most efficient way to cut the use of fossil fuels is to make them more expensive by taxing them, or the emissions they create. But politicians are as unenthusiastic about transparency in the cost of cleaning up the environment as they are about increasing the transparency of the funding of political parties. So most proposals to cut carbon emissions are built around a single proposition: hide their cost from voters. ...Even the emerging favourite in the United States and Europe, a cap on emissions followed by a trading of permits, is a hide-the-cost device: costs of compliance will be passed on as higher prices. So the blame will go to car makers, supermarkets, electricity utilities, and oil companies, the applause to politicians. All so politicians can avoid the transparent device of a tax on carbon or carbon emissions.

In recent times investor capital has been squandered by poor site selection, by turbine design compromises and by careless operations leading to premature catastrophic equipment failures. These are the symptoms of a juvenile industry that unless modified will serve to marginalize it indefinitely. Site selection presently is done with two factors in mind; the presence of wind (almost anecdotally) and the proximity of transmission lines. All aero dynamists understand the degree of productive difference between "dirty" and "clean" air. Wind turbine parks in or near mountains have to be in some of the "dirtiest" air possible. It is no mystery why there is a special checkout for all pilots wanting to operate aircraft in mountainous terrain; it is just plain rough and more dangerous. "Dirty" air is also very hard on transmissions/gear boxes and blade feathering mechanisms. Turbines operating in "dirty" air suffer an inordinate amount of breakdowns twisting the expected financial results out of all recognition. In the absence of specific "dirty" air turbine designs, investment success will elude the unwary.

There are two main issues with wind turbines: they have to be connected to the power grid, which involves some tricky technical problems, and wind doesn't blow all the time. ..."The total cost of wind should take account of that backup requirement, and the total costs of wind on the system is not computed today. In a market such as the US, where you don't have the same driver of carbon credits, wind doesn't have that benefit going for it. In Ireland, we need to have a market structure that will incentivise developers to build the (backup) plant. We need to pay for available capacity, not just energy." That hasn't been set up yet, as it would need legislative action, not just planning, and when fully costed, such a capacity market would be controversial. The consumer would be paying for a lot of plant sitting idle over two thirds of the time.

A meagre 6% of Europe's energy is currently derived from renewable sources (primarily from hydro-electricity). By 2020, the European commission wants to increase that proportion to 20% ...While Gordon Brown stated earlier this month that virtually all of Britain's electricity will have to come from low-carbon sources by 2020, his government is resisting the steps that have to be taken for that vision to become reality. The UK has reportedly told Brussels officials that anything above a 9% target for renewables would be too costly. ...a sizeable chunk of the emission cuts the EU expects to see in the next few years depend on its member states buying carbon credits from foreign countries.