by Jon Sanders
Director of the Center for Food, Power, and Life, Research Editor | John Locke Foundation
The previous two times the word “unsustainable” has been used on The Locker Room, it was in reference to (1) energy source whose supposed economic benefits would not be realized were it not for public subsidies and (2) the need for Republicans to differentiate themselves from Democrats by becoming visible and outspoken critics of corporate welfare.
I provide that as a backdrop for Gov. Pat McCrory’s announcement about a French nuclear energy company’s decision to locate its North American headquarters in Mecklenburg County:
The project was made possible in part by an award from the state Job Development Investment Grant (JDIG) program. Receipt of the award is based on proof of job creation and other performance requirements. Today, the state Economic Investment Committee voted to award a Job Development Investment Grant (JDIG) to AREVA. JDIGs are awarded only to new and expanding businesses and industrial projects whose benefits exceed the costs to the state and which would not be undertaken in North Carolina without the grant.
Under the terms of the company’s JDIG award, AREVA is eligible to receive up to nine annual grants equal to 65 percent of the state personal income tax withholdings from the eligible new jobs created since the date of the initial award. Receipt of each annual grant is based on state-certified proof that the company has fulfilled incremental job creation and capital investment requirements. Over nine years, the JDIG award could yield aggregate benefits to AREVA of up to $2.5 million.
It’s no comfort to captured ratepayers that unsustainable “sustainable energy” and unsustainable nuclear energy are both at the trough for subsidies.