Another Energy Grant Controversy, You’ll Never Guess Who’s Involved

The Department of Energy (DOE) finds itself embroiled in controversy following its decision to rescind a $200 million grant from Microvast, an electric vehicle battery component firm. Republican Senator John Barrasso has expressed his deep concerns about the repercussions of this abrupt reversal and is demanding transparency from the DOE.

Microvast experienced significant market fluctuations after the grant was announced in October and subsequently withdrawn in May. Its stock price soared by over 40% upon the initial announcement, only to plummet by 36% when the grant was unexpectedly pulled. These sudden swings in the market have raised eyebrows and prompted Senator Barrasso to question the DOE’s actions.

In a letter to Energy Secretary Jennifer Granholm, Senator Barrasso criticized the federal government’s interference in a company’s stock price, stating that it is inappropriate and potentially unethical. He also highlighted the impact of government misinformation fueled by funds from the Infrastructure Investment and Jobs Act and the Inflation Reduction Act, which have caused considerable instability in financial markets.

Senator Barrasso is determined to get to the bottom of this issue and has called for the complete cooperation of the DOE. He wants detailed information about the award negotiations with Microvast, as well as other grant processes. The senator’s goal is to ensure transparency and accountability within the DOE.

The Biden administration had touted these grants as a means of boosting domestic manufacturing. However, the sudden withdrawal of the grant raises doubts about the credibility of the DOE’s press releases. The DOE claimed that the initial announcement was merely the beginning of “negotiations” and not a guarantee of receiving the grant. Yet, many Republicans and investors remain unconvinced and have suffered financial losses due to the misinformation.

It is worth noting that concerns were raised about Microvast’s ties to China, as the majority of its revenue (69%) is generated there, while only 3% comes from the United States. The company’s own financial disclosure acknowledged that the Chinese government holds substantial influence over its business activities and can intervene without notice. These revelations have further fueled the need for an investigation into the DOE’s decision-making process.

To ensure transparency and accountability, Senator Barrasso has called on Energy Secretary Granholm to provide clarity on the criteria used in announcing and canceling award negotiations. The lack of transparency surrounding the DOE’s award processes has created confusion and uncertainty among investors, which must be addressed promptly.

As Republicans continue to seek answers, the DOE’s response to these concerns will be crucial. The American people deserve to know the truth about the grant decision and its impact on financial markets. Senator Barrasso’s commitment to transparency and accountability should serve as a rallying cry for Republicans who share these values.

Source Fox News