Reason #1 The Silver Noose is Tightening

post dateSeptember 3, 2014  •   post categoriesChina, Economy, Manipulation, Silver & Gold  •   post comments number9 comments


 

Rally the Troops

With fresh beat-downs in September in precious metals prices, by the same, old banking forces, I thought it would be a good “gut check” moment to give a rallying cry.  After all, living through 3.5 years of paper waterfalls(especially in silver), can get a fellow burned out.  That’s exactly how I’d describe much of our precious metal community right now: extremely burned out.

Sometimes we all need a shot in the arm, I know I do.

Seeing that’s the case, I hereby don my golden helmet of strength, and my silver shield of freedom, in preparation for an assault on these banking criminals.  For the next week or so, I’ll be sending spear thrust after spear thrust of truth into this Beast of centrally-planned, crookedly-rigged precious metals markets, and doing my best to expose what is going on to everyone.  We must rally every shield brother(and brother yet to be), by reminding them that the Emperor, who many believe to be indestructible, is in reality, naked!  I need your help though, if you know anyone who’d benefit from these missives of truth, please send these articles along to them!  We cannot beat those arrayed against us, without a mighty host ourselves.  The truth is powerful, and it will set us free.

Here in my “Truth HQ” I’ll do my utmost, as just one man, to remind everyone that the time for these crooks is running out, not in spite of silver prices continuing to crater, but because of it!  There are just too many signs flashing from all directions, that the supply needed to run this massive con are not enough.  There’s simply not enough silver available at sub-$20, to keep delivering to everyone in the world who wants it.

And who wants it?  Everyone and their grandmother, that’s who!

This is particularly true in the realm of industrial usage, like the world’s newest crush: solar energy.

Cleaner and Meaner

Everywhere you look, people are looking for ways to cut down on air pollution.  This has become especially true in the realm of energy.  It is this tireless quest for cleaner, renewable energy alternatives that has led many across the world, to take a 2nd look at solar power.

What many don’t yet realize though, is that the largest parties in the world market for solar power are actually governments.  Governments are looking for ways to keep up with the growing trends of urbanization, and they’ve concluded they need more solar power than their countries currently have. Far, far more.

Although in years past, most of the governments which have been keen on solar energy have been Western ones, like(Germany, or the United States) more recently that focus has shifted Eastward in a tremendous way.  Many large, rapidly developing countries such as India and China, are desperately trying to keep up with a booming middle class, as well as a general trend toward urbanization.  Even Japan, due to the populist revolt over the disastrous meltdown at the Fukushima nuclear plant, is cranking up their solar program too.  As a result of those countries’ needs, the entire solar energy industry is being quickly transformed.

This appetite for untold mega and gigawatts of solar energy means that the Eastern countries of the world love silver.  To be more precise, they can’t get enough of it, literally.

The Key Solar Ingredient

For those who don’t know, silver is the key component of solar energy.  Silver is the most reflective, and light-capturing metal on earth.  The average solar panel is lined with roughly 2/3 of a troy ounce of it.

You just might be thinking: “Really?  That’s it, Watchman?  Two-thirds of an ounce?  How could that possibly make a dent in worldwide silver supply?”

Um, this is how.

Sea of Solar

 

And this.

Solar

And one of these!

The world is building vast fields of solar, in fact, they’re certifiably “seas of solar”.  Millions and millions of panels are springing up in the most unlikely places.

Don’t take my word for it, see for yourselves.  Click on this chart below, and just take a gander at it:

Global PV Installations

What you’re looking at represents the amount of energy that is being generated by the photovoltaic(PV) solar panels which have been installed around the globe.  Just look at 2013’s bar! Planet earth has literally installed enough silver-lined solar panels, to generate over 139,000 megawatts of electricity, or 139 gigawatts ! That’s up from a mere 1.2 gigawatts in the year 2000!

Oh!  And before we go even one sentence further, shield brother, I know what you’re thinking, so let’s just get this collectively off our chests, right now, shall we?

Yikes, poor Doc!  Growing up, I always just thought this was one of his eccentric moments.  Had I known what he was facing, I’d have probably reacted the same way.  After all, when you’re told you must find a way to generate enough electricity to power roughly 1 million homes for a whole year just to save a young man’s future, you’d probably resemble someone in a tent revival meeting too!

But, let’s do a few calculations before we proceed, to make these figures sink in further.  If a gigawatt can power roughly 750,000 homes per year, how many homes would be keeping their lights on with earth’s current 139 gigawatt capacity per annum?

Well: 139 gigawatts * 750,000= 104,250,000 homes, but let’s just round it off to an even 100 million homes, for the sake of simplicity.

Depending upon the continent you’re on, the average household will have between 4 to 6 occupants, right?  This means that in just one decade, solar energy supply has gone from nearly nothing, to roughly enough renewable electricity to power between 6 to 9% of humanity’s day to day needs! 

Astounding!  Yet, it doesn’t stop there!  When you consider the rate of growth, and that our gigawatt capacity is estimated to be increased another 45 gigawatts just in 2014, it starts to make your head spin, actually.  This global hunger for solar energy is monstrous!

Indispensable Silver

Silver is truly the indispensable metal, and without it there would be no solar industry to speak of. To call the growth of silver use for this industry “brisk” would be the understatement of the year. Silver’s growth in solar panel fabrication is nothing short of parabolic!

Not so very long ago, back in 2000, a mere 1 million ounces of silver was used in solar panel production.  

By 2008, the figure had grown to 19 million ounces.

Last year, the silver needed for solar had grown to over 64 million ounces.

By this time next year, in 2015, humanity will need an estimated 100 million ounces of silver per year to build and sustain its solar farms!  That’s well over 10% of all the silver produced in a year just for solar panels!

Solar Wattage Keeps Getting Cheaper

It is undeniable that the world is growing more fond of solar energy technology by the day.  After all, solar power creates virtually no pollution, and has become a great deal more affordable, despite the increase in silver’s price over the past 10 years.  In fact, this chart below showcases the growing efficiency and affordability of solar panels, priced in dollars per watt produced.

PV_Costs_per_Watt_July_2014_600_422_s_c1

 

Photovoltaics is the 2nd fastest growing use for silver in the world, and while there are Western countries who are fairly heavily into the solar scene, as I said before, most of the largest growth is occurring in Asia.

The Dragon is Gobbling Up Silver

This is most true in China.  Every other month, it seems, the Chinese officials in Beijing are resetting their target for solar gigawatt capacity upward.  Way upward.  Just take a look at these headlines from the past 2 years:

China confirms Goal for 35 GW of Solar Capacity by 2015.

A mere 6 months later, they’d upped that target, to 40 GW by 2015, 700% higher than their original goal of 5 GW.

Now, Beijing has announced they mean to advance their gigawatt capacity to 70 GW, just by 2017!

It’s easy to see why the Chinese government would be so eager to become the world’s leading solar energy user.  I mean, after all, would you want to go for a nice morning jog through a city that looked like this?

SD Bullion


Beijing smog

“Uh, a city like what, Watchman?  I don’t see anything.”

Exactly!  That’s Beijing on one of their worst smog days.  Remember, China is looking to be a world class power in every respect, and scenes like that plastered all over the nightly news and the internet are unacceptable to Chinese officials.

I expect that China knows exactly how much solar wattage it needs, and I suspect it’s far, far higher than anyone who heard it today would believe.  This is why I think they’re slowing rolling out their true desires for solar gigawatt targets: if they told the world all at once that they intended to increase China’s solar energy capacity to say, between 500 to 1,000 gigawatts(1 terawatt) within the next decade, what do you think it would do to the microscopic silver market? Do you think, just maybe, it might affect the price, just a tad?

After all, they’d need between 500 million to perhaps even a billion ounces to hit such a target! 

No, you can keep expecting two things from China: constant, upward revisions in solar gigawatt targets, and hundreds of millions of ounces of silver disappearing into the Dragon’s gullet!

India Lights its Own Solar Flare

SD Bullion


By no means though, is China alone in their quest for solar energy dominance.  For India is now beginning to reveal their true intent for solar power.  Until now, India hadn’t really shown that much interest in an aggressive PV program.  That all recently changed earlier this year, when India stated their intent to build a single solar plant, which would cover a mind-boggling 77 square kilometers!  That’s 30 square miles!  Put another way, that’s the entirety of Manhattan Island, covered in silver-laden panels!  Talk about stepping onto the solar stage in style!

How big would this place be?

Imagine being able to hop onto this guy’s motorcycle in the heart of such a solar plant, driving at speeds of 30 mph, for roughly half an hour in any direction, and still seeing nothing but solar panels!

Indian solar plant

It would consume an estimated 20 million ounces of silver, per year, all by itself! Considering that solar silver use was roughly 65 million ounces last year, this one plant alone, upon completion, would cause world silver solar consumption to jump by 30%!

While it’s true that the plans for this gargantuan construction has hit a temporary snag, involving the space around a wetland, do you honestly think that a nation of 1.2 billion people is going to throw up its hands, and say, “oh well, one fifth of humanity desperately needed this new 4 gigawatts of solar energy, but there are turtles and frogs here, so I guess we’ll have to go without it”?

Nope, neither do I.  They’ll find a way to build this plant, and then they’ll find a way to build maybe a dozen more just like it.  Perhaps those plants will be even larger in scale.  After all, India just announced its desire to go from 2.5 gigawatts of solar capacity to 20, and an 8-fold increase(at minimum) will need lots more plants, just like this one.

Conclusion

While it is frustrating to see daily price beat-downs by JP Morgan, Scotia Bank, et al, you have to keep a broader, longer picture in mind here.  The broader picture is: the earth needs clean, renewable energies in ridiculous quantities, and they need it yesterday.  Solar power is one of the best options we have at this juncture of history…but will there even be enough silver available to simply fulfill this one demand?

Good question.

Hundreds of millions of ounces of silver are going into cutting edge solar technology, and this is creating enormous strains upon the banking cartel’s rigged, “just in time” silver delivery system.  Their ability to endlessly rig prices on their exchanges can only continue as long as they have adequate metal to make deliveries to everyone who needs and wants it.  It would be bad enough for these poor crooks if industrial and energy demand was all there was to satisfy. 

But it’s not!  Not by a long shot, because, you see, silver is also MONEY, and if we stackers have anything to say about it….we’re going to help ensure that this mindless, generational silver suppression stops once and for all!

Continued, in Part 2

 

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