CONGRESS CAN AGREE ON WIND

Reichert, Blumenauer Introduce Bipartisan Extension of Renewable Energy Tax Incentive; Bill extends production tax credit through 2016
November 3, 2011 (American Wind Energy Association)

"U.S. Representatives Dave Reichert (R-WA) and Earl Blumenauer (D-OR), members of the tax-writing House Committee on Ways and Means, today introduced the American Renewable Energy Production Tax Credit Extension Act (H.R. 3307). This bipartisan bill extends the tax incentive for the production of wind power, geothermal power, hydropower, and other forms of renewable energy through 2016…

"H.R. 3307 provides a clean, 4-year extension of the existing production tax credit…It was created in the Energy Policy Act of 1992 and has frequently been extended in year-end packages of expiring tax provisions, as well as in the Energy Policy Act of 2005. The current incentive is set to expire next year for wind and in 2013 for other renewable energy forms…"

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"Advocates note that historically, at least six to eight months before the tax credit expires, financial lenders hesitate in providing capital for projects because of the uncertainty created by the pending expiration of the credit, stalling projects…

"The rush to complete projects as the PTC nears expiration also reduces projects and adds costs, resulting in higher electricity prices…"