NEW ENERGY INCENTIVES LEGISLATION COMES ‘ROUND AGAIN

New Energy’s reward for subjecting itself to the political tug of war between Congress and Big Oil is a new bipartisan bill calling for extension of vital tax credits without identifying a specific (or controversial) source of funding for them.

Kateri Callahan, President, Alliance to Save Energy: "Here we have a bill that enjoys broad, bi-partisan support in both Houses, as evidenced by the group of more than twenty Democratic and Republican senators who joined in introducing the Clean Energy Tax Stimulus Act today…American consumers urgently need the stimulative effect of these tax incentives, which will put money in their pockets by lowering their energy bills."

As if to underscore Callahan’s point, Senator Pete Domenici (R-NM), a past opponent of New Energy incentives, endorsed the bill, as did Senator Wayne Allard (R-Colo).

S.2821 extends production tax credits (PTCs) incentivizing large scale power production installations through the end of 2009. It extends investment tax credits (ITCs) incentivizing solar and fuel cell investments through the end of 2016. It extends personal tax credits incentivizing private purchases of solar, wind and fuel cell systems through the end of 2009.

But time is of the essence on this. Hanging in the balance are as many as 120,000 jobs as well as $20 billion in investments . Callahan: "Congressional action cannot be further delayed if this bill is going to make a difference in creating new high wage jobs in the emerging clean energy economy…The Alliance urges the Senate to "fast track" the tax incentives for swift enactment as consumers and businesses face spiraling energy costs in the looming recession…the time for action has arrived, and the economic downturn compels swift consideration of the bill in the Senate and agreement with the House on a final package to go to the President for signature."

The legislative pathway and time frame for floor debate are yet to be determined.

Government policy can make a huge difference. New Energy awaits only political leadership. (click to enlarge)

The Clean Energy Stimulus Act of 2008
Sponsors: Maria Cantwell (D-Wash) and John Ensign (R-Nev)
and
Energy Efficiency Incentives Are a Badly Needed Economic Stimulus
April 7, 2008 (Kansas City Infozine)
and
Allard, Bipartisan Group Lead Efforts to Extend Renewable Energy Incentives
Steve Wymer, 03 April 2008 (Cherry creek News)

WHO
Senators Maria Cantwell (D-Wash) and John Ensign (R-Nev), co-sponsors, along with 30 other Senators from parties; Kateri Callahan, President, Alliance to Save Energy

Just one of the tax credits and incentives at stake. (click to enlarge)

WHAT
From S. 2821, the Clean Energy Tax Stimulus Act of 2008 – “Purpose: To provide for the limited continuation of clean energy production incentives and incentives to improve energy efficiency in order to prevent a downturn in these sectors that would result from a lapse in the tax law.”

WHEN
The bill extends production tax credits (PTCs), incentivizing large scale power production installations, through the end of 2009. It extends investment tax credits (ITCs), incentivizing solar and fuel cell investments, through the end of 2016. It extends personal tax credits, incentivizing private purchases of solar, wind and fuel cell systems, through the end of 2009.

The Senate wants to interrupt THIS Renewable Energy (RE) and Energy Efficiency (EE) projected growth? In a teetering economy? Really? (click to enlarge)

WHERE
Passage by the House of previous bills for the same purposes pretty well guarantees that any bill getting through the Senate will go to the President for approval.

WHY
- The Alliance to Save Energy delivered letters to all one hundred senators urging the prompt extension of the renewable and energy efficiency incentives.
- The bill provides accommodations for utilities such as Clean Renewable Energy Bonds (CREBs) to raise funds for building and expansion and opportunities to realize returns for transmission investments.
- The bill extends tax credits for energy efficiency measures in homes and commercial buildings through the end of 2009.
- The bill extends tax credits to contractors for building energy efficient homes through the end of 2010.
- The bill extends tax credits for energy efficient appliance purchases through the end of 2010.

Renewable Energy (RE) offers great great growth opportunities across the New Energy spectrum -- if a few Ludditte Senators come around. (click to enlarge)

QUOTES
- Kateri Callahan, President, Alliance to Save Energy: "I commend the leadership of Senators Cantwell and Ensign in introducing this legislation…These tax credits were a key piece missing from last year's energy bill. The Senate earlier this year came within one vote of adding the tax incentives to the economic stimulus package. Now, with today's introduction of the Cantwell/Ensign bill, the Senate has an opportunity to take care of this important unfinished business from last year…"
- Senator Cantwell: "Green technology shouldn't be left behind any longer…Encouraging private investment in renewable energy is an indispensable part of reducing emissions and curbing our overdependence on fossil fuels. To get consumers better technology and cleaner, more renewable, more efficient energy options, we need predictable federal incentives to encourage investment."
- Senator Ensign: "We have an opportunity to break the stalemate in the Senate…Especially at a time when our economy is struggling, we should not be increasing taxes to pay for incentives. These incentives are necessary for our energy security and to help jumpstart our economy."