Obama unveils $2.3bn in clean technology tax breaks

The Obama Administration announced a fresh wave of measures designed to accelerate the development and deployment of clean technologies last week, including the award of $2.3bn (£1.4bn) in tax credits for low carbon energy projects.

Speaking late last week, President Obama said the tax credits, which form part of the US economic stimulus package, would help to create 17,000 new jobs and encourage up to $5bn in private sector investment.

"Building a robust clean energy sector is how we will create the jobs of the future, jobs that pay well and can't be outsourced," he said, adding that the tax credits initiative was "good for middle-class families. It is good for our security. It is good for our planet".

The investment tax credits have been awarded to 83 projects in 43 different states and are worth up to 30 per cent of the value of each planned project.

They have been awarded to a wide range of clean technology projects, including plans to deploy smart grid, solar and wind energy systems. The Department of Energy said that all of the projects were scheduled to be completed by 2014 and around 30 per cent were expected to be completed this year.

The announcement came in the same week that the administration confirmed it is to distribute $100m in stimulus funding to 25 green job training programmes, including 28m to regions affected by the decline in the US auto industry, and award a further $47m to 14 projects focused on improving energy efficiency across the IT and communications industry.

Meanwhile, the US Department of Interior's Bureau of Land Management (BLM) announced late last month that 31 renewable energy projects had met the standards required to qualify for its fast-tracked planning decision-making process.

BLM Director Bob Abbey said that the 14 solar, seven wind, three geothermal and seven transmission network projects would be guaranteed full environmental analysis and public review before the December 2010 deadline for obtaining economic stimulus funding.