US clean technology firms campaigning for an extension to renewable energy tax credits secured a victory yesterday when the House of Representatives voted in favour of extending the credits.
The Renewable Energy and Job Creation Act of 2008 (H.R. 6049) was approved by a vote of 263 to 160. The $54bn (£27bn) package of incentives, which also includes tax breaks for education and business expenses, would deliver a six-year extension of existing solar energy tax credits, three-year extensions of credits on biomass, geothermal, hydro and waste-to-energy projects, and a one-year extension of tax credits for wind energy. The current tax credits are scheduled to expire at the end of this year. It also introduces fresh incentives to promote the development of energy efficient products and buildings and second-generation biofuels.
The renewable energy industry has been campaigning for the package to be approved, warning that 100,000 jobs and up to $20bn of investment is at risk if the credits are allowed to lapse.
Rhone Resch of the Solar Energy Industries Association (SEIA) welcomed the vote and urged senators to also back the legislation, arguing that it has the potential to create tens of thousands of " green collar jobs" at a time when the economy could do with just such a stimulus.
"Allowing the solar tax credit to expire is an enormous tax increase that will cost thousands of American jobs and billions in economic investment," he added. "Without this bill our national energy security will continue to be jeopardised by skyrocketing fuel prices from unreliable suppliers."
However, it remains unclear if the bill will secure the support it requires. Washington observers claim that the Senate appears less inclined to support the bill due to concerns over funding, while President Bush has signalled that he will veto the legislation.
Report predicts a mandatory "25 per cent by 2025" target would not only cut carbon emissions, but would also create 274,000 new jobs 08 Feb 2010
GreenHunter says that providing they are built in the right place, biomass projects can provide quick returns 04 Sep 2009
US and Europe both enjoy record years for solar installations as industry insists there are a few clouds on the horizon 25 Mar 2009
New figures show US carbon emissions will be 1.3 per cent lower than previously expected by 2013 as a result of stimulus package 23 Apr 2009
Industry urges legislators to move bill to the president's desk as quickly as possible 12 Mar 2010
With small scale geo-engineering projects already underway, MPs have warned governments must begin work on the necessary regulatory framework 19 Mar 2010
Wide-ranging project aiming to produce low-cost, algae-based biofuel 19 Mar 2010
New £4.5m research programme to ask if people will want electric cars 19 Mar 2010
More news
As a journalist, I spend a fair amount of time defending the much maligned media industry to friends and family.... 18 Mar 2010
Andrew Williams casts his eye over some of the most popular green driving aids on the market 16 Mar 2010
From hydropower hot spots to record-breaking Texan winds, we run down the top stories from the past week 12 Mar 2010 More in-depth
Post your comment
Send an email to the Business Green editor at feedback@businessgreen.com
