WTF? Sen. Lamar Alexander “Can’t Think of” Extending Wind Strength Tax Credits ( Preserving 37,000 Work opportunities), but Hoping to Power Tar Sands Pipeline

 

This submit was at first posted on Climate Progress and has been reposted with authorization.

With each and every passing day, Congress outdoes its personal abysmal environmental document.

Even as federal policymakers consider a transportation bill that would open up sensitive regions for offshore drilling, stimulate use of dirty oil shale, force a decision on the Keystone XL tar sands pipeline, and derail manifeste investments in public transportation, they couldn’t even compromise on a simple small-phrase tax credit score for wind electricity.

Wind businesses have been calling an extension of the credit score an “emergency” due to looming mass layoffs in the market. But history has established time and time once again, if it is clean up and renewable, it doesn’t power any urgency in Congress.

In latest weeks, there was a strong bi-partisan force to incorporate the production tax credit score (PTC) in an forthcoming payroll tax reduce expenses. In contrast to drilling tax credits for fossil fuels completely embedded in the tax code, wind and other renewables only get short-term extensions of the PTC. With an expiration looming at the stop of this yr, wind firms are previously decreasing orders and laying off hundreds of people.

The hard work to lengthen the PTC was supported by Republican governors, multi-country wide corporations, and a sturdy coalition in Congress. Nonetheless, with some Congressional radicals threatening to “derail” the costs if the PTC ended up portion of the tax cut deal, the extension was not in the last costs, according to North American Windpower — efficiently killing a single of the only probabilities to revive this crucial tax credit score in 2012:

The information dealt a crushing blow to the American Wind Vitality Association (AWEA), which had hoped that close to-expression legislative action linked to extending the payroll tax lower was the finest automobile to swiftly pass the PTC extension.

According to AWEA, PTC action is urgent, due to the fact when the presidential marketing campaign begins in earnest, the focus will be on campaigning, rather than on legislative matters.

Now that a near-term approach is severely weakened, the wind industry ought to appear to other techniques that a PTC extension could be passed this 12 months, such as in a lame-duck Congress adhering to the November standard election.

Even if the wind business will get an extension at the very last minute just before it expires at the conclude of December, organizations are even now really going to endure. Tasks consider several several years to create, and developers and financiers need to have clarity on no matter whether or not the tax credit score will be readily available when the venture is put in services. With so considerably uncertainty this 12 months, they’re probable to shelve earlier-stage projects — cutting back again on orders, decreasing production exercise, and slowing building into 2013.

The wind business estimates that a failure to prolong the PTC will end result in the decline of 37,000 American work opportunities. One particular major manufacturer, Vestas, mentioned it may need to lay off one,600 individuals in the coming months with no more plan certainty.

Meanwhile, PTC opponents in Congress carry on to thrust for the Keystone XL pipeline, which will create a greatest of 6,000 employment, in accordance to the company creating the undertaking.

Very last December, Tennessee Senator Lamar Alexander and other supporters of Keystone XL in Congress almost derailed a last-moment extension of the payroll tax lower by attempting to force a Presidential decision on the controversial tar sands pipeline. The payroll extension passed, but the tactic in the end failed when President Obama turned down TransCanada’s permit, stating the pressured choice did not permit enough time to correctly appraise the environmental influence of the venture.

Senator Alexander indicated that he was prepared to consider much more hostages throughout the current discussion above the payroll tax minimize — this time in order to stop the wind market from acquiring an extension of the PTC. In reaction to the tax credit proposal set forward by Democrats, Sen. Alexander railed towards subsidies to wind organizations:

“I can't feel of anything at all that would derail much more rapidly the consensus that is establishing about extending the payroll tax cut than to do these a issue.”

Certainly, there is practically nothing that could derail progress in the energy sector a lot more quickly than hypocritical members of Congress getting a firm stance versus the business of renewable power.

Senator Alexander failed to mention that the leading 5 oil companies — all of which enjoy tax credits completely embedded in the tax code — made a merged $ 137 billion in revenue final year. And he plainly didn’t read the most up-to-date poll from Yale that identified 70% of Americans opposed supplying govt assistance to these mature, very-lucrative organizations.

Sen. Lamar Alexander image via Medill DC

Associated posts:

1. Navy Pushes Algae Biofuel as Tar Sands Oil Pipeline Sputters


2. Harry Reid Slams Tar Sands Pipeline ($ $ Much better Invested on Cleanse Electricity)


3. AWEA Reaches Out to Public Urging Extension of Important Wind Power Incentive

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