Mon March 12, 2012

Senate to Take Up Wind Tax Credit Extension

Colorado’s wind energy industry is closely watching an anticipated vote in the US Senate Tuesday on a one-year extension of a popular wind power production tax credit. 

More than six thousand Coloradans are directly employed by the wind industry.  The uncertainty over the tax credit’s future has already had a noticeable effect on new wind power projects, according to Craig Cox, who heads the local trade group, Interwest Energy Alliance.

"Right now, because of this tremendous policy uncertainty, we’re seeing the beginning of a dry up of orders that would normally be placed now for delivery next year," Cox said. "It’s having an impact now on the industry both in Colorado and throughout the nation."

The tax credit is set to expire at the end of this year. And the most recent attempt to extend it for one year is expected to be introduced as part of an amendment to a broader transportation bill by Michigan Democrat Debbie Stabenow. 

The Senate may also consider a competing Republican amendment to do away with the credit all together, as well as all energy subsidies, in exchange for lowering the corporate tax rate.