US Senate Passes Renewable Energy Tax Credits, House Could Pass Bill This Week

September 25, 2008

Washington, DC, United States [RenewableEnergyWorld.com]

The United States Senate on Tuesday voted by an overwhelming majority to extend the Production (PTC) and Investment Tax Credits (ITC). The tax measure was passed by a vote of 93-2. Now it goes back to the U.S. House of Representatives where it could be approved later this week.

“I hope they will take into account the seriousness of how difficult it has been for us to get this passed. Don’t send us back something else. We can’t get it passed.”

— Sen. Harry Reid (D-NV)

Under the legislation, the PTC will be extended for one year and the ITC will be extended for eight years. The extensions would be at least partially paid for by a change in the tax code for the oil and gas industry. The bill also contains removal of the US $2,000 cap for residential solar installations. The US $18 billion package is part of a larger tax bill worth approximately US $148 billion.

Senator Harry Reid (D-NV) expressed the difficulty he and his colleagues in the Senate have had getting the tax credits passes and warned that if the House makes changes to the bill it may not move forward.

“I hope they will take into account the seriousness of how difficult it has been for us to get this passed,” Reid said on the Senate floor. “Don’t send us back something else. We can’t get it passed.” 

There have been rumors that the House will not pass the bill as it currently stands. If changes are made to the bill in the House the Senate may have to return for a special session next week to debate the bill as the current legislative session ends for election season at the end of this week. The White House issued a Statement of Position on the bill urging its passage, a sign that President Bush would sign the legislation.

Companies in the solar industry have come out in praise of the Senate for passing the bipartisan legislation.

“We applaud the Senate for bringing the U.S. one step closer to becoming a progressive leader in the renewable energy industry, and for enabling us to compete worldwide with the many foreign countries who already have
sophisticated renewable energy programs. The eight-year extension breathes new life into the entire solar industry and will enable Clear Skies Solar to experience the explosive growth that we had originally anticipated of our company and the industry as a whole,” said Ezra Green, CEO of Clear Skies Solar.

Our Perspective:

This is great news but only the first step. Congress must takes steps to pass this bill and then President Bush must sign it. By signing this bill, Congress will be sending the message that the current energy crisis is real and that the US is willing to take the necessary steps to encourage alternative energy developement which will pave the way towards energy independence.

Let us know your thought? You may post a comment or email george@hbsadvantage.com.

Should you want to know more about solar opportunities in NJ and PA call 856-857-1230 or email us and ask about our no cost solar proforma.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: