In today’s historic passage of the $700 bailout package for the financial industry, Congess also managed to finally extend the alternative energy tax credits that have been held up for months in legislative wrangling. The Senate approved incentives last week, and yesterday lawmakers included them as part of a $150.5 billion add-on package to the so-called “bail out bill” in efforts to gain more House votes for the financial rescue plan. The move will extend the existing tax incentives for the wind and solar industries for that were set to expire at the end of the year.
An article from investment research firm Morningstar reports some of the details:
“The bill extends production tax credits for wind energy projects for one year, and for geothermal, biomass, and other renewable sources for two years.
The solar energy industry won an eight-year extension of the investment tax credit for commercial and utility-scale solar projects, and an eight-year extension of tax credits for residential solar power installations.”
Passage of these incentives is good news for alternative energy advocates who feared the expiration of these credits might harm fledgling wind and solar businesses and initiatives.
Last month, David Gorn reported a story for Climate Watch about what’s going on with large-scale solar installations in California as the state pushes to meet a plan requiring that 1/3 of California’s energy come from renewable sources.