In renewable energy, just as in real estate, the game is “location, location, location.” And Tenorio and his neighbors found themselves in the wrong place at the wrong time. Their efforts to secure a link to the electric grid fizzled this year when the Federal Energy Regulatory Commission in Washington, D.C., ruled that the proposed line they needed couldn’t proceed until other projects were built.
Opponents of a key renewable tax credit are urging lawmakers whose states do not require renewable energy to oppose an extension of the credit, arguing it leads their constituents to subsidize activity in other states. The letter comes as Congress continues to deliberate the fate of the wind production tax credit, which is set to expire at the end of this year. Supporters remain optimistic the credit will win an extension as part of a “fiscal cliff” deal, but it is attracting intense opposition from fiscal conservative groups that argue it is too costly. Six conservative groups, including the American Energy Alliance, Heritage Action for American and the Competitive Enterprise Institute, today are sending a letter to 158 members from states without renewable portfolio standards urging them to let the credit die.
While wind has grabbed most of the attention in the push to extend the production tax credit, other renewable energy industries are lobbying in support of a small but significant tweak to the credit’s eligibility requirements endorsed by a Senate committee earlier this year. Representatives of the biomass, hydropower, geothermal and waste-to-energy industries wrote President Obama applauding his support for the PTC.
It’s looking less and less likely that Congress and the White House will reach agreement on the year-end “fiscal cliff” before Christmas, leading to predictions Washington is in for a long December waiting for a resolution. Senate Majority Leader Harry Reid (D-Nev.) continued to blast Republicans over the fiscal cliff negotiations — which cover a suite of impending tax hikes and across-the-board spending cuts lawmakers and President Obama would like to avoid, although they have not agreed on how. And he doused expectations that a resolution would present itself in the next two weeks.
They may not be able to do much to influence the “fiscal cliff” negotiations that remained at an impasse last week, but wind energy supporters are continuing to pound the halls of Congress with a somewhat nuanced request that will have an outsized influence on the state of the industry. The ask all year has been for an immediate extension of the wind production tax credit, which expires Dec. 31 without congressional action. But at this late stage of the game, simply changing the date in existing law won’t be enough to do much good for the industry, supporters say. Instead, they are focused heavily on persuading House Republicans to accept a modification to PTC eligibility requirements that already has won bipartisan backing from the Senate Finance Committee.
The bipartisan Western Governors’ Association is urging Congress to immediately extend the wind production tax credit for projects that begin construction next year as a first step to eventually eliminating all federal energy subsidies. In a letter sent to congressional leadership today, Govs. Gary Herbert (R-Utah) and John Hickenlooper (D-Colo.) — the chairman and vice-chairman of the 19-state organization — urge an immediate extension to the PTC, which is scheduled to expire at the end of this year unless Congress acts.
Western governors Friday called on Congress to extend the wind-power tax credit rather than let it expire at the end of December. In a letter to the U.S. House and Senate leaders, Western governors said that extending the credit now is critical to achieving the country’s clean-energy goals, building the nation’s manufacturing base, creating jobs, lowering energy costs and strengthening security.
World has jumped the proposed 2-degree-Celsius ‘guardrail’ and is moving to a more dangerous climate, expert says
The world has missed its chance to limit global warming to 2 degrees Celsius, the level many scientists and governments say is necessary to avoid “dangerous” climate change, former U.K. environment adviser Bob Watson said yesterday. Keeping under that 2-degree guardrail would have required industrialized countries to begin cutting their emissions in 2010, he told attendees at the American Geophysical Union’s fall meeting. “We are not on a pathway to a 2-degree world,” Watson said. “Much more likely, it will be 3 to 5″ degrees Celsius, roughly 5 to 9 degrees Fahrenheit.
Wind power makes up a small slice of the nation’s energy pie, but its advocates have mounted a big lobbying campaign to persuade Congress to renew an expiring tax credit viewed as crucial for the industry’s survival. Sen. Mark Udall, D-Colo., is playing a prominent role in this effort as he joins advocates who want Congress to extend the wind-energy production tax credit beyond its Dec. 31 expiration date. Udall and Sen. Charles Grassley, the Iowa Republican who authored the first wind tax credit 20 years ago, want Congress to include it in a broader legislative package aimed at blocking sharp tax increases and automatic spending cuts set to take effect next year.
Power plants’ use of coal for electricity production will continue to decline over the next 15 years, the Energy Department’s statistical arm said today. The Energy Information Administration’s draft “Annual Energy Outlook 2013″ says more efficient use of fuel by existing power plants and the building of few new coal plants will reduce coal use.