Finally! Renewable Energy Tax Incentives Receive Overwhelming Approval in Senate

photo: Mike Rosales

Renewable energy developers across the United States can sleep a little easy tonight. After nine (count ‘em, nine) tries, the Senate has passed an extension of the renewable energy tax credit package which sat bobbing in the doldrums for what has seemed like ages. The 93-2 vote was made Tuesday and the House could vote on the legislation later today, where it is expected to pass. President Bush is expected to also approve the package.

Though not a long-term incentive package like many in the industry have been advocating, this is what the Senate has approved:Wind Gets a One Year Reprieve, Solar EightWind power tax credits have been extended for one year; other types of renewable energy such as small-scale hydro or tidal power have been extended for two years. The bigger news is that solar tax credits for businesses and residential installations have been extended for eight years. The entire package amounts to $18 billion in tax credits.

For a bit more detailed run-down of what’s in the package read Renewable Energy Incentives Stalled in Senate.

Stability, For NowThough this debate will have to be revisited again next year for wind power, this does provide a window of regulatory stability which, were it not there, could seriously hamper the continued growth of renewable energy in the United States.

If the Senate failed to pass this bill, the renewable energy tax credits would have expired at the end of this year.

via :: Reuters and :: GreenBiz JournalsRenewable Energy IncentivesCompromise Renewable Energy & Offshore Drilling Bill Unveiled by DemsImportant U.S. Renewable Energy Incentive Package Still Stalled in SenateRenewable Energy Incentives Stalled in Senate