By Dave Kovaleski, Daily Energy Insider
May 8, 2019
The Business Council for Sustainable Energy (BCSE) voiced its support for a bill introduced in the U.S. Senate that seeks to spur investment in clean energy resources.
The Clean Energy for America Act, introduced by Senator Ron Wyden (D-OR) would overhaul the federal tax code to reward the carbon emissions reduction benefits of clean electricity, transportation, and energy efficiency. Broader use of clean energy will reduce air pollution and greenhouse gas emissions as well as create new jobs and economic benefits.
The bill would provide a production tax credit (PTC) or an investment tax credit (ITC) to facilities that are at least 35 percent cleaner than average. There would be a maximum of a 2.4 cents per kilowatt hour PTC or a 30 percent ITC available for facilities with zero carbon emissions. It would also provide a tax credit for fuels that are at least 25 percent cleaner than average, with the maximum credit of $1 per gallon available for fuels with zero carbon emissions. Also, the bill would provide a performance-based tax credit for energy efficient homes and tax deduction for energy efficient commercial buildings.
“BCSE appreciates the serious consideration that is being given by Congress to revitalize clean energy tax measures and congratulates Senator Wyden for his long-standing leadership on tax and energy policy,” BCSE President Lisa Jacobson said. “Tax policy has been an effective driver of investment and deployment for a range of clean energy technologies, resulting in multiple benefits to the American economy. The clean energy sector is now home to over 3.2 million U.S. jobs. Technology costs have fallen dramatically over the past decade, and the energy sector has seen significant reductions in greenhouse gas emissions. BCSE is encouraged by the legislation’s inclusive and market-based approach and looks forward to further reviewing the bill.”