House bill would extend investment tax credits

Source: Emily Yehle, E&E reporter • Posted: Friday, September 16, 2016

A new bill from Rep. Jim Langevin (D-R.I.) would extend the investment tax credits for offshore wind until 2026.

The bill is a companion to S. 3036, which Sens. Sheldon Whitehouse (D-R.I.) and Ed Markey (D-Mass.) introduced in June.

Both bills aim to extend the tax credit beyond its current expiration in 2019. In a statement, Langevin said that deadline is too soon, making it unlikely that any additional wind projects will qualify before the cutoff.

“Clean energy is the future, without question, and we need to clear as many hurdles as possible to ensure that we are investing and innovating in cleaner, more efficient and more sustainable energy solutions,” he said. “Wind power is an important piece of that puzzle, and the Offshore WIND Act would help incentivize additional offshore wind projects.”

Congress extended the production and investment tax credits for wind in last year’s omnibus package. But the extension was a phaseout, with the value of the ITC decreasing each year. By 2019, it will be at 40 percent of today’s value.

It’s so far unclear whether Langevin has enough support to move the bill or include it in must-pass legislation. The Senate bill has eight sponsors, all Democrats.

Other renewable energy interests have also pushed for an extension to their PTC, which is set to expire at the end of this year (Greenwire, Sept. 7).