US Congress mulls offshore tax credit extension

Source: By Renewable Energy News • Posted: Thursday, June 27, 2019

Legislation reintroduced that would provide PTCs until 2025

US Congress mulls offshore tax credit extension

Legislation has been reintroduced to the US Congress that would extend tax credits for the offshore wind sector to 2025.

The Offshore Wind Incentives for New Development Act was introduced by Democratic Senators Edward Markey (pictured) and Sheldon Whitehouse and Republican Congressman Jim Langevin.

It was co-sponsored by Jack Reed, Elizabeth Warren and Cory Booker, all Democrats.

Markey said: “Offshore wind has the potential to change the game on climate change, and those winds of change are blowing off the shores of Massachusetts.

“Offshore wind projects are a crucial part of America’s clean energy future, creating tens of thousands of jobs up and down the east coast and reducing carbon pollution.

“In order to harness this potential, we need to provide this burgeoning industry the long-term certainty in the tax code that it needs.”

Whitehouse said: “As the home of the nation’s first offshore wind farm, the Ocean State has become a hub of the growing offshore wind industry.

“Our bill will extend a key tax credit to support offshore wind developments in Rhode Island and across the country that will grow the green energy economy by following the Block Island wind farm’s example.”

American Wind Energy Association chief executive Tom Kiernan said: “Without Congressional action, the federal Investment Tax Credit for offshore wind is set to phase out this year – just as the first wave of large-scale offshore wind projects prepare to begin construction.

“At this critical moment for a new US energy industry, policy stability is more important than ever.

“We appreciate and strongly support proposals that would extend the Investment Tax Credit for offshore wind, jumpstarting the projected $70bn build-out of America’s offshore wind infrastructure, delivering large amounts of reliable, homegrown clean energy and tens of thousands of jobs to the US economy.”

Other groups supporting the legislation include Sierra Club, Union of Concerned Scientists, Mass Audubon, Natural Resources Defense Council and Oceana.