Federal Renewable Energy Production Tax Credits are
scheduled to expire December 31, 2012, unless Congress acts to extend them.
Congress isn’t doing anything about moving extension measures forward. The wind
energy industry needs at least 18 months of certainty about availability of the
credit to make starting a new project economically viable. As a result,
industry layoffs are already beginning, and by the end of 2012’s second quarter
are expected to reach 10,000 jobs lost.
Passage of time makes the picture even bleaker.
Without Congressional action, wind power layoffs could reach 20,000 jobs lost
by the end of the third quarter and 30,000 jobs lost by year end. Navigant
Consulting predicts total wind energy job losses in the next 12 months to reach
37,000 if Congress waits until the last minute to extend the tax credits.
On the other hand, if Congress were to act now,
according to the American Wind Energy Association, the industry could create
100,000 new jobs in the next four years. Certainty about tax credit
availability is the key. Newton, Iowa’s wind turbine blade maker TPI Composites
CEO Steve Lockard says “Our company has created more than 700 new jobs in
Newton, and a second wind energy company there now employs over 100 people. Our
industry can do the same in hard hit towns all across the U. S. if Congress
will let us, and doesn’t increase taxes on wind power next year.”
Apparently the only wind blowing through the
Capitol building in Washington, D.C. is political hot air.
