The Energy Recovery Council and three other renewable energy trade associations today commended a 19-5 vote by the Senate Finance Committee this week to extend and enhance production tax credits (PTCs) for all renewable energy sources. The tax credits are essential for the development of waste-to-energy and other clean energy-generating facilities by offsetting the high cost of construction. Yesterday’s action by the Committee will give renewable baseload technologies equitable access to this important program by allowing eligible facilities to qualify for the tax credits when construction is commenced.
“The Energy Recovery Council commends the Senate Finance Committee for including important changes to the production tax credit that will allow all renewable technologies to benefit from this important program,” said Ted Michaels, President of Energy Recovery Council. “Modifying the definition of placed in service will provide more opportunities for waste-to-energy facilities to utilize the renewable tax credit, which will in turn drive sustainable waste management practices in the United States.”
Baseload energy sources – which provide consistent power independent of external factors like weather or time of day – particularly rely on PTCs at a time when fuel costs are high and electricity prices are low. These sources of energy combined produce almost 75% of the nation’s renewable electricity, according to the U.S. Energy Information Administration. The Biomass Power Association, the National Hydropower Association, and the Geothermal Energy Association joined ERC in the joint statement.