AWEA: US tax bill leaves wind energy PTC untouched

The American Wind Energy Association (AWEA, Washington, DC) reports that the the Tax Cuts and Jobs Act near passage in the US Congress preserves the current renewable energy Production Tax Credit (PTC) and will allow the continued growth of American wind energy, and the investment, jobs, and other economic benefits it brings to rural communities. The bill to be voted on this week preserves the phase-out through 2019 of wind energy tax credits, ensuring stability for American factories that build wind turbines, and investors who back new wind farms.

“We are grateful to our champions in Congress for their work to craft a pro-business tax reform bill that will continue the success story of American wind power,” says Tom Kiernan, CEO of AWEA. “The bill respects the 2015 bipartisan phase-out, preserving through 2019 the Production Tax Credit and Investment Tax Credit, which the wind industry uses to access capital and invest in U.S. infrastructure. We also recognize improvements made to the new Base Erosion Anti-Abuse Tax to enable continued investment. We deeply appreciate the work of Members of Congress who stood up for wind workers and rural America, and look forward to continuing our work with these Congressional champions as we deliver more factory orders, construction contracts, and jobs.”

The final tax reform package honors the PATH Act of 2015, which provided for a gradual phase-out of the tax credits through 2019. AWEA says the predicable phase-out is expected to unleash $85 billion in economic activity and create nearly 50,000 new wind jobs by 2020, according to Navigant Consulting.