Proposed Extension for Wind Production Tax Credit

Several senators proposed legislation March 15 that would extend the production tax credit for wind energy, set to expire at the end of 2012, for another two years.

Sens. Mark Udall (D-Colo.), Michael Bennet (D-Colo.) and Chuck Grassley (R-Iowa) partnered together to propose the American Energy and Job Promotion Act (S. 2201) to maintain the tax credit for renewable energy until Jan. 1, 2015.

Proponents of the 2.2-cent-per-kilowatt-hour tax credit have been pushing for renewal early in the year to avoid large layoffs in the industry, particularly in the wind sector that expects to see about 37,000 layoffs without congressional action. However, lawmakers have to find a legislative vehicle for the measure to pass as standalone provisions do not often move on their own.