Wind Collapses Without Federal Tax Credit
Windmill construction has proved once again that it depends almost entirely on the federal production tax credit, which often makes it profitable to put up windmills without even selling any electricity.
Since Congress refused to extend the PTC from last year, windmill construction has collapsed to 1999 levels. This has happened every time Congress allowed the program to expire. There was a huge surge in construction last year as companies anticipated the end of the benefit in 2014. Now wind is in the doldrums again and lobbyists are buzzing around Washington asking for a reprieve. "Johnson Controls, Berkshire Hathaway's MidAmerican Energy Co., POET, Sherman Williams and Calvert Investments, as well as the American Farm Bureau Federation, the National Tooling and Machining Association, the American Association of Port Authorities, the Center for Rural Affairs, the Biotechnology Industry Association and the National Wildlife Federation, signed the letter urging Congressional leaders to pass the EXPIRE Act," reports Triple Pundit.
Berkshire Hathaway CEO Warren Buffett recently told an Omaha audience: "On wind energy, we get a tax credit if we build a lot of wind farms. That's the only reason to build them. They don't make sense without the tax credit."