Wind Construction Collapses Without Tax Credit
Windmill construction in the United States collapses every time the production tax credit is not renewed. The PTC, originally part of the 1992 Energy Policy Act, now stands at $21.50 per megawatt-hour for the first ten years of generation. As Warren Buffett said a year ago: “I will do anything that is basically covered by the law to reduce Berkshire’s tax rate. For example, 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.” The credit expired in 2013 but was renewed last year. President Obama wants to make the tax credit permanent. The American Wind Energy Association puts out these figures to argue that the PTC is necessary but they also prove that wind still has not become economical.