AWEA backs Offshore Wind Investment Tax Credit extension
Sen. Tom Carper (D-Del.) recently highlighted support from a key stakeholder group for the long-term extension of investment tax credits for offshore wind, underscoring what he said is building momentum for crucial financial incentives to build offshore wind energy in the nation.
The American Wind Energy Association (AWEA) recently sent a letter to Carper expressing its support for a four-year extension of both the production tax credit (PTC) for onshore wind and the investment tax credit (ITC) for offshore wind.
“History demonstrates that these long-term extensions will be most beneficial in attracting investment and increasing domestic jobs and manufacturing capacity and establishing a stable base for the industry’s continued growth,” wrote Denise Bode, CEO of the AWEA.
“I would like to thank the American Wind Energy Association for recently endorsing a four-year extension of not only the production tax credit for onshore wind, but also the investment tax credit for offshore wind,” said Carper.
“In October, I held a roundtable discussion with the administration and with 14 major offshore wind stakeholders – key state representatives, manufacturers, developers and financers were all at the table. There was consensus that a long-term extension of the investment tax credit was critical to the success of the offshore wind industry.
“Put simply,” Carper added, “if we are going to have offshore wind industry in this country, we will need a long-term extension of the investment tax credit for offshore wind. I look forward to working with AWEA and my colleagues to ensure the development of offshore wind energy comes to fruition in America.”
In July, Carper and U.S. Sen. Olympia Snowe (R-Maine) introduced the Incentivizing Offshore Wind Power Act (S.1397), which extends investment tax credits for the first 3,000 MW of offshore wind facilities placed into service.
Offshore wind investment tax credits are considered vital for this new clean energy technology because there is a much longer lead time for the permitting and construction of offshore wind turbines, compared to onshore wind energy.
Joining Sens. Carper and Snowe as cosponsors are Sens. Chris Coons (D-Del.), Susan Collins (R-Maine), Robert Menendez (D-N.J.), Sheldon Whitehouse (D-R.I.), Sherrod Brown (D-Ohio), Frank Lautenberg (D-N.J.), Jack Reed (D-R.I.), Ben Cardin (D-Md.) and Barbara Mikulski (D-Md.).