Renewable energy tax credits extension needed, says Central Valley congressman

WASHINGTON, D.C.
March 6, 2008 1:14pm

A national transition towards large-scale use and production of clean energy technology can happen only if investment and production tax credits are extended, a congressional committee heard Thursday.

U.S. Rep. Jerry McNerney, D-Pleasanton, says growth of clean energy technology would not only reduce heat-trapping pollution, but would create an entire spectrum of good-paying jobs in the United States.

“The testimony heard today confirms what I have been saying all along. The renewable energy industry in the United States is poised to create hundreds of thousands of new jobs over the next few years. But none of it will happen, and in fact existing clean energy technology jobs will be lost, if we do not extend the investment and production tax credits,” says Mr. McNerney, whose district includes a portion of the Central Valley.

Blair Sweezey, senior director of solar markets and public policy for Silicon Valley-based Applied Materials, told the Select Committee on Energy Independence and Global Warming that his company has expanded rapidly in the solar sector in recent years. Mr. Sweezey testified that if the renewable energy tax credits are extended that the solar field alone will generate 55,000 jobs and $45 billion in economic investment.

He also noted that the consequences for not renewing the tax credits would be a loss of 40,000 solar jobs through 2009.

Vic Abate, vice president of renewable energy at General Electric, offered similar testimony, saying, “The expiration of the tax credits would have a devastating impact on the wind industry.”

Mr. Abate said that if the production tax credits expire, GE will see a 90 percent drop in wind installations beginning in 2009.

Mark Tholke, regional project development manager for wind energy company enXco with facilities in San Ramon and Tracy, reinforced the findings of other new energy technology economic impact studies.

“Wind power provides more jobs per unit of energy than non-renewable technologies. In a new wind installation, approximately 80 to 100 workers are involved in the construction phase alone,” Mr. Tholke testified.