Grassley comment:
“Continued investment in wind-energy production emphasizes the value and success of the federal production tax credit. Wind energy has proven that it’s a force in America’s energy supply, providing clean, renewable, and home-grown power. Wind energy comes from local farms, it’s for local customers and, most often, it adds investment value to local communities.”
Background information:
A Grassley amendment to the Energy Policy Act of 1992 established the production tax credit for wind energy. The idea behind Senator Grassley’s proposal was to try to level the playing field with coal-fired and nuclear electricity generation. Today, the wind-energy industry supports 75,000 jobs nationwide. Iowa ranks second among every state for wind production, and there are 6,000 wind-energy related jobs in Iowa. Under the wind-energy production tax credit, which Senator Grassley has worked successfully to extend numerous times, producers are eligible for a tax credit for each kilowatt-hour of electricity produced by a qualified project during the first 10 years of operations. Right now, the tax credit is 2.2 cents per kilowatt-hour. This tax credit is available only when wind energy is produced, so it’s tax relief that rewards results.
