WASHINGTON – Senator Chuck Grassley on Monday commented on the announcement by MidAmerican Energy Company that it plans to add up to 1,050 megawatts of wind generation in Iowa by year-end 2015, which would include up to 448 new wind turbines, in Grundy, Madison, Marshall, O’Brien and Webster counties. All of the blades for the expansion will be manufactured in Fort Madison, according to MidAmerican.
Grassley comment:
“This sort of extraordinary investment in wind-energy production emphasizes the value and success of the federal production tax credit. Wind energy continues to prove that it’s a force in America’s energy supply by delivering clean, renewable power. Wind energy comes from local farms, it’s for local customers and, most often, it adds investment value to local communities. Wind energy makes sense for America’s future.”
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 third 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 2.3 cents per kilowatt-hour. This tax credit is available only when wind energy is produced, so it’s tax relief that rewards results.
