Mt. Vernon Register-News

Features

December 17, 2012

Tax credit debate sucking the wind out of wind industry

JOHNSTOWN, Pa. — The wind industry's turbines are stalling over doubts about the future of a 20-year-old tax credit, and the uncertainty is already costing jobs and cancelling projects.

A Gamesa turbine plant near here, in Cambria Township, has laid off more than 160 workers so far this year because of slacking demand for windmill parts. Iberdrola Renewables recently canceled a 24-turbine wind farm planned for mountains south of here, near the Maryland-Pennsylvania border.

Wind developers aren't planning new projects, said David Rosenberg, Gamesa's vice president of marketing and communications, which means the supply chain is slowing and thousands of people are out of work. The wind industry employs about 75,000 people in the United States, and most of its projects are on 12- to 18-month schedules

Clouding their future is uncertainty surrounding the federal tax credit, which expires at the end of the year. Wind energy producers get a 2.2-cent credit for every kilowatt hour they put into the power grid. The credit enables some to cut as much as one-third of their operating costs, which supporters say inspires more wind development.

"It’s very important to get the tax credit. It's very important for the industry," said Dan Lagiovane, a communications manager for EverPower, a Pittsburgh company that operates four wind farms, including two in Pennsylvania, and is building two others in the state.

If renewed by Congress, the credit will cost $1.36 billion per year between now and 2015, according to the Congressional Joint Committee on Taxation. The American Wind Energy Association says the credit, in turn, leverages $15.5 billion in private investment each year.

The tax credit's survival isn't certain, despite President Obama's support for it during the fall campaign. Obama's negotiations with Republican House Speaker John Boehner over the budget deficit have cast doubt over most tax credits and loopholes.

Text Only
Features
  • The virtues of lying

    Two computational scientists set out recently to simulate the effects of lying in a virtual human population. Their results, published in the Proceedings of the Royal Society B, show that lying is essential for the growth of a cohesive social network.

    July 31, 2014

  • Sunburn isn't the only sign of summer that can leave you itchy and blistered

    You've got a rash. You quickly rule out the usual suspects: You haven't been gardening or hiking or even picnicking, so it's probably not a plant irritant such as poison ivy or wild parsnip; likewise, it's probably not chiggers or ticks carrying Lyme disease; and you haven't been swimming in a pond, which can harbor the parasite that causes swimmer's itch.

    July 30, 2014

  • 20140729-AMX-GIVHAN292.jpg Spanx stretches into new territory with jeans, but promised magic is elusive

    The Spanx empire of stomach-flattening, thigh-slimming, jiggle-reducing foundation garments has expanded to include what the brand promises is the mother of all body-shaping miracles: Spanx jeans.

    July 29, 2014 1 Photo

  • Screen Shot 2014-07-28 at 2.21.22 PM.png VIDEO: Dog 'faints' from excitement of seeing owner

    A reunion between a Pennsylvania woman who had been living overseas for two years and her pet schnauzer has gone viral, garnering nearly 20 million views on YouTube.

    July 28, 2014 1 Photo

  • cleaning supplies Don't judge mothers with messy homes

    I was building shelves in my garage when a neighbor girl, one of my 4-year-old daughter's friends, approached me and said, "I just saw in your house. It's pretty dirty. Norah's mommy needs to clean more."

    July 25, 2014 1 Photo

  • Has the ipad lost its swag?

      The company reported this week that sales of its sleek, pricey tablet were down 19 percent from last quarter and 9 percent year-over-year. CEO Tim Cook tried to reassure investors that Apple's new partnership with IBM to sell its devices to IBM's corporate customers will help make iPads ubiquitous in the workplace. "This isn't something that worries us," he said of the iPad sales decline. But the numbers are disappointing no matter how you spin them.

    July 24, 2014

  • Darth Vader is polling higher than all potential 2016 presidential candidates

    On the other hand, with a net favorability of -8, Jar Jar is considerably more popular than the U.S. Congress, which currently enjoys a net favorability rating of -65.

    July 23, 2014

  • Hospitals let patients schedule ER visits

    Three times within a week, 34-year-old Michael Granillo went to the emergency room at Northridge Hospital Medical Center in Los Angeles because of intense back pain. Each time, Granillo, who didn't have insurance, stayed for less than an hour before leaving without being seen by a doctor.

    July 22, 2014

  • Wal-Mart to cut prices more aggressively in back-to-school push

    Wal-Mart Stores plans to cut prices more aggressively during this year's back-to-school season and will add inventory to its online store as the chain battles retailers for student spending.

    July 21, 2014

  • Your chocolate addiction is only going to get more expensive

    For nearly two years, cocoa prices have been on the rise. Finally, that's affecting the price you pay for a bar of chocolate - and there's reason to believe it's only the beginning.

    July 18, 2014

Twitter Updates
Facebook
Stocks