Comments on: And the Winner Is … http://climatechange.foreignpolicyblogs.com/2007/08/04/and-the-winner-is-%e2%80%a6/ The official Web log for Great Decisions 2007 Sat, 05 Jul 2008 08:48:53 +0000 http://wordpress.org/?v=wordpress-mu-1.0 by: Bill Hewitt http://climatechange.foreignpolicyblogs.com/2007/08/04/and-the-winner-is-%e2%80%a6/#comment-578 Sun, 05 Aug 2007 23:19:48 +0000 http://climatechange.foreignpolicyblogs.com/2007/08/04/and-the-winner-is-%e2%80%a6/#comment-578 Thanks, Michael, for that useful analysis. If you want to see more of Michael’s penetrating perspective, go to the item he shared with us early in July, <em><a href="http://climatechange.foreignpolicyblogs.com/2007/07/02/midwest-renewable-energy-fair/" rel="nofollow">Midwest Renewable Energy Fair</a></em>, or to the website of the progressive organization he leads, <a href="http://www.renewwisconsin.org/" rel="nofollow">RENEW Wisconsin</a>. Thanks, Michael, for that useful analysis. If you want to see more of Michael’s penetrating perspective, go to the item he shared with us early in July, Midwest Renewable Energy Fair, or to the website of the progressive organization he leads, RENEW Wisconsin.

]]> by: Michael Vickerman http://climatechange.foreignpolicyblogs.com/2007/08/04/and-the-winner-is-%e2%80%a6/#comment-574 Sun, 05 Aug 2007 17:43:34 +0000 http://climatechange.foreignpolicyblogs.com/2007/08/04/and-the-winner-is-%e2%80%a6/#comment-574 Of the two amendmants, I'd have to say the tax package is the more significant of the two. It's my understanding that the wind tax credit would be extended for four years and the solar tax credit would lift the $2,000 ceiling on residential systems. Most important, the tax package eliminates some tax loopholes catering to the oil and gas industry. So the financial support given to renewable energy would not trigger any additional borrowing--good news to those too young to vote but not too young to inherit debt. However, I'm afraid that the national Renewable Energy Standard will be substantially weakened in conference committee. Do not discount the political power that the Southern Company can mobilize at a moment's notice. The standard as passed by the House exempts TVA, rural electric cooperatives and municipal utilities. Look for the Senate to weaken the legislation by adding a few more exemptions, moving the compliance date farther into the future or lower the percentage required. The Senate has traditionally been a graveyard of enlightened energy policy. Go to the following URL for an explanation why. http://www.theoildrum.com/node/2850 http://www.theoildrum.com/node/2833 Of the two amendmants, I’d have to say the tax package is the more significant of the two. It’s my understanding that the wind tax credit would be extended for four years and the solar tax credit would lift the $2,000 ceiling on residential systems. Most important, the tax package eliminates some tax loopholes catering to the oil and gas industry. So the financial support given to renewable energy would not trigger any additional borrowing–good news to those too young to vote but not too young to inherit debt.

However, I’m afraid that the national Renewable Energy Standard will be substantially weakened in conference committee. Do not discount the political power that the Southern Company can mobilize at a moment’s notice. The standard as passed by the House exempts TVA, rural electric cooperatives and municipal utilities. Look for the Senate to weaken the legislation by adding a few more exemptions, moving the compliance date farther into the future or lower the percentage required.

The Senate has traditionally been a graveyard of enlightened energy policy. Go to the following URL for an explanation why.

http://www.theoildrum.com/node/2850

http://www.theoildrum.com/node/2833

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