Congress extends 2.2 cents per kilowatt-hour tax credit for new wind installations for one year.
Part of the last-minute deal Congress approved to end the “fiscal cliff” fiasco in the United States includes extending tax credits for the wind industry for one year.
The tax credit is worth 2.2 cents per kilowatt-hour of energy produced by new wind installations for their first 10 years of operation.
It is welcome news for manufacturers in the industry, which expected installation to drop by 90% and cost 37,000 jobs without the extension.
However, the American Wind Energy Association still expects a slowdown in 2013.
Developers decided not to take the necessary early steps to build wind farms, and wind turbine manufacturers laid off thousands of workers as Congress shilly-shallied over extending the tax credit, according to USA Today.