Full Title: Broadening Wind Energy Ownership by Changing Federal Incentives
Author(s): John Farrell
Publisher(s): Institute for Local Self-Reliance
Publication Date: April 1, 2008
Full Text: Download Resource
Description (excerpt):
A typical 2 megawatt wind turbine provides enough electricity for around 600 average American homes. So why is it nearly impossible for those same 600 households to pool their resources and own a wind turbine?
There are two significant barriers to owning and investing in renewable energy projects. First, the federal renewable electricity incentive — the production tax credit (PTC) — limits the type and amount of income tax that can be applied. Second, the Securities and Exchange Commission (SEC) has complicated and expensive registration fees for sizable cooperative investments. If lawmakers want Americans to achieve energy independence, they need to revise the PTC and simplify SEC registration.
This policy brief shows how removing two barriers to owning and investing in renewable energy projects can pave the way for true energy independence.