Full Title: Fire Sale: The End of American Ownership of Clean Energy
Author(s): Josh Freed
Publisher(s): Third Way
Publication Date: May 1, 2014
Full Text: Download Resource
Description (excerpt):
The dramatic drop in federal support for clean energy has severely curtailed domestic investment in that sector. The loan program is over, and other federal programs like tax credits to incentivize clean energy are winding down. Apparently, Congress has decided to abandon federal involvement in what has been one of the fastest growing industries in the world1 and a global market expected to reach $2.3 trillion.2 This posture puts at grave risk the ability of American companies to compete in one of the most vibrant sectors of this century.
But with Congress abandoning the field, others are moving in. Third Way analysis has found that this capital hole is beginning to be filled by funds from outside the United States. Chinese investment in U.S. clean energy jumped 130% in 2011 alone,3 and a French company took control of the second-largest U.S. solar panel maker.4 Foreign investment is a clear vote of confidence in the American clean energy sector. We should continue to encourage it. Unless the policy environment changes, American private sector investment and ownership of domestic clean energy companies will not only continue to decline, the U.S. will lose its leadership in the sector.