IWEA News / Updates
Wind Energy Industry: Turbines Power Down Energy Prices
September 26, 2012
DES MOINES, Iowa - Home and business energy costs have been falling in the Midwest - and the wind industry is claiming partial credit. While it's a win for consumers, says Bob Fagen, a senior associate at Synapse Energy Economics, other energy sectors aren't pleased, and that's why they've begun a campaign to try to derail renewal of the wind-production tax credit, which is pending in Congress. "When the wind is built and is available, it runs. When it runs, that generally means that natural gas-fired or coal-fired plants do not run. So, it puts downward pressure on prices." Iowa's wind-power production is at more than 4,500 megawatts - enough for about 1.1 million homes. The production tax credit has been in place for about 20 years, and has seen bipartisan support, although this year it's being debated on the campaign trail. Fagen says the wind-production tax credit isn't a loan or a "freebie" because there is no benefit until after production happens - and that means manufacturing jobs. "The real issue is that wind is a clean, inexpensive energy resource - homegrown - and it makes a ton of sense to continue to promote the wind industry." Exelon Corp. is urging that the credit be discontinued, saying government funding should go to research and not production of components.
Richard Alan, Public News Service - IAView All News/Updates