Thirty members of the House Sustainable Energy and Environment Coalition (SEEC) have sent a letter to the Internal Revenue Service (IRS) and the U.S. Department of the Treasury, encouraging them to act swiftly in issuing guidance to clarify the eligibility qualifications for the wind energy production tax credit (PTC).
After the PTC language was changed to allow projects to qualify for the tax credit if they start construction before Jan. 1, 2014, rather than begin operation before that date, the industry has been awaiting further guidance from the IRS and the Treasury on what it technically means to begin construction.
In their letter, the committee members urged the agencies to act swiftly on the issue.
"Because the PTC has been extended for one year only, it is imperative that you work to clarify the specific criteria that will define the commencement of construction as soon as possible," they wrote.
Rep. Ed Perlmutter, D-Colo., an SEEC member, stressed that the guidance is necessary to provide certainty to the wind energy industry.
‘The PTC is important to the wind turbine manufacturers, but also to all the small businesses along the supply chain and the farmers and landowners who want turbines on their property," Perlmutter says. "Clarifying the rules to ensure the PTC applies to those projects that are "commenced construction' in 2013 will provide the certainty for these businesses to invest in the future and maintain and create thousands of good-paying, private-sector jobs in Colorado and throughout the country."
The full text of the letter is available here.
