How Congress can achieve something by doing nothing.
The Wall Street Journal, December 12, 2013
The media are saying that the 113th Congress is on track to be “the least productive” on record—as if that’s bad for the country. Let’s hope gridlock lasts long enough to kill the crony capitalist special known as the wind production tax credit.
This subsidy that was supposed to be temporary is now 20 years old, providing a taxpayer gift to wind companies of 2.3 cents per kilowatt hour. The handout would cost $18 billion over the next five years. The good news is that it is due to expire on December 31 unless Congress acts to extend it, so House Republicans can accomplish something for taxpayers by doing nothing. Continue reading
November 25, 2013
WASHINGTON— U.S. Representative Richard Hanna joined a bipartisan group of 52 House members in calling on Ways and Means Committee Chairman Dave Camp to allow the wind production tax credit (PTC) to expire at the end of 2013 as scheduled under current law.
Since its establishment in 1992, the tax subsidy for wind energy production has grown in both eligibility and cost. Today, the PTC subsidizes wind energy production at a rate of 2.3 cents per kilowatt. According to the Joint Committee on Taxation, a one-year extension of the tax credit would cost $6 billion and a five-year extension would cost more than $18 billion. Continue reading
Here’s a good article from the Institute for Energy Research.
Assessing the Production Tax Credit
The article is not very long, be sure you read all the way to the conclusion.