Renewable Tax Credits

NDN's Green Project has been incredibly active since its launch earlier this year.

Most recently, we held a series of events addressing climate change, energy and the economy. On July 9, U.S. Sen. Jeff Bingaman, Chairman of the U.S. Senate Energy and Natural Resources Committee, addressed the NDN community on the case for Cap and Trade; later that month, NDN's Globilization Initiative Chair Dr. Robert Shapiro released a paper on a carbon/payroll tax shift; at the end of July, we urged Congress to support a package of renewable tax credits; and on August 1, Assistant U.S. Senate Majority Leader Dick Durbin's delivered an important policy speech on the Green Economic Opportunity.

Today we are releasing a major new report which argues that solar power must become a top U.S. economic priority. To read the full report, click here.

The paper, which is summarized in a news release below, makes a compelling case as to why solar power will help address high fuel prices, combat climate change and reduce our dependence on foreign energy. While it may seem that all anyone talks about these days is offshore drilling, read this fact-filled report to find out why looking up instead of drilling down may be just what we need to do when it comes to creating a clean energy policy that will power our economy in the 21st century.

Accelerating the rollout of solar power must become a top policy priority of the United States if our nation is to address high fuel prices, combat climate change and reduce our dependence on foreign energy. So argues a new report entitled, “Solar Energy: The Case for Action," released today by NDN's Green Project and authored by Michael Moynihan, a former Clinton Administration official who now directs the Green Project.

As a growing global population and higher standards of living increase demand for energy, the report argues that energy has entered a new phase in its history.

NDN believes that solar will play a key role in creating green jobs while building the new, low-carbon economy of the 21st century and that promoting leadership in solar technologies to take advantage of this immense new opportunity must be a major policy priority of the United States.

"As recently as last week, the inability of Congress to extend the Solar Investment Tax Credit, at a time when American families are struggling with high energy prices and industries as diverse as autos and airlines are losing billions of dollars, shows that this issue requires far more attention than it has received,” Moynihan said.

Moynihan continued, "Our political leaders have been treating solar energy and other renewables as an interesting but sideline issue. In fact, the development of renewable energy sources is a vital economic priority of the United States. We cannot afford to sit idly by as higher energy prices continue to shift wealth from American families and businesses to energy producers overseas. We have the know-how and ingenuity and are missing only the determination to build a new, clean energy economy to power American prosperity."

To unleash the power of solar energy, the report makes the following recommendations:

Congress should extend the Investment Tax Credit for eight years, remove the cap on residential installations and extend the tax credit to utilities.

Congress should pass a renewable electricity standard with a solar set-aside.

Congress should step up funding for energy R&D.

Congress, regulators and stakeholders should carry out limited power industry reform that, among other goals, requires decoupling of power profits from production.

Congress should require net metering and so-called net billing for electricity.

Congress and state and local governments should create incentives for homebuyers to more easily finance homes that have solar power or install solar power.

Because renewable power will require better switching and efficiency to move power to where it is needed, government, utilities and other stakeholders should work together to modernize the grid.

NDN’s Green Project is a program of the Globalization Initiative that seeks to develop a legislative, regulatory and advocacy framework to address climate change, enhance energy security and accelerate the development of green technologies to promote economic growth. This initiative is designed to serve as a bridge between key stakeholders in the new clean technology community and public leaders to build the low-carbon economy of tomorrow.