On July 29, 2015, a bill to amend the Internal Revenue Code of 1986 to provide credits for the production of renewable chemicals and investments in renewable chemical production facilities, and for other purposes (H.R. 3390) was introduced in the House. The bill would expand production and investment tax credits that are currently available to renewable energy producers to apply also to renewable chemical manufacturers. The program allows manufactures to choose either: (1) a 15 cents per pound production credit for eligible renewable chemicals; or (2) a 30 percent investment tax credit for the construction of renewable chemical production facilities. The credits will be in effect for five years after the bill is enacted, and will be capped at $500 million over the life of the program. The Biotechnology Industry Organization (BIO) has expressed its support for H.R. 3390, restating the need to create a level playing field in the U.S. for industrial biotech companies to innovate and develop new renewable chemicals and biobased products.
- Bergeson & Campbell, P.C.
- Tax credits for renewable chemical production introduced in the ...
What rural Alaska can teach the world about renewable energy
I flew into Unalakleet, Alaska, on a late fall day. With about 700 people, Unalakleet is large by rural Alaska standards and serves as a regional hub. The village is located on a sandy spit of land where a clear river meets the turbid water of the Bering Sea. Out the plane window the sun shone bright, glittering off the wind-tossed whitecaps of the sea. To the east, the rolling Nulato Hills, clad in autumn foliage, provided a picturesque backdrop. As the small plane banked for our approach, a row of wind turbines...
How Energy Storage Can Pave the Way for Renewable Energy Adoption
Introduction Renewable energy offers a hopeful promise to reduce the energy sector’s carbon footprint, but many challenges must be addressed before it can be more extensively integrated into our society. One of the greatest barriers to widespread adoption is quite simply that due to the nature of renewable energy – the fact that it is produced only when solar rays, wind, etc. are available – it cannot fully respond to customers’ energy demand in real time. Fossil fuels are easy to store,...
How renewable energy advocates are hurting the climate cause
Overly optimistic reports of renewables’ success are not only misleading but also counterproductive In the wake of the 2016 presidential election, the proliferation of misinformation on social media is finally getting the attention it deserves. Or so I thought. Scrolling through my Facebook news feed recently, I stumbled upon an article shared by Climate Central, a nonprofit news organization focused on climate science. “The World’s Renewable Energy Capacity Now Beats Out Coal,” read...
The Global Arc Towards Renewable Energy
Introduction Given the United States’ recent election results, America’s future on climate and energy policy is uncertain, but global progress on mitigating climate change will continue with or without us. We have reason to be optimistic because countries around the world have demonstrated their commitments to taking action on global warming. Already, 114 countries have ratified the Paris Climate Change Agreement, which became international law on November 4, 2016, indicating that mitigating climate...
Study: 100% Renewable Electricity System is the Cheapest Option for South America
Transitioning to a fully renewable electricity system is possible for South America by 2030. A study by Lappeenranta University of Technology (LUT) and VTT Technical Research Centre of Finland Ltd. also shows that a 100 percent renewable system (100% RE) is the cheapest electricity production option and can be achieved with very little energy storage. "South America has a unique renewable energy resource base since one of the best wind sites globally is in Patagonia, the best solar energy sites are in the...