Windmill dudes catch a break in "fiscal cliff" deal
Vestas and the other wind energy equipment manufacturers whose tenuous livelihood depends on federal tax handouts are no doubt relieved to see an extension of the wind energy tax credit in the "fiscal cliff" bill that passed the Senate this morning. But (a) it still has to get through Boehner and the gang in the House, and (b) it appears on a quick read to be only a one-year extension.
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Comments (4)
And the dairy farmers get their piece of the action too. Hard to kick the habit when everyone's a user.
Posted by Andrew | January 1, 2013 9:35 AM
Only a year? Most modern business concepts don't admit anything exists more that one quarter out. A year is the event horizon for some.
Posted by Old Zeb | January 1, 2013 9:41 AM
The wind guys have been hurting for a while now because most orders come in six months or so before the equipment is actually switched on. The users don't get the tax credit until they place the unit in service. And so come July 1, the Vestas types will be right back where they were this past July 1, which is in deep doo doo.
Posted by Jack Bog | January 1, 2013 5:48 PM
As it turns out, the credit will be available so long as construction begins by the end of 2013 -- which is a nice change for Vestas from the way these expiration dates have previously worked. More here.
Posted by Jack Bog | January 5, 2013 7:11 AM