Alliance Urges Immediate Enactment of Energy Efficiency Tax Incentives to Stimulate Economy, Create Jobs, Provide Relief from Soaring Energy Prices
Washington, D.C., September 23, 2008 – The Alliance to Save Energy today urged the Senate to adopt long-awaited and urgently-needed energy efficiency tax incentives for U.S. consumers and businesses. The provisions are included in a bipartisan, substitute amendment to H.R. 6049, introduced by Sens. Max Baucus (D-Mont.) and Charles Grassley (R-Iowa), that will be considered by the Senate today.
“The Alliance to Save Energy calls on the Senate to help ‘Main Street’ deal with soaring energy prices and a faltering economy today before turning to consideration of any legislation to bail out Wall Street,” said Alliance President Kateri Callahan. “And, we implore the House to follow suit immediately so that the important energy efficiency and clean energy tax incentives to create jobs, stimulate the economy, and provide relief to American consumers and businesses reeling from rising energy prices are ‘part and parcel’ of the actions that will be taken by the federal government in response to the free fall in the stock market and the resulting economic hardships that will be felt by all Americans.”
The Alliance has estimated that the average U.S. household will spend a total of about $6,150 this year on energy, including $2,350 on home energy, up from more than $2,100 last year, and about $3,800 on gasoline, up from almost $3,000 last year.
The Baucus/Grassley amendment extends through 2009 tax credits for consumers who make energy efficiency improvements to their homes and builders of new energy-efficient homes and extends through 2010 tax credits for manufacturers of energy-efficient appliances. It also extends through 2013 tax deductions for energy efficiency improvements to commercial buildings. The consumer and manufacturer tax credits expired at the end of 2007; and without new legislation, the commercial and builder incentives are sent to expire at the end of this year.
The amendment also includes new tax incentives for consumers who buy plug-in hybrid vehicles and for utilities that install smart meter and smart grid technologies and bond authority for state and local governments to pay for green building and sustainable design projects.