Tax Bill Misses Key Chance to Encourage Energy Efficiency
WASHINGTON – The Alliance to Save Energy released the following statement from President Kateri Callahan regarding the House tax bill released today, which fails to reinstate expired business and consumer tax incentives for energy efficiency or implement significant new tax provisions to encourage efficiency:
“We have a tax code without any significant incentives for energy efficiency, and this bill could have changed that. Instead it maintains the status quo, which is a huge missed opportunity. Energy efficiency remains the smartest solution we have for meeting our energy needs while tackling our toughest environmental challenges, and it does so with big economic benefits. This is all about productivity. We’re saving consumers and businesses money by empowering them to do more with less, while creating jobs and economic activity for weatherization contractors and manufacturers. We get all of those benefits while achieving massive reductions in carbon emissions. This is not a difficult equation. A small boost in the tax code will go a long way, and we urge lawmakers to revise this bill to include meaningful incentives for energy efficiency.”
Three major energy efficiency incentives expired on Dec. 31: one that incentivizes homeowners with up to $500 in tax credits for efficiency upgrades and equipment purchases such as weatherizing or installing new windows or more efficient heating and cooling equipment; another that incentivizes home builders with up to $2,000 in credits for more efficient construction; and third for efficiency improvements of commercial buildings and multi-unit residential buildings. The Alliance has called for reinstating those or implementing new incentives that encourage, for example, public-private partnerships or master limited partnerships around efficiency projects. For more information about the expired incentives, read the Alliance’s fact sheet here.
About the Alliance to Save Energy
Founded in 1977, the Alliance to Save Energy is a nonprofit, bipartisan alliance of business, government, environmental and consumer leaders working to expand the economy while using less energy. Our mission is to promote energy productivity worldwide – including through energy efficiency – to achieve a stronger economy, a cleaner environment and greater energy security, affordability and reliability.