June 27 (Renewables Now) - US lawmakers on Tuesday reintroduced legislation that would extend the 30% Investment Tax Credit (ITC) for offshore wind through 2025.
Democratic Senators of Massachusetts and Rhode Island -- Edward Markey and Sheldon Whitehouse, and Congressman Jim Langevin say the proposed legislation, known as the Offshore Wind Incentives for New Development (WIND) Act, will spur the expansion of the US offshore wind industry
In December 2015, President Barack Obama signed into law an omnibus and tax reform bill that extended both the ITC and the Production Tax Credit (PTC) for wind until 2019. However, given the longer planning and permitting times for offshore wind development, no such project is seen to qualify for the tax credits by that time. The Offshore WIND Act was initially introduced in 2017 to address these permitting delays.
“At this critical moment for a new US energy industry, policy stability is more important than ever,” said Tom Kiernan, CEO, American Wind Energy Association (AWEA), as he commented on the forthcoming expiration of the ITC.
A copy of the Offshore WIND Act can be found here.
The US Department of Energy (DOE) estimates that the US could accommodate 22 GW of offshore wind by 2030 and 86 GW by 2050. At present, only one offshore wind park is operational in the US -- the 30-MW Block Island off Rhode Island, which entered into service in December 2016.