Financial Rescue Bill Provides Support for Renewable Energy

After passing the Senate a few days prior, the House of Representatives passed the Emergency Economic Stabilization Act of 2008 on October 3rd, and less than two hours later, President George W. Bush signed it into law. Included in the bill was the Energy Improvement and Extension Act of 2008.

This part of the bill includes a renewable energy and energy efficiency tax credits package worth $18 billion. Below are some highlights from this package:

• Eight-year extension of the 30% tax credit for residential and commercial solar installations, which includes the removal of the $2,000 cap on residential solar.
• Adds a 30% tax credit for residential wind turbines (not to exceed $4000) and geothermal heat pump systems (not to exceed $2000), allowable for eight years.
• One-year extension for production tax credits for wind energy.
• Two-year extension for production tax credits for solar, biomass, landfill gas, trash combustion and hydropower.
• $2,500 to $7,500 tax credits for buyers of plug-in electric cars, trucks and SUVs (credit based upon gross vehicle weight rating).
• Extends through 2009 the tax credit for residential energy efficiency improvements.

What's Happening with Energy Programs in North Carolina:
Last year, the state of North Carolina took its first steps to becoming more reliant on renewable energy with the passage of the Renewable Energy and Energy Efficiency Portfolio Standard (REPS), the nations 4th most aggressive renewable energy plan. The problem is that less than one month later, North Carolina's rule for "Net Metering" was awarded a grade of 'F' by a national group of renewable energy industry experts, placing North Carolina at the bottom of 39 states.

Under North Carolina's current net metering arrangements, a residential renewable energy generator is required to pay more to the utility for consuming less electricity. North Carolina's energy rules and regulations are a barrier for many to invest in our state's future by choosing to generate renewable energy.

The Vote Solar Initiative and the North Carolina Sustainable Energy Association (NCSEA) are offering an online net metering and solar power petition for supportive citizens and businesses to sign. By signing the online petition, North Carolina citizens and business concerned with their state's cumbersome and outdated net metering and interconnection rules can positively encourage their legislators to take action on net metering. This is a necessary step to enabling the REPS to take hold in North Carolina and to help our state lead the way into a future of clean energy production and consumption.