Late last year a bipartisan vote passed a long-term extension of the Production Tax Credit, a critical federal policy that incentivizes production and has helped attract $128 billion dollars in private investment to the U.S. economy in the last 10 years.
Wind power’s American success story is in large part thanks to this successful policy and several champions in Congress, including U.S. Senator Chuck Grassley from Iowa.
Sen. Grassley recently gave an interview with a local Iowa newspaper highlighting wind’s success in the state (for example: wind energy generated over 31 percent the state’s electricity in 2015). Here’s what the Republican senator had to say:
Q: How big of an impact is the wind energy industry in Iowa?
A: Without a doubt, wind energy helps keep the lights on in homes and businesses from the Mississippi to the Missouri Rivers. Electricity generated from wind powers the equivalent of 1.5 million households in Iowa. Today Iowans get more than 31 percent of our electricity from wind.
Lifelong Iowans and newcomers to our state know that Iowa is blessed with this powerful, clean, inexhaustible energy supply. Robust growth and advances in wind energy technology have allowed Iowa to hit this tremendous milestone. Innovation and enterprise are working to harness our natural resources and producing clean electricity, creating good-paying jobs, boosting farm-lease receipts and growing the revenue base.
Beyond the electrical power that we all rely upon for daily life, the wind industry employs nearly 7,000 Iowans in 12 active manufacturing facilities in the state. More than 70 percent of a U.S. wind turbine’s value is now produced in America, compared to only 25 percent a decade ago.
Iowa continues to innovate and build upon the tax incentives I got enacted into the federal tax code. Last year, I secured a five-year extension of the wind energy tax credit. It was a victory for Iowa and a nod to the free marketplace. The extension will lead to a responsible phase-down of the federal tax credit.
Laying out the five-year road map gives the wind industry time to plan and invest accordingly. From taxes to regulations, I work to uphold fiscal responsibility and limited government that will strengthen America’s productivity and prosperity.