USA - U.S. wind energy industry welcomes announcement by Depts. of Treasury, Energy of first renewable energy grants

The American Wind Energy Association (AWEA) welcomed today’s announcement from the U.S. Departments of the Treasury and Energy that the Administration has begun issuing renewable energy grants under a program enacted by Congress in the economic recovery package earlier this year. The announcement included grants (in lieu of tax credits) of nearly $500 million for 10 wind projects in Maine, Minnesota, New York, Oregon, Pennsylvania and Texas.

“For these grantees and many other projects that are preparing their applications, we are seeing business activity picking up and turbine and parts orders being sent all the way up the value chain,” commented AWEA Senior Vice President for Public Policy Rob Gramlich, adding, “That activity had all but dried up and it is very encouraging to see this turnaround underway. Time will tell if that market signal is strong enough to keep the 85,000 people working in the wind industry employed for the next couple of years.”

The grants are designed to temporarily replace the production tax credit (PTC) that has been a major factor in the continued growth in wind and other renewable energy projects. The recession and the freeze in the credit markets that began late last year rendered the PTC much less useful as an investment incentive.

The U.S. wind industry accounted for 42 percent of new electricity generation installed nationwide in 2008, and created 35,000 jobs that year, boosting the number of people employed in wind power to 85,000. Figures for 2009 have suggested a slowdown in new wind projects due to economic conditions. In addition to the grants, AWEA has been advocating for a strong national renewable electricity standard (RES) as a way to send a clear signal to financial markets about the U.S. commitment to renewable energy.

AWEA is the national trade association of America’s wind industry, with more than 2,000 member companies, including global leaders in wind power and energy development, wind turbine manufacturing, component and service suppliers, and the world’s largest wind power trade show. AWEA is the voice of wind energy in the U.S., promoting renewable energy to power a cleaner, stronger America. Look up information on wind energy at the AWEA Web site. Find insight on industry issues at AWEA’s blog Into the Wind. Join AWEA on Facebook. Follow AWEA on Twitter.