The U.S. House of Representatives and Senate have both passed a tax reform bill, and both bills have the renewable energy industry nervous. That includes four organizations representing the interests of renewable industries. They say two provisions, in particular, could devastate investment and job growth in wind and solar: the Base Erosion Anti-Abuse Tax, or BEAT provision, and the corporate alternative minimum tax (AMT).
Evan Vaughn, media relations officer of the American Wind Energy Association, a national trade group for the wind industry, claimed the two complex provisions could cause over half of wind farms under development to be killed, put an estimated 90,000 American wind jobs at risk, and threaten $95 billion in investment.
“These two changes in the Senate bill would dry up that market for tax equity... which is one of the principal financial tools that is used to create investment in wind farms,” he said.
Vaughn added the House version would prematurely phase out a tax break for the wind industry. He said he hopes the two provisions will be removed as Congress reconciles the tax reform bills. Republicans have said they plan to have a final version on the President’s desk before Christmas.