Connect with us

Hi, what are you looking for?

CleanTechnica

Clean Power

Tax Breaks for Solar Companies Could Create 200,000 US Jobs

[social_buttons]

A new report just released by the Solar Energy Industry Association (SEIA) shows that extending the Treasury Grant Program (TGP) by two years, combined with new tax breaks for equipment manufacturers, would increase investement in the solar industry by $48 billion, creating 207,000 additional jobs by 2016.

The TGP is part of the US stimulus package of early 2009. It gives solar project owners a cash grant in lieu of a tax credit.The program is set to expire in December if not extended.

The new report by SEIA finds that if the TGP is extended to include projects that begin construction before the end of 2012, it will increase investment in solar projects by $21 billion and create 67,000 solar jobs.

Additionally, if solar equipment producers become eligible for a new manufacturing investment tax credit (MITC), another $22 billion in investment could be generated and 158,000 additional jobs could be created by 2016.

The MITC is in line with the original goals of the federal stimulus package and would help to turn those goals into reality. “The tax credits for renewable equipment manufacturers were originally launched alongside the TGP scheme, but, to date, solar equipment firms have not been covered by the credits,” Danny Bradbury of Business Green reports.

In total, $48 billion more would be invested in the solar industry and 207,000 new jobs would be created if these actions are taken, according to SEIA.

Additionally, this would create a net benefit for the federal budget.

“When comparing 2010 and 2016 in terms of government stimulus, increased employment and the unemployment alternative, we find that in five years the saved unemployment benefits and additional tax revenue are higher than the government stimulus for all three scenarios,” the report concludes.

Hopefully, legislators will stick to their goal of encouraging solar power, stimilating the economy and creating jobs. For your part, give your representatives in Congress a call and encourage them to keep supporting solar jobs and the economy.

Image Credit: bkusler via flickr/CC license

 
 
 
Appreciate CleanTechnica’s originality and cleantech news coverage? Consider becoming a CleanTechnica Member, Supporter, Technician, or Ambassador — or a patron on Patreon.
 

Don't want to miss a cleantech story? Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News!
 

Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.
Advertisement
 
Written By

Zach is tryin' to help society help itself one word at a time. He spends most of his time here on CleanTechnica as its director, chief editor, and CEO. Zach is recognized globally as an electric vehicle, solar energy, and energy storage expert. He has presented about cleantech at conferences in India, the UAE, Ukraine, Poland, Germany, the Netherlands, the USA, Canada, and Curaçao. Zach has long-term investments in Tesla [TSLA], NIO [NIO], Xpeng [XPEV], Ford [F], ChargePoint [CHPT], Amazon [AMZN], Piedmont Lithium [PLL], Lithium Americas [LAC], Albemarle Corporation [ALB], Nouveau Monde Graphite [NMGRF], Talon Metals [TLOFF], Arclight Clean Transition Corp [ACTC], and Starbucks [SBUX]. But he does not offer (explicitly or implicitly) investment advice of any sort.

Comments

You May Also Like

Clean Power

What can be done to alleviate energy usage during fossil fuel instability and the transition to renewables? Motivating people helps. So does new legislation...

Climate Change

I urge people thinking about Flyvbjerg's work who are asking themselves, "But what about this critically important aspect of project success?," to not assume...

Cars

Maybe there will be an interesting book about Aptera after it inevitably fails. More likely it would be a moderately interesting chapter in a...

Green Economy

Woke or not, Kentucky is behind a new green steel factory that supports President Joe Biden's goal for offshore wind development in the US.

Copyright © 2023 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.