MIL-OSI USA: Bennet Introduces Legislation to Establish Manufacturing Tax Credits for Onshore Wind Energy

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US Senate News:

Source: United States Senator for Colorado Michael Bennet
Washington, D.C. – Today, Colorado U.S. Senator Michael Bennet introduced the Onshore Wind American Manufacturing Act to establish investment and production tax credits to support domestic production of onshore wind energy components. The bill will create good-paying jobs, improve our infrastructure, and help secure our energy independence while fighting climate change. To meet our climate goals, Bennet is pushing for this tax credit to be included in the Build Back Better package. Michigan U.S. Senator Debbie Stabenow is co-sponsoring this legislation, and U.S. Representative Brad Schneider (D-Ill.) is introducing companion legislation in the U.S House of Representatives.
“Colorado is leading the nation’s shift to a clean energy economy with cutting-edge developments in renewable energy technologies like onshore wind,” said Bennet. “The Onshore Wind American Manufacturing Act will drive greater investment in our state, create good-paying American jobs in clean energy, and help us meet our critical climate goals.”
“There are over 8,000 parts in a wind turbine and every one of them should be made by American workers,” said Stabenow. “Our bill doubles down on American-made onshore wind components so more of them are made here, while also helping us address the climate crisis. It’s a win-win for Michigan.”
“In the race against a warming climate, the United States must accelerate our progress on all alternative energy pathways, in particular wind and solar. This transition to the green economy will build clean, good paying jobs here at home. It also requires that the federal government fosters and supports the manufacturing supply chain central to this transition, which is why I’m proud to partner with Senator Bennet on this critical piece of legislation,” said Schneider. 
America’s wind energy supply chains are at risk due to global price pressures, uncertainty in policy support for onshore wind, and the reliance on imports of wind equipment from countries around the world, including China. The bill will bolster domestic onshore wind manufacturing, which will create good-paying jobs, improve our infrastructure, and help secure our energy independence all while fighting climate change. As global demand for wind energy increases, the U.S. has an enormous opportunity to capture the economic benefits here at home. 
Specifically, the bill would: 
Create a 30% investment tax credit (ITC) for facilities located in the United States that manufacture or assemble qualified onshore wind components, reducing the high capital costs required to build, upgrade, or retool a facility. The full ITC would be available until the end of 2028 and phase out by the end of 2030.
Establish a new production tax credit (PTC) ranging from 2 to 5 cents per watt, depending on the type of onshore wind component produced. Qualified components include hubs, towers, blades, and nacelles. The bill also provides a 10-30% credit for related vehicles or specialty equipment designed for transport, installation, or maintenance of onshore wind components or turbines. The PTC would be available through the end of 2030.
Support American workers and require prevailing wages for laborers and mechanics involved in the construction and expansion of qualified manufacturing facilities or in the manufacture of qualified onshore wind components. 
The bill text is available HERE. A one page summary of the bill is available HERE. 
The Onshore Wind American Manufacturing Act is supported by: American Clean Power (ACP), Distributed Wind Energy Association (DWEA), Environmental Defense Fund (EDF), Keystone Tower Systems, Natural Resources Defense Council (NRDC), Radia, Siemens Gamesa Renewable Energy, and Vestas-American Wind Technology, Inc.
Statements in Support of the Onshore Wind American Manufacturing Act:
“The clean power industry strongly supports the Onshore Wind Manufacturing Act which will enable the strongest possible base of domestic manufacturing for American wind projects,” said Heather Zichal, the CEO of the American Clean Power Association. “Legislation before Congress right now is the single biggest endorsement of American workers, domestic manufacturing, and the climate imperative that is before us. The Onshore Wind Manufacturing Act alongside an extension of clean energy tax credits enables the ideal framework to rapidly expand domestic manufacturing for onshore wind in our country and will create good-paying jobs across the United States.”
“We appreciate the work of Senator Bennet and his staff to advance this bill, which represents a critical step forward for innovative wind technologies. Policies like this are particularly helpful for Colorado clean-energy companies like ours,” said Mark Lundstrom, CEO of Radia.
“The United States has an opportunity to address the climate challenge while creating many manufacturing jobs at home. This bill will unlock private capital to build the factories needed to make the United States a global leader in renewable energy manufacturing and technology,” said Eric Smith, CEO of Keystone Tower Systems.
“Support for U.S. manufacturing of wind turbines installed at the places people live and work will drive costs down, secure America’s technology leadership and create tens of thousands of new jobs throughout the country. It’s a game changer. DWEA lauds Senator Bennet for introducing this important and timely legislation,” said Mike Bergey, Board President, DWEA. 
“Siemens Gamesa applauds Senator Bennet’s leadership in authoring The Onshore Wind American Manufacturing Act. Solutions like these can help manufacturers build stronger, more cost effective, and more sustainable supply chains here in the US. While we work alongside our partners to deliver on the promise of high-quality jobs for our local communities, Congress must continue to lead on climate action to safeguard future generations,” said Shannon Sturgil, CEO, Onshore North America, Siemens Gamesa Renewable Energy.
“Vestas commends Senator Bennet’s commitment to a clean energy future made in the United States, including here in Colorado,” said Laura Beane, President, Vestas-American Wind Technology, Inc. “In a global economy, local manufacturing can struggle to compete with low cost imports. The Onshore Wind Manufacturing Act is a step toward making the United States a competitive manufacturing base today and tomorrow.”

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