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May 16, 2008

Ways & Means Vote Sets the Stage for Clean Energy Development

NHA praises legislation recognizing clean waterpower benefits

By Linda Church Ciocci

Washington, DC

The National Hydropower Association is pleased to report that the House Ways and Means Committee has adopted provisions supporting the development of key waterpower technologies in H.R. 6049, the Energy and Extenders Tax Act of 2008. The committee voted the bill out yesterday, 25-12.

"H.R. 6049 should be adopted as soon as possible. This is an opportunity to forge policy that will support the goals of all Americans, create jobs, spur the economy and set us on a path to energy security."

"Yesterday’s vote demonstrated the committee’s continued leadership on renewable energy issues and signaled its determination to encourage the growth of hydropower and new waterpower resources,” said NHA executive director Linda Church Ciocci.  “NHA offers its strong support for HR 6049. This is a victory for the environment and consumers – now and generations into the future.” 

Church Ciocci singled out several committee leaders for their efforts on the bill, and the hydropower provisions in particular.  Committee Chairman Charles B. Rangel (D-NY), as well as Rep. Earl Blumenauer (D-OR), Rep. Jim McDermott (D-WA), and Rep. Lloyd Doggett (D-TX) all played key roles in advancing these policies.

“Chairman Rangel and the other members who worked with both the industry and environmental groups on this issue have shown their commitment to protecting the environment and spurring economic growth,” Church Ciocci said.  “The hydropower industry thanks them for their effort – and I’m sure consumers also will be thanking them for a cleaner environment, affordable domestic energy, and a growing economy.” 

NHA also saluted the other organizations that worked on this legislation, thanking them for their leadership, support and collaboration.  For more than a year, NHA has worked with American Rivers, the Natural Heritage Institute, Trout Unlimited, and the Union of Concerned Scientists to reach agreement on the treatment of hydropower at non-powered dams in the tax provisions.

The language contained in H.R. 6049 supports project development on navigation, flood control and water supply dams that meet all applicable environmental, licensing, and regulatory requirements, and operate in a manner that ensures the environmental quality of waterways. 

HR 6049 also includes other measures that support the development of hydropower resources.  These include: a three-year extension (through 2011) of the production tax credit (PTC) program; an extension of the clean renewable energy bond (CREBs) program with a $2 billion authorization; inclusion of ocean, tidal, instream hydrokinetic, conduit, and ocean-thermal technologies in the PTC program

“These measures will have a multiplier effect throughout our economy,” Church Ciocci said.  “Developers will have the stable operating environment they need to attract investment.  New projects will create new jobs from manufacturing to plant operations.  And, the public will benefit from a domestic resource that expands the country’s clean energy mix.”   

Church Ciocci noted that NHA members reported earlier this year that having a longer-term extension of the PTC – just for incremental hydropower projects – could spur their development efforts by more than 20 percent this year.  NHA believes that including the additional waterpower technologies in the legislation could create even more benefits. 

With the legislation now headed for the House floor and the Senate, NHA is urging policymakers to support H.R. 6049 – for the economy, for the environment, and for the future. 

“We urge both the House and Senate to build on the work Chairman Rangel and the committee have done,” Church Ciocci said.  “H.R. 6049 should be adopted as soon as possible. This is an opportunity to forge policy that will support the goals of all Americans, create jobs, spur the economy and set us on a path to energy security.” 

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NHA is a non-profit national association dedicated exclusively to advancing the interests of the U.S. hydropower industry, including the new waterpower technologies – ocean, tidal and instream hydrokinetic technologies.  The association represents 61 percent of domestic, non-federal conventional hydroelectric capacity in the U.S.  Its membership consists of more than 150 organizations including public utilities, investor-owned utilities, independent power producers, developers, equipment manufacturers, environmental and engineering consultants, and attorneys.

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