Every time we see a “first” in something that makes the world a better place, it is considered to be a special moment. Jetstream Wind continues to work relentlessly to bring as many of these special moments to you as possible.
Remember back in 2009 when the Obama Administration put forth the American Recovery and Reinvestment Act? It included over $70 billion in direct spending and tax credits for clean energy production and clean energy transportation programs. It was a special moment, not because of the huge price tag associated with it, but because it shifted the landscape of energy intelligence.
With this shift also came the green light to start putting into place the foundations for the future structure of the new energy industry to begin building upon.
If obstacles like poor pre-planning, monopolization and population growth have been the deterring factors in a more natural energy transition over the long haul, then political lethargy has been the main obstacle for widespread commercialization in the short-term (as the technical side has become well established). Meaning, the technology has been developed but hasn’t been implemented because of slowed legislation due to the lack of common knowledge and goals. It’s comparable to working through a vast maze to find the center, but the maze changes as you move through.
As these new foundations have been being put into place through our political systems, the complications have arisen when government and political figures aren’t brought up-to-date on state and national energy policies and have a lack of knowledge as to what technology is ready for market and how it works. It has created a certain lag or gap in overall implementation time as industry knowledge has trouble getting to our state and federal levels for ultimate action. And the reason for this is: There are ten billion other pressing issues that are currently in need of time and attention.
Renewable Energy Portfolio Standards (RPS)
Renewable Portfolio Standards (RPS) have been designed to provide states with a mechanism to increase renewable energy generation using cost-effective, market-based approaches. An RPS effectively creates market demand for renewable and clean energy supplies by requiring electricity providers to obtain a minimum percentage of their power from renewable energy resources by a certain date.
Currently 33 states in the U.S. have or are in process of enacting RPS policies.
It’s easy to see that clean and effective technologies can easily offer environmental and social benefits, but utility owners/operators often decline or discard renewable projects because they are used to thinking only in terms of enormous, conventional power plants and respectively need incentive to expand that thought.
To assist the targeted RPS policies, state and federal renewable production tax credits or “incentives” are being put into place that will tremendously assist the development and deployment of renewable energy technologies in the United States. These are essentially created to give an economic boost to those who place clean energy technologies on their properties for energy production and sale. They provide developers with critical and essential financing for their energy projects, while at the same time investors purchasing the credits also acquire tax relief.
(A tax credit is different than a tax deduction because a tax credit reduces the tax dollar-for-dollar. A deduction, on the other hand, only deletes a percentage of the tax that is owed.)
These are designed to reduce the state and federal income taxes of owners of renewable energy projects based upon the electricity generated by wind, biomass, landfill gas, wave energy, hydroelectric, geothermal, municipal solid waste, hydrokinetic, tidal, wave and ocean thermal energy sources (which is measured in kilowatt-hours) of grid-connected energy developments.
Jetstream Wind, Henry Herman and Senate Bill 210
Getting the clean energy projects to move from the manufacturing line to the farm takes time, energy and focus. It also takes brave people in both politics and industry to astutely map together a template that will house the best of our new technologies with the flexibility to adjust as needed.
Hydrogen production is steadily gaining ground and set to explode due to clean energy production. In addition, the upcoming surge of fuel celled vehicles will arrive on the market and obviously will be requiring fuel very soon.
Seeing this, Henry Herman, CEO of Jetstream Wind, Inc. and VP of Government Relations Eric Martinez have written the Nation’s first Hydrogen Fuel Production Tax Credit Bill to assist in the industry application of clean hydrogen production technology. This bill is sponsored by Senator Carlos Cisneros (D) of New Mexico.
It is designed with clear benefits not only to investors and property owners and producers, but also to the local and state economy by bringing in new green businesses to assist in providing additional jobs in an unsteady economy. The tax credit will be in effect for ten consecutive years and unused portions of the incentive can be carried over to the next taxable year.
But here’s what I like about it: The hydrogen must be produced renewably. It has, historically been produced as a bi-product or through stream reformation…bad for the environment. And then REALLY bad for the environment if our “clean” cars are going to be utilizing it.
This bill has already gone before and passed the Corporations and Transportation Committee with Mr. Herman and Mr. Martinez standing steadily beside it. It will next go to the Senate Finance Committee for passing votes, and then to the Senate Floor to become New Mexico law.
We thank Senator Carlos Cisneros for his foresight around this important and needed legislation for a clean and bright energy and environmental future for us all.