The U.S. Wind Energy Production Tax Credit – time for a change
The wind energy Production Tax Credit (PTC) has driven expansive development of wind power in the United States. However, more recently the PTC has skewed wind deployment into areas that probably didn’t need it, while shortchanging other areas. In some areas excess wind power is disrupting power markets. With tax policy support scheduled to decline for both the wind and solar industries, a reasonable joint extension policy should recognize that they do not need perpetual support.
Table of contents
Historical trends in wind power development and pricing
The wind PTC subsidy is actually growing , but unequally
Big winners of the recent PTC extensions
Market impacts of the PTC gold rush
Unintended consequences and buyer’s remorse?
It is time to replace the wind PTC with a phased-out ITC for all mature renewable technologies, plus additional support for immature technologies
Tables and charts
This report includes 10 images and tables including: