Contribute Your Work

It's easy to contribute articles, article proposals, commentary and analysis and be published online through Energy Central!

Sound interesting? Contact the editor for more information.

Re-examining the Production Tax Credit for Wind Power

Published By University of Minnesota

  • By C. Ford Runge and Douglas G. Tiffany
  • Published January 2007
  • 26 Page(s)

This study considers six different aspects of incentive packages to promote locally based wind energy. The study concludes that the Production Tax Credit (PTC) can be extended for longer periods (6 to 10 years), ending its on-again, off-again character, and accompanied by two- to three-year fiscal impact assessments. Second, although outright sale of PTC credits is a limited option, assigning ownership rights to investors, including locally based limited liability companies (LLCs), is feasible. Third, this ownership structure can take a number of forms, depending on the arrangement of equity, debt, and ownership. Fourth, despite the salience of the PTC, other federal and state incentives are also critical to many wind projects, suggesting that states need to follow the lead of Minnesota and Iowa in creating additional incentives. Fifth, the fiscal implications of PTC extension are small relative to the benefits of expanded wind for energy security, environmental quality, rural development, and employment. Sixth, in addition to the need for expanded federal and state incentives, especially to locally based entities, regulatory and technical innovations must overcome the constraints to wind transmission.

Free To Download Now

An Assessment of Policy Options
 
 
Our customer service can help if you are experiencing problems with this page.

Please contact our customer service department.

Our customer service hours are Monday-Friday from 8-5 MST

Receive Energy Central eNews & Updates





 

5th Annual National Grid-Scale Energy Storage Conference

Wednesday Nov 20, 2019 - Thursday Nov 21, 2019 - Albany, NY - USA

ACI’s 5th Annual National Grid-Scale Energy Storage Conference will take on the 20th & 21st November 2019 in Albany, New York. Featuring an exclusive site visit to The New York Power Authority’s Blenheim-Gilboa Pumped Storage Power Project on 19th November. more...

Digital Substations 2019

Tuesday Nov 26, 2019 - Thursday Nov 28, 2019 - Berlin Germany

Digital Substations 2019, taking place 26-28 November in Berlin, will draw together 100+ substation automation professionals for 3 intensive days of case-study reviews, with 14+ utility case-studies addressing the most timely and critical issues facing utilities as they embark on more...

Regional Energy Summit: West 2019

Monday Dec 2, 2019 - Tuesday Dec 3, 2019 - Dakar Senegal

The 4th Regional Energy Summit: West Africa will arrive for the first time in Dakar, Senegal from 2-3 December 2019. RES: West Africa will bring together over 300 investors, project leaders and utilities stakeholders to engage and present the latest more...

New England Venture Summit

Wednesday Dec 4, 2019 - New York City, NY - United States

If you’re an Energy startup seeking capital or investor seeking new deals, you won't want to miss The New England Venture Summit December 4th 2019 at The Hilton, Dedham, Boston, MA. Over 800 VCs and founders. Register at bit.ly/2TpD7r0 for more...