[Congressional Record Volume 141, Number 172 (Thursday, November 2, 1995)]
[Extensions of Remarks]
[Pages E2100-E2101]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




       WIND AND BIOMASS: IMPORTANT ENERGY SOURCES FOR OUR FUTURE

                                 ______


                           HON. DAN SCHAEFER

                              of colorado

                    in the house of representatives

                       Thursday, November 2, 1995

  Mr. SCHAEFER. Mr. Speaker, on October 31, 1995, I and 83 other 
Members of Congress representing 31 States and both parties signed a 
letter urging budget reconciliation conferees to preserve the 1.5-cent 
tax credit for wind and closed-loop biomass energy systems.
  With American imports of foreign oil at an all-time high, I believe 
it is important that we encourage the development of alternative energy 
sources. This tax credit helps do just that.
  Mr. Speaker, I would now like to enter into the Record the text of 
the letter my colleagues and I sent to conferees on October 31:

       Dear Conferee: As you consider the FY 1996 budget 
     reconciliation package in conference, we urge you to accede 
     to the Senate Finance Committee's provisions omitting the 
     repeal of the 1.5 cent production tax credit for wind and 
     closed-loop biomass energy systems. The House reconciliation 
     package contains a repeal of this important tax credit, 
     mandated by Congress as part of the Energy Policy Act of 1992 
     (``EPAct '92'').
       This production tax credit is designed to encourage the 
     development and export of wind and biomass energy 
     technologies and to recognize the many tax benefits offered 
     to competing energy choices.
       This credit met all the necessary criteria when endorsed by 
     the House and Senate by large bi-partisan margins just three 
     years ago: It provides returns to the taxpayer based on 
     increased production as opposed to increased investment; it 
     includes a phase-out provision in the event energy prices 
     reach certain levels; it reduces the credit in proportion to 
     any state or federal grant monies received; and it includes a 
     sunset provision of June 30, 1999.
       Despite overwhelming public support and impressive cost 
     reductions, the market for large-scale commercial renewable 
     energy development in the United States is just beginning to 
     emerge. Repealing the production tax credit for wind and 
     closed-loop biomass places these industries in an inequitable 
     and unjustifiable position to compete in the U.S. and global 
     energy marketplace.
       We urge you to oppose repeal or revision of the wind and 
     biomass tax credit.

           Sincerely,
         Dan Schaefer, David Minge, Robert T. Matsui, Martin Olav 
           Sabo, Bernard Sanders, Vic Fazio, Scott L. Klug, Lynn 
           N. Rivers, Tim Johnson, Peter A. DeFazio, Bruce F. 
           Vento, Gerry E. Studds, Dale E. Kildee, Jim McDermott, 
           Edward J. Markey, Steve Gunderson, Thomas J. Manton, 
           Ron Wyden, Sue Kelly, Earl Pomeroy, John Lewis, Bill 
           Richardson, Carlos Moorhead, Lucille Roybal-Allard, 
           Collin C. Peterson, Jose E. Serrano, Toby Roth, 
           Sherwood L. Boehlert, Michael G. Oxley, Elizabeth 
           Furse, William P. Luther, Bill Baker, Chet Edwards, 
           Neil Abercrombie, Henry Bonilla, Major Owens, Sam 
           Gejdenson, Cynthia McKinney, Nancy Pelosi, James B. 
           Longley, Jr., Frank Riggs, Joe Skeen, Roscoe G. 
           Bartlett, Donald M. Payne, Chaka Fattah, Patricia 
           Schroeder, 

[[Page E 2101]]
           Jerrold Nadler, Barbara Cubin, David E. Skaggs, Sheila Jackson-Lee, 
           Matt Salmon, Jennifer Dunn, Bennie G. Thompson, Barbara 
           B. Kennelly, John Conyers, Jr., Charles E. Schumer, 
           Sonny Bono, Constance A. Morella, James L. Oberstar, 
           John M. Spratt, Jr., Alcee L. Hastings, Michael 
           Bilirakis, Peter G. Torkildsen, Blanche Lambert 
           Lincoln, Bob Filner, Rick Lazio, Wayne T. Gilchrest, 
           Gene Green, Victor O. Frazer, Jim Ramstad, Karen L. 
           Thurman, Joseph P. Kennedy II, Gil Gutknecht, Doug 
           Bereuter, Wayne Allard, Bill K. Brewster, Gerald 
           Kleczka, Jim Bunn, Eliot Engel, Anna Eshoo, Jon D. Fox, 
           Harold L. Volkmer, Ken Calvert, Jerry Lewis.\1\
     \1\ Signed letter after delivery to confereee.

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