[Congressional Record Volume 147, Number 34 (Wednesday, March 14, 2001)]
[Senate]
[Page S2309]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. GRASSLEY (for himself, Mr. Jeffords, Mr. Leahy, Mr. 
        Murkowski, Mr. Breaux, Mr. Smith of Oregon, Mr. Dorgan, Mrs. 
        Feinstein, Mr. Craig, Mrs. Murray, Mr. Johnson, Mr. Schumer, 
        and Mr. Conrad):
  S. 530. A bill to amend the Internal Revenue Code of 1986 to provide 
a 5-year extension of the credit for producing electricity from wind; 
to the Committee on Finance.
  Mr. GRASSLEY. Mr. President, I rise today to introduce important tax 
legislation for myself and Senators Jeffords, Leahy, Murkowski, Breaux, 
Smith of Oregon, Dorgan, Feinstein, Craig, Murray, Johnson, Schumer, 
and Conrad.
  This legislation, entitled the ``Bipartisan Renewable Efficient 
Energy with Zero Effluent, (BREEZE) Act'', extends the production tax 
credit for energy generated by wind for five years. The current tax 
credit is set to expire on January 1, 2002.
  As author of the Wind Energy Incentives Act of 1993, I sought to give 
this alternative energy source the ability to compete against 
traditional, finite energy sources. I strongly believe that the 
expansion and development of wind energy must be facilitated by this 
production tax credit.
  Wind, unlike most energy sources, is an efficient and environmentally 
safe form of energy production. Wind energy makes valuable 
contributions to maintaining cleaner air and a cleaner environment. 
Every 10,000 megawatts of wind energy produced in the United States can 
reduce carbon monoxide emissions by 33 million metric tons by replacing 
the combustion of fossil fuels.
  Since the inception of the wind energy production tax credit in 1993, 
more than 1,128 megawatts of generating capacity have been put online. 
This generating capacity powers nearly 300,000 homes, or 750,000 
people.
  Over 900 megawatts of new wind energy capacity was added just last 
year, bringing wind energy generating capacity in the U.S. to more than 
2,500 megawatts. This new wind energy will power the equivalent of over 
240,000 American homes, while displacing over 1.8 million tons of 
carbon dioxide.
  Equally important, wind energy increases our energy independence, 
thereby providing the United States with insulation from an oil supply 
dominated by the Middle East. Our national security is currently 
threatened by a heavy reliance on oil from abroad.
  The price of wind energy has been reduced more than 80 percent in the 
past two decades, making it the most affordable type of renewable 
energy. In order to continue this investment in America's energy 
future, we must extend the production tax credit.
  Currently, my own State of Iowa has 4 new wind power projects ready 
to go online just this year. These 4 projects, with the megawatt 
capacity of over 240, will join the already existing 20 facilities in 
Iowa. Even large petroleum producing States like Texas are recognizing 
the growing potential of wind energy. Texas has the third largest wind 
farm in the world, and plans to add 5 new facilities this year, adding 
to the 7 already online.
  Moreover, wind energy has vast potential to contribute to 
California's electricity supply. As we all know, California is 
currently suffering because of an energy market with insufficient 
energy generation and production that is overly dependent on natural 
gas.
  Just in the past few weeks, plans have been unveiled to develop what 
will be the world's two largest wind power plants in the Northwest. One 
will be installed on the Oregon-Washington boundary and the other at 
the U.S. Department of Energy's Nevada Test Site. Together, the two 
plants will have a capacity of 560 megawatts and will generate enough 
power annually to serve more than half a million people. In addition, a 
number of other new projects coming online this year in the West will 
also bring much-needed additional generating capacity to the region.
  Wind energy also produces substantial economic benefits. For each 
wind turbine, a farmer or rancher can receive more than $2,000 per year 
for 20 years in direct lease payments. Iowa's major wind farms already 
pay more than $640,000 per year to landowners. In California, the 
development of 1,000 megawatts would mean annual payments of 
approximately $2 million to farm and forest landowners.
  Extending the wind energy tax credit would allow for even greater 
expansion in the wind energy field. Wind is a domestically produced 
natural resource, found abundantly across the country. Because wind 
energy is homegrown, it cannot be controlled by any foreign power.
  Wind energy can be harnessed without injury to our environment. Wind 
is a reliable form of power that is renewable and inextinguishable. 
This legislation ensures that wind energy does not fall by the wayside 
as a productive alternative energy source.
  The Senate needs to extend this important legislation and I encourage 
my colleagues to join us in this effort.
  I ask unanimous consent that the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 530

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Bipartisan Renewable, 
     Efficient Energy with Zero Effluent (BREEZE) Act''.

     SEC. 2. 5-YEAR EXTENSION OF CREDIT FOR PRODUCING ELECTRICITY 
                   FROM WIND.

       Section 45(c)(3)(A) of the Internal Revenue Code of 1986 
     (relating to wind facility) is amended by striking ``January 
     1, 2002'' and inserting ``January 1, 2007''.
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