[Congressional Record Volume 149, Number 12 (Thursday, January 23, 2003)]
[Senate]
[Page S1483]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. SMITH:
  S. 207. A bill to amend the Internal Revenue Code of 1986 to provide 
a 10-year extension of the credit for producing electricity from wind; 
to the Committee on Finance.
  Mr. SMITH. Mr. President, today I am introducing legislation to 
encourage a more environmentally friendly electricity future for the 
United States.
  The bill I am introducing would provide for a ten-year extension of 
the tax credit for producing electricity from wind. I believe that an 
extension of this length will provide stability to this important 
emerging energy sector.
  For the past several years, we have provided short-term extensions, 
sometimes retroactively, of this important tax incentive. The result 
has been that investors and utilities have been hesitant to commit the 
capital necessary to bring wind projects on line.
  A major European wind turbine manufacturer had planned to build its 
first U.S. manufacturing facility in Portland, OR. The plant was 
expected to provide over 1,000 family-wage jobs once operational. 
Unfortunately, last November, the corporation announced it would put 
those plans on hold and lay off more than 500 employees. This happened 
at a time when Oregon already had one of the highest unemployment rates 
in the country.
  The main reason given for putting on hold this facility was the 
failure of the Congress to clarify the production tax credit for wind 
energy. Slow demand in this economic downturn was also cited.
  However, our economy is going to rebound. And when it does, the 
demand for electricity will increase. There is already over 180 
megawatts of installed wind energy capacity, with another 150 megawatts 
of planned development. The Stateline Wind Energy Project, which 
straddles the Oregon-Washington border, has over 263 megawatts of 
installed capacity, making it the largest wind farm to date in the 
western United States.
  When the Senate passed national energy legislation last year, there 
was a strong, bipartisan commitment to renewable energy resources. We 
can use the tax code to encourage the development of clean, renewable 
sources of electricity and a new generation of advanced technology 
vehicles. These vehicles can reduce our reliance on imported oil 
because their fuel efficiency is greatly improved and there are lower 
emissions of greenhouse gases and ozone-forming pollutants.
  I have always held that if we use technology wisely, we can improve 
our environmental stewardship while maintaining our human stewardship 
and the standard of living we enjoy in this great Nation.
  I would urge my colleague to join me in cosponsoring this important 
legislation.
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