[Congressional Record Volume 156, Number 38 (Tuesday, March 16, 2010)]
[Senate]
[Pages S1611-S1612]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SOLAR UNITING NEIGHBORHOODS ACT
Mr. UDALL of Colorado. Mr. President, I want to speak about a bill
that is born from the forward-thinking ideas of our constituents--a
bill that will
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help spur our Nation's new energy economy and create jobs. To that end,
tomorrow I will introduce the Solar Uniting Neighborhoods Act, or the
SUN Act.
Last year, I began traveling across Colorado as part of a workforce
tour to listen directly to Coloradans and hear their innovative policy
ideas to create jobs. These ongoing efforts not only make me proud to
be a Coloradan but they help me identify ways the Federal Government
can help--or in some cases get out of the way--in supporting economic
development and investing in Colorado. The SUN Act comes from directly
visiting with Coloradans. It was one of the several job creation
proposals developed after I hosted an energy jobs summit last month in
Colorado.
Our summit brought together leading clean energy stakeholders from
the worlds of business and public interest and government. Many of our
top elected officials were there, including Energy Secretary Steven
Chu, Governor Bill Ritter, Senator Michael Bennet, and Congressman Ed
Perlmutter. They were there to discuss ways to sensibly spur job growth
in our emerging clean energy economy. In the coming weeks, I will be
introducing further legislation developed in part from the creative
ideas that flowed from the clean energy summit.
The SUN Act will bring common sense to our Tax Code, get government
out of the way of developing solar energy and spur job growth in every
community across the United States. Americans currently qualify for a
30-percent Federal tax credit for the cost of installing solar panels
on their homes. These solar panels are a great way to convert sunlight
to electricity, and over time they save American families money on
their utility bills. A few years ago, I installed panels on my own home
to take advantage of the Sun, which is very strong in the great State
of Colorado. But I have come to understand that this option isn't
available for all American families who want to receive their
electricity from solar power. Why? Well, there can be difficulties
attaching solar panels to your home, which is why more and more
neighborhoods and towns are creating so-called ``community solar''
projects. In those projects, instead of attaching the panels on every
roof on the block, an increasing number of families have decided to
place those same solar panels together in one open and unobstructed
sunny area near their homes. By grouping these solar panels, you can
reduce the cost by 30 percent compared to installing a panel or a set
of panels on every roof in the neighborhood. Moreover, community solar
projects streamline maintenance and optimize energy production by
avoiding trees, buildings, and other obstructions. Whether used by
neighbors living at the end of a cul-de-sac or developed by a rural
energy cooperative, creating these group solar projects to share energy
is a great way to lower the cost of making electricity through the
marvelous technology of photovoltaic units.
But there is a problem. Our Tax Code gets in the way. Why? Well, we
have seen the Federal Tax Code discourage neighborhood solar projects
because it requires the panels to be on your property. To put it
simply, Federal law is telling Americans they need to have their solar
panels affixed to their roofs instead of being able to partner with
their neighbors on a community solar project. So this discourages
innovation and slows the growth of solar power as an alternative energy
source.
Back to the reason why I am introducing the SUN Act. It makes a small
change in the Tax Code so that we no longer will be constrained in this
innovative solar energy opportunity. By eliminating the requirement
that the solar panel be on one individual's property, it frees
Americans to work together on community projects where each individual
can claim a tax credit on part of a shared project. This simple turnkey
solution makes it easier to adopt and use clean renewable energy.
As more and more Americans are realizing, weaning ourselves off
sources of foreign energy is a bipartisan imperative no matter what you
think about global warming. Back in 2004, Colorado took a big step
forward into the emerging clean energy economy when we approved a
renewable electricity standard--a so-called RES. I know the Presiding
Officer supports such a concept. It wasn't an easy transition. There
were a lot of skeptics who feared setting a goal for renewable energy
would result in job losses. I remember it well. I cochaired the
campaign for this RES in the State of Colorado with the Republican
Speaker of our Statehouse, Lola Spradley, who is a close friend. She
and I toured the State during election season in a bipartisan effort.
It was a surprise to a lot of people, who thought Republicans and
Democrats only fight and disagree. We in fact agreed, and we had a
wonderful time campaigning together. We passed the RES.
Colorado has initiated other efforts as well and we have easily
created over 20,000 jobs. We have the fourth highest concentration of
renewable energy and energy research jobs in our country. Estimates are
that the solar energy requirement in the RES--because the RES allows
for wind, biomass, and other kinds of renewable energies--created over
1,500 jobs.
So what does this tell us? It tells us what we already know well--
that American capitalism can take the seeds of an idea and create
positive economic change. So wherever possible, our Federal Government
should encourage, not hinder, such entrepreneurial ideas and
entrepreneurs.
Other important issues are at play as well. As we find our way out of
the current recession, we are witness to the emergence of powerful
economic competitors abroad, and we have an increasingly dangerous
alliance on foreign fossil fuels. So with these factors in mind for our
own economic and national security, Americans must become the world
leader in adopting clean energy and creating homegrown jobs.
The story must be told that clean energy is one of the greatest
economic opportunities of the 21st century. Fortunately, that is a
promise we can meet as the global demand for clean energy is growing by
$1 trillion every year. Let me say that again--$1 trillion every year.
And what excites me about this bill, like many measures currently being
debated here in our Chamber, is that it will create jobs for Americans
in every neighborhood where these community solar projects are
developed.
This bill reduces many of the barriers which currently prevent
Americans from adopting solar energy, opens up new markets and creates
a simple structure to allow people to utilize clean energy for their
home.
As I close, I can tell you there is nothing more thrilling than
making electricity, which I do in my own home. And then, when you need
to use it at your home, you use it there. And also, when it is not
needed, you send it back on the grid for your neighbors to use. So I
urge my colleagues in both parties to join me in supporting this
legislation.
I thank the Presiding Officer for his attention.
I yield the floor.
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