CITIZEN POWER ALLIANCE

WASHINGTON, DC, Apr. 4 -- Noting that time is running short, US Sens. Maria Cantwell (D-Wash.) and John Ensign (R-Nev.) introduced legislation on Apr. 3 to extend financial incentives for renewable and alternative energy programs for 1 year.

Their bill does not contain any financial offsets such as denying major oil companies $18 billion in tax relief, a feature of HR 5351, which the House approved on Feb. 27. Cantwell and Ensign, who are Senate Finance Committee members, presented their measure as an economic stimulus program instead.

"This is a broad agreement by both sides of the aisle. We would have liked to get more, but it's critical to get this done in the next 2-3 months. If both houses of Congress don't pass a bill and the president doesn't sign it into law soon, we will start to see as much as $20 billion of anticipated investment in 2008 delayed or cancelled and more than 100,000 jobs lost at a time when the country is skidding into recession and energy prices keep getting higher," Cantwell told reporters during a briefing.

"We wanted something that could be signed into law this year. Before, there were some [financial offsets] that people objected to. This addresses economic stimulus, which is why it has such broad bipartisan support. While we would have liked to see a broader package, this is something we can get done this year. We can't afford to wait," Ensign added.

The bill would extend the production tax credit for investments in wind energy, biomass, hydropower, and geothermal power generation facilities, and the 30% investment credit for businesses that install solar or fuel cell equipment. It also would extend tax credits for homeowners who install energy-efficient furnaces, windows, and insulation; offer tax deductions to builders who construct more energy-efficient homes and to businesses that make their buildings more energy-efficient; and give manufacturers tax credits to lower production costs for energy-saving appliances.

Cantwell and Ensign said they hope the bill quickly attracts other cosponsors. "If we do our work in the next couple of days, we hope to get it brought to the floor relatively soon," Cantwell said, adding that the credits need to be extended by 30-60 days after the end of 2008's first quarter before affected businesses begin to shut down.

The bill would provide about $6 billion in financial incentives over 10 years, she said. "Personally, I would have liked to see a bigger package, but the more you can get done, the more you can build on it. If we pass this bill, we can look at other elements of the energy package later this year," Cantwell said.

"We've let our House colleagues know that we're pursuing all avenues to get this done, although we haven't briefed them yet on this particular package," she added.