New renewable tax-credit bill in House

Congressional Round-up: The House last week introduced a bill to extend production tax credits, funded in part by the repeal of oil tax benefits. The credits are due to expire at the end of the year, causing uncertainty for renewable energy industries. This bill is very similar to the one passed last summer by the House, but stifled in the Senate by 1 vote. It’s questionable whether the bill could pass the Senate in its current form. It includes:
• Extension of credits for wind, biomass, geothermal, small hydroelectric, landfill gas and trash combustion facilities through 2011, with a cap of 35% of the cost after 2009,
• Extension of solar energy and fuel cell investment tax credits for eight years,
• An end to deduction eligibility for the 5 larges oil companies,
• A 6% cap on benefits for smaller oil companies,
• A new credit for plug-in hybrid cars,
• Extension of tax credits for domestically produced cellulosic ethanol and biodiesel,
• A request that the National Academy of Sciences analyze current science on the production of biofuels and the domestic impact of a dramatic increase.

Proposal would allow power plants near national parks
Rep. Henry Waxman, (D-Calif.), chair of the House Oversight Committee, has urged the EPA to reject a proposal that would make it easier to build power plants near national parks. Waxman told EPA Administrator Stephen Johnson the proposed change in the New Source Review rules would violate the Clean Air Act. He said EPA technical experts acknowledged the change would allow “significant degradation” of the air in parks and national wilderness areas. He gave Johnson until March 5 to say why he ignored the advice of his staff. (Source: E&E News PM)

e-mailbag: Bob R. of Chicago writes, “Despite his admitted support and even sponsorship of environmental legislation, [John] McCain has too many constraints related to his conservative perception of reality to lead the nation effectively against the onslaught of global warming.”