Senate nixes solar tax credits

Earlier we talked about SunPower packing its bags should the investment tax credit (ITC) fail to pass the Senate for renewal. We were hopeful about HR 6049, the Energy and Job Creation Act of 2008, passing. But if SunPower holds to its word, start waving good-bye now because ... the bad news happened. The Senate didn’t manage to overcome a filibuster to pass good ol’ HR 6049, which would have renewed solar tax credits for another six years.

Congress did more than just drop the ball on this credit. It’s basically equal to giving the finger to the entire solar industry, green power, global warming, renewable energy, new jobs, our future.

Yes, disappointment often sends me straight to doom-and-gloom thinking, but am I over reacting? Pause for a moment and consider the snowball effect on alternative power should one of the leading companies of one of the leading components of alternative power ditch our country, especially when our economy is shady at best (pun not intended), with investors getting jumpy and everyone with less expendable income in their pockets.

It is expected that we’ll see about $19 billion of lost investment and about 16,000 lost employment opportunities, with California -- a significant economy that is already suffering -- being one of the hardest hit. That’s a lot of doom and gloom, in my book.

Everyone has their opinions about the ITC and if it is or isn’t a good thing for business. Reality is, it’s not around any more, so some of those opinions are about to go for a test run.

For your researching pleasure, you can find out more with:

Economic impacts of the tax credit expiration study

Summary of H.R. 6049

Photo via DBking