December 18, 2012
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The Honorable Harry Reid Majority Leader United States Senate Washington, DC 20510
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The Honorable Mitch McConnell Republican Leader United States Senate Washington, DC 20510 |
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The Honorable Max Baucus Chairman, Senate Finance Committee United States Senate Washington, DC 20510 |
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The Honorable Orrin Hatch Ranking Member, Senate Finance Committee United States Senate Washington, DC 20510 |
Dear Majority Leader Reid, Republican Leader McConnell, Chairman Baucus, and Ranking Member Hatch:
On behalf of our thousands of employees who work in the solar industry, we respectfully request a modification of the clean energy tax credits from a “placed in service” standard of eligibility to a “commence construction” standard in both the Section 45 Production Tax Credit (PTC) and in the Section 48 Investment Tax Credit (ITC).
The Senate Finance committee tax extenders package, which was included in S. 3521, the Family and Business Tax Cut Certainty Act of 2012, allows wind and other Section 45 technologies’ projects to qualify for the PTC if the project “commences construction” (rather than is “placed in service”) by a certain date. We want to see this policy change applied to all renewable energy technologies, including solar and the other Section 48 technologies, which qualify for the ITC.
Commence construction is a great policy, makes a lot of sense, and allows us to make full and effective use of the investment tax credit all the way through 2016. In total, a commence construction standard would conservatively yield an additional 4,000 MW of solar electric generating capacity in 2017 and 2018 in the United States—enough to power 676,000 average households. This significant increase in installed capacity would support tens of thousands of additional jobs over this two-year period. Finally, because the tax credit can still only be claimed when the project is completed, this commence construction change would continue to protect taxpayers from any risk.
As our companies plan and participate in solar projects in the coming months and years, it is vital that all of the clean energy technologies have a predictable policy in place. Our companies face incredible amounts of risk based on events beyond our business control. The change to “commence construction” provides much-needed certainty.
It is imperative that this “commence construction” modification be part of any tax extenders package and included in any year-end legislation. Thank you again for your commitment to the clean energy industries, which continue to help diversify our nation’s energy portfolio, promote competition in the energy markets, grow jobs across the country, and reduce energy prices for American families.
Sincerely,
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Abengoa Solar Arizona, California, and Colorado |
ATS Ohio Inc. Ohio |
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AET. LLC Florida |
Aztec Solar Inc. California |
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All Energy Solar Inc. Massachusetts, Minnesota, and Wisconsin |
Bentek Corporation California |
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AllEarth Renewables Vermont |
Blattner Energy Minnesota |
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Amphenol Industrial Solar Technologies California |
Blue Ridge Energy Company Virginia |
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Appalachian Energy Systems Massachusetts, Maryland, Pennsylvania |
Brightergy Solar Kansas, Missouri |
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Apricus Inc. Connecticut |
BrightSource Energy California, Nevada |
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Aquatherm Industries, Inc. New Jersey |
Butler Sun Solutions, Inc. California |
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Areva Solar Arizona, California, Nevada, Pennsylvania |
Caleffi Solar Missouri |
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AST, Inc. Indiana, Ohio |
Cape Fear Solar Systems North Carolina |
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Atonometrics Texas |
Clark Engineering Company Michigan |
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Clean Power Finance California |
Ice Industries, Inc. Ohio |
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Conserval Systems Inc. New York |
JA Solar USA, Inc. California |
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Cotuit Solar LLC Massachusetts |
John Nimmons & Associates, Inc. California |
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EDF Renewable Energy California, Colorado, Iowa, Minnesota, New York, Pennsylvania, Oregon, Texas |
Mainstream Energy Corp. California |
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Enel Green Power California, Massachusetts, Nevada |
Mercury Solar Systems of Waltham Massachusetts |
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Energy Systems and Installations, Inc. Pennsylvania |
Meridian Energy USA California |
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Estriatus Law California |
Microgrid Solar Missouri |
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First Solar Arizona, California, New Jersey, Ohio |
Multi-Contact USA California |
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Florida Solar Energy Industries Association Florida |
NTS Solar Massachusetts |
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FLS Energy North Carolina |
Paradigm Partners Massachusetts |
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Grenzebach Corporation Georgia |
Pfister Energy, Inc. Florida, Maryland, New Jersey |
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Highway Safety Corporation Connecticut |
Pilkington North America Ohio |
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Hydroflex Systems, Inc. Pennsylvania |
Power One Inc. California |
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Radiance Solar Georgia |
SolarCity Arizona, California, Colorado, District of Columbia, Hawaii, Maryland, Massachusetts, New Jersey, New York, Oregon, Pennsylvania |
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Renewable Portfolio Solutions California |
SolarNexus California |
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Renewergy Solutions Group, LLC New Jersey |
Sol Systems, LLC District of Columbia |
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Renovus Energy New York |
Solar & More New Jersey |
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Ritter Group USA Pennsylvania |
Solar Panels Plus, LLC Virginia |
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Roof Integrated Solar Energy Illinois |
SolarUS Inc. Connecticut |
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Sabre Industries Texas |
Solar Wave Energy, Inc. Massachusetts |
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Schmid Thermal Systems Inc. California |
SolPowerPeople Inc. Texas |
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Sener Energy and Systems Inc. California |
Spire Solar Massachusetts |
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Shoals Technologies Group Tennessee |
SunEdison California, Colorado, Maryland, New Jersey, New York |
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Skyline Innovations District of Columbia |
Sunrun Arizona, California, Colorado, Hawaii, Maryland, Massachusetts, New Jersey, New York, Oregon, Pennsylvania |
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Soitec California, Massachusetts |
Suntech California |
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Tenaska Nebraska |
Sunvelope Solar, Inc. Nevada |
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TEVA Energy Florida |
Vidaris, Inc. New York |
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The LeverEdge Florida |
Viessmann Manufacturing Co. Inc. Rhode Island |
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Trina Solar California |
Wagner Solar Inc. Massachusetts |
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UMA Solar Florida |
Westinghouse Solar California |
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Universal Solar Products, Inc. Puerto Rico |
Yingli Green Energy Holding Co., LTD California |