INCR Director Mindy S. Lubber Issues Statement in Support of Extension of Renewable Energy Convertible Tax Credit Program

With nothing less than investment in America’s economic future at stake, the Investor Network on Climate Risk strongly supports extending the credit for the renewable energy convertible tax credit program (provided under Section 1603 of H.R. 1).

This credit is the most important tax credit for renewable energy, covering 30 percent of the cost of these projects.  It is a crucial way to level the playing field with the enormous subsidies fossil fuels have long received, lower America‘s carbon footprint, and level the playing field for investment in what will be the 21st Century’s great global industry – clean energy.

An extension of this program is vital to providing the certainty that investors, manufacturers, and others need to spur growth and job creation in America’s renewable energy industries – a competitive imperative.

According to the American Wind Energy Association and the Solar Energy Industries Association, with an extension of these incentives the wind industry expects to create 20,000 new jobs in 2011 over the business-as-usual scenario, while the solar industry will create 25,000 jobs next year and 40,000 in 2012 over business-as-usual.

If such legislation fails to pass this year renewable energy industries will face a steep drop in investment, resulting in a loss of American jobs and America’s global position in the race to develop clean energy technologies and industries.

Congressional leaders must include extension of the construction date for the Section 1603 renewable convertible investment tax credit in the final tax bill that is considered this year.

Our economic future, energy independence, global competitiveness and national security will all be the winners.

The Investor Network on Climate Risk is a group of more than 90 major institutional investors managing over $9 trillion in assets.