Blow for wind sector as Oregon cuts tax credits

Oregon lawmakers are poised to reduce a tax incentive for large wind projects from $10m to $3.5m on the way to phasing it out completely amid a rising public outcry over ballooning costs.

The cutbacks highlight the pressure on clean-energy incentive programmes in the face of budget shortfalls in many US states.

Renewable-energy advocates, who ultimately supported the new legislation, warn that reducing the state’s Business Energy Tax Credit (BETC) could make Oregon a less attractive location for wind development.

A bill passed by Oregon’s House of Representatives cuts the credit for large wind projects — defined as 10 megawatts or more — to $3.5m this year, $2.5m in 2011, $1.5m in 2012 and then zero from 2013. The credit is maintained for other…

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