We are at a pivotal moment in the energy
transition—balancing the need to address climate
change while securing energy independence and
ensuring national security.
Together with our customers, GE provides one-third of the world’s
electricity. As the only U.S. company with expertise across wind, gas,
hydro, grid, and nuclear, GE supports clean energy tax credits to ensure
success in decarbonization efforts and continued U.S. leadership in
energy manufacturing and jobs – both today and in the future.
Investing in
American Energy
Key to our success is the urgent enactment of strong
policies that complement the private sector’s efforts to
innovate and build a clean, energy-independent future
for the country – restoring the wind production tax
credit and enhancing the tax credit for carbon
sequestration.
Strengthen national security by
bolstering reliable energy in the U.S.
Reinforce U.S. energy independence
by providing support to a variety of
energy resources
Build a strong domestic supply
chain to lead the energy transition
globally
Ensure continued U.S. leadership in
manufacturing and breakthrough
technologies critical to meeting our
decarbonization targets
Create domestic jobs
Securing long-term
clean energy tax
credits will help:
An all-inclusive approach across the energy industry avoids the
arbitrary selection of winners and losers and gives room for markets to
work. In addition to the wind production tax credit (PTC) and 45Q tax
credit for carbon sequestration detailed below, a comprehensive
package of clean energy tax credits would support diverse generation
sources, such as wind, solar, and nuclear, while creating new incentives
for storage (including pumped hydro storage), hydrogen, and
transmission, as well as manufacturing credits.
We can, and should, achieve these goals together. The geopolitical
effects of the crisis in Ukraine only strengthen the urgency to achieve
energy independence and resilience.
Wind PTC
45Q
“I think there's a bipartisan consensus… that we need to do
something not only with respect to wind and the production
tax credit, but frankly a range of other incentives, including
45Q… We just need to have that policy certainty.”
- GE CEO Larry Culp at theMilken Institute Global Conference
Carbon management is a critical component of an
effective climate strategy and represents an
opportunity for the U.S. to lead the development of
breakthrough technologies. These technologies will
enable a diverse, reliable, and affordable mix of
power generation, including natural gas and
hydrogen, sustaining jobs and creating new
economic opportunity. They will play a key role in
meeting our climate goals as one of several
solutions to tackle emissions from the industrial and
power sectors, according to the International
Energy Agency.
Proposed enhancements to the Section 45Q tax
credit complement important carbon management
demonstration programs led by the U.S. Department
of Energy. These updates to the tax code will
mobilize and sustain the necessary private capital to
propel this innovative sector forward, and drive
wider, scalable deployment of commercially viable
projects that deliver substantial emission reductions.
This will enable continued investments in the
technologies needed to achieve energy
independence, strengthen national security,
create jobs and technologies here at home,
ensure our competitiveness with foreign
manufacturers, and make our climate targets
achievable.
Enhancing the Tax Credit
for Carbon Sequestration
The wind PTC has been critical to accelerating decarbonization,
building a strong domestic supply chain, and ensuring U.S.
leadership in the industry; however, the PTC expired for all renewable
energy technologies commencing construction after December 31,
2021, significantly slowing new U.S. wind projects and investments.
Already, the wind industry is feeling the effects of a lack of policy
certainty around the PTC that has resulted in decision-making on
projects being deferred. According to a leading market expert, the U.S.
market will decline from 18 gigawatts of wind installations in 2020 to a
forecast number of 11 gigawatts for 2022.¹ The potential employment
fallout from failing to support the U.S. wind industry is clear.
Restoring the Wind
Production Tax Credit (PTC)
A look at the economic potential of the
wind industry shows:
GE urges Congress and the
Biden administration to
work together to enact
these policies as soon as
possible to provide the U.S.
energy industry with
certainty and support.
For more information on GE’s perspective on the
energy transition and expertise across energy sources,
please visit: ge.com/about-us/energy-transition.
Wind technician is the
The wind sector supported more than
more than $291 billion in domestic
investments in wind.⁴
second-fastest growing job
in America, with employment of wind turbine
technicians projected to grow 68% from 2020-30
compared to the 8% nationwide average.²
115,000 jobs in 2020.³
Accelerating the rate of clean energy deployment to account
for 70% of electricity generation by 2030 would result in
The global effects of this slowdown in the U.S. wind industry are
readily apparent. As a recentBloomberg article states,
"aslowdown in U.S. turbine manufacturing risks further weakening
the country’s energy independence. ... Now, Chinese competitors
see opportunity in the wind market. Companies including Xinjiang
Goldwind Science & Technology Co., Envision Group and Ming
Yang Smart Energy Group Ltd. plan to invest in factories abroad to
take market share."
¹ Wood Mackenzie Q1 2022 Global Wind Power Market Outlook Update
² U.S. Bureau of Labor Statistics
³ American Clean Power Association’s 2021 Clean Energy Labor Supply
⁴Ibid.
