Governor Peter Shumlin today outlined his proposal to increase available funding for renewable energy projects through the Vermont’s Clean Energy Development Fund without adding a fee to electric bills at a time when Vermonters are pressed for cash.
‘Instead of adding a 55 cent monthly fee to Vermonters’ electric bills for one year, I propose an option to those who have already been offered solar tax credits funded by the CEDF to take a 50 percent discount on the value of their credits in return for receiving an upfront, one-time grant in lieu of the credit, once their projects are up and running,’ the Governor explained at a news conference in Montpelier on Monday.
The Governor’s plan is modeled on the current federal law, which allows for 100 percent cash payment from the Department of Treasury.
Currently, $8.5 million in CEDF funds have been committed to pay out tax credits for 93 projects by 23 different businesses over the next five years, as investors have income to offset the credits they are owed. The Governor’s proposal is estimated to free up between $2.7 million and $3 million of those funds to be redirected to support other renewable energy projects. That compares to the $2.3 million that the 55 cent fee was estimated to raise.
The Governor called the plan a win-win for Vermont.
‘This proposal is good for ratepayers, good for renewable energy, and good for Vermont businesses,’ Gov. Shumlin said.
‘Our new State Energy Plan due to be released in October will include a recommendation for the long term funding of the Clean Energy Development Fund. Like many legislators, I agree we need an interim plan to allow the Clean Energy Development Fund to incentivize renewable energy projects and technologies. My proposal does that,’ the Governor stated.
Source: governor's office. 4.11.2011
Governor Shumlin unveils proposal to boost renewable energy funding
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