Finally our government is beginning to make crucial decisions that will help shape the country’s future in a positive way. With the recent approval of H.R. 2776, the Renewable Energy and Energy Conservation Tax Act of 2007, the House Ways and Means Committee has officially extended and amended many different energy efficiency related tax credits and incentives.
The main provisions which apply to everyday people are the home efficiency assistance bonds, as well as the plug-in hybrid vehicle tax credit. The home efficiency assistance bonds were not only extended, but amended to give even more money to people who are making these energy efficiency renovation on their principal residence. It also has provisions which further assist low income families to make these energy efficient changes with the least impact possible. The hybrid vehicle tax credit was also extended and the base amount of the tax credit was increased to $4000 with a special clause which adds $200 for every kilowatt hour of capacity over 5 kilowatt hours.
Business owners will also be pleasantly surprised if they are planning on building soon, as the energy efficient commercial building tax deductions have been extended to 2013 and allows for a tax deduction of $1.80 per square foot. This tax credit is for commercial buildings who’s energy consumption is reduced by 50% when compared to a reference building.
The Bill also includes a variety of tax breaks, deductions and bond for industry leaders, in an attempt to promote the production of clean renewable energies, from biodiesel production, cellulosic alcohol production and even electricity produced from marine renewables.
All in all, I see this bill as a very positive step in the fight against global warming and climate change, or pollution in general (for those GW deniers). These rebates and benefits are now making it possible for the average person to really make a difference, and I look forward to taking the government up on a few of these incentives.