When Congress returns from its summer vacation it will consider legislation that could energize investment in renewable energy projects with an almost “cash for clunkers”-like fervor.
Like the cash for clunkers legislation (and American Idol, and The Office), a feed-in tariff bill would be a ripoff of a European idea modified for American consumption. Bills that would require utilities to pay a premium for renewable power have been tried and failed here before, but the time (and composition of the Congress) may be right for the fight to take flight.
Introduced by Democratic Senators Jay Inslee (WA) and Bill Dellahunt (MA), the bill would guarantee a market for the renewable power projects and would do much to calms fears in today’s skittish investment arena. Feed-in tariffs have been overwhelmingly successful in Germany and Spain, basically creating the solar industries in both those countries.
Because a feed-in tariff promises American jobs and reduces foreign energy dependency, Congress will likely give the idea more of a fair hearing when the leaves begin to turn in DC.