Wind energy group urges Ohio to change tax setup

subscribe

A national trade group wants Ohio leaders to change the state's taxes to attract wind energy developers and compete with neighboring states, where such energy projects would pay lower taxes.

The American Wind Energy Association says Ohio's existing tax method could be a hurdle to boosting the amount of electricity in Ohio that comes from renewable sources.

About a year ago, state lawmakers passed a landmark energy bill that requires 12.5 percent of electricity sold in the state to come from renewable sources by 2025. The requirement is being phased in, starting at 0.25 percent this year and escalating each following year.

In a letter sent to Gov. Ted Strickland, the association has asked the state to consider charging a production tax on electricity generated by wind turbines, instead of requiring a tangible personal property tax on an electric utility's equipment.

At issue is hundreds of millions of dollars. Last year, gas and electric utilities paid more than $620 million in tangible personal property taxes, according to the Ohio Department of Taxation.

Michigan, Indiana, Illinois, Pennsylvania and West Virginia have reduced or eliminated that tax, making them more attractive to potential wind energy developers, according to the wind association.

"We respectfully request that you work with us to craft a more comprehensive solution, a solution that will provide flexibility and efficiency for developers seeking to invest a minimum of $6 billion in Ohio's economy," The (Cleveland) Plain Dealer quoted the letter as saying.

Strickland's energy adviser, Mark Shanahan, who also directs the Ohio Air Quality Development Authority, says he first wants to see state-by-state tax comparisons and evaluate some of the group's claims he thinks are inaccurate.

Any tax change would require a comprehensive review of utility taxes to be fair, Shanahan said.

Related News

site c workers

BC Hydro to begin reporting COVID-19 updates at Site C

VANCOUVER - BC Hydro says it will begin giving regular updates to the public and the Peace River Regional District about its monitoring of the coronavirus COVID-19 at Site C.

BC Hydro met with the Peace River Regional District Sunday via phone call to discuss the forthcoming measures.

"We did a make a commitment to provide regular updates to Peace River Regional District member communities on an ongoing basis," said spokesman Dave Conway.

"(It's) certainly one of the things that we heard that they want and we heard that strongly and repeatedly."

Conway said updates could be posted as early as Monday on BC…

READ MORE

Energize America: Invest in a smarter electricity infrastructure

READ MORE

solar panels

Californians Learning That Solar Panels Don't Work in Blackouts

READ MORE

nissan vehicle to grid connection

Vehicle-to-grid could be ‘capacity on wheels’ for electricity networks

READ MORE

IEA: Electricity investment surpasses oil and gas for the first time

READ MORE