The Real Story
Rhetoric vs. Reality #3: Renewable Energy and ARRA
Rhetoric: Economic incentives for renewable energy from the American Reinvestment and Recovery Act are going overseas and aren't contributing to the U.S. economy.
The facts are:
- 100% of wind projects that receive investment tax credits through the Recovery Act are built in the U.S. and will power American homes and businesses.
- By law, 100% of wind projects that receive incentives through ARRA are built in the United States by American workers to provide power for U.S. homes and businesses.
- Prior to passage of ARRA, the wind industry feared that installations would drop by 50%, putting half of its jobs at risk, roughly 40,000 of 85,000 jobs. Instead of dropping installations from 8,500 MW in 2008 to ~4,000 MW in 2009 as feared, the industry installed 10,000 MW in 2009, a U.S. record, and kept all 85,000 jobs.
- Confirmed the National Steel Workers: "ARRA provided a great boost to the wind industry and paved the way for a record-breaking year."
- The U.S. now has nearly 400 wind manufacturing facilities.
- The U.S. has been rapidly increasing wind manufacturing from less than 25% of turbine value a few years ago to roughly 50% today.
- Lawrence Berkley National Laboratory (LBNL) found that ARRA's 1603 Treasury grant supported more shovel-ready projects and over 50,000 American jobs.
- According to data from the International Trade Commission (ITC) China currently represents less than 5% of the imported value of turbine components for the U.S. market.
- Examining the issue under the Bush Administration, the Government Accountability Office concluded that fossil fuels continue to receive nearly 5 times the tax incentives as renewable energy. (GAO, 2007)
AWEA is the national trade association of America's wind industry, with 1,300 member companies, including global leaders in wind power and energy development, wind turbine manufacturing, component and service suppliers, and the world's largest wind power trade show, the WINDPOWER Conference & Exhibition, which takes place next in Las Vegas, NV, May 5-8, 2014. AWEA is the voice of wind energy in the U.S., promoting renewable energy to power a cleaner, stronger America. Look up information on wind energy at the AWEA website. Find insight on industry issues at AWEA's blog Into the Wind. Join AWEA on Facebook. Follow AWEA on Twitter.