Memo in Support, A4247-A/S3238-A

A.4247A (Gabryszak)

S.3238A (Maziarz)

MEMORANDUM IN SUPPORT

           This memorandum is submitted on behalf of Energy Coalition New York in support of the subject bill which would expand the personal income tax credit for residential solar energy systems and add a new personal income tax credit for residential wind energy systems.

           Energy Coalition New York consists of New York State’s major gas and electric utility companies: Central Hudson Gas & Electric Corporation, Consolidated Edison, Inc., National Fuel Gas Distribution Corporation, National Grid, New York State Electric & Gas Corporation and Rochester Gas and Electric Corporation. Coalition companies collectively employ more than 32,000 people, service more than 8.5 million customers and pay more than $3 billion in state and local taxes, assessments and fees. The member companies annually invest billions of dollars to make capital improvements to the electric and natural gas infrastructure located in New York State.

           Energy Coalition New York supports renewable energy programs which work in concert with achieving the goals of the Renewable Portfolio Standards.

           This bill provides for a tax credit of 25% of the cost of qualified solar electric equipment, solar thermal equipment and wind energy system equipment on residential property, not exceeding $5,000. Under current law there is a tax credit available for solar energy system equipment expenditures. This bill would provide a separate tax credit for solar energy equipment which generates thermal energy used for hot water, heating or cooling and also for solar energy equipment which generates electricity. It also adds a new tax credit applicable to wind energy systems.

           This legislation encourages residential homeowners to invest in solar and wind energy infrastructure. This bill recognizes the cost barriers to participation in these renewable technologies and provides economic encouragement for homeowners to invest. A tax credit provides a subsidy which recognizes development of renewables as a social cost not a ratepayer cost.

           Based on the foregoing, Energy Coalition New York requests favorable consideration of the legislation.