Wind energy installations could stop if federal tax break isn't renewed

Installations of new wind turbines could stop without renewal of an energy-production tax credit that expires at the end of the year, according to the American Wind Energy Association. Some wind-energy installations have already shut down, and there will likely be a rush to complete projects before the cut-off date, Matthew Wald of The New York Times reports.

The importance of subsidies is highlighted in the Shepherds Flat wind farm in north-central Oregon (Department of Energy photo), which officially opened Saturday. The $1.9 billion project was financed with a $1.3 billion federal loan. Wind was one of the largest recipients of federal subsidies for electricity production in 2007, receiving much more than coal or  natural gas.

Extension of the wind subsidy is unclear. Congress did not act to extend it before it recessed for the election season, and it's unlikely it will be discussed during the lame-duck session after the election. (Read more)