When they weren’t busy end scientific practices that don’t seem to exist in Ohio anyways, the Republican-lead State Senate was able to reach an agreement with the Democratic House on restructuring the State’s tangible property tax credit so that it ceases to be a barrier to the development of renewable energy projects in the State.
As Dave Harding at ProgressOhio noted, the State’s tangible property tax was four to ten times higher than neighboring States taxes for renewable power projects.
From the Governor’s office:
Ohio Governor Ted Strickland released the following statement on the passage of Senate Bill 232, a bill that eliminates Ohio’s tangible personal property tax on generation for advanced energy project facilities that begin construction before January 1, 2012, produce energy by 2013 (or 2017 for nuclear, clean coal and cogeneration projects) and create Ohio jobs.
Strickland called for the elimination of the uncompetitive tax in his 2010 State of the State address. He made this a top priority in his 2010 job creation agenda.
“The elimination of this tax improves Ohio’s competitiveness and will spur job creation in the growing energy production industries. I appreciate the legislature’s commitment to growing the advanced energy industry in Ohio. I look forward to signing this bill as soon as it reaches my desk,” Strickland said.
Poor Matt Naugle missed that the Senate Republicans actually were cutting taxes during their marathon legislative session last night. They were passing Governor Strickland’s green energy tax cut.
With Ohio looking to build the first freshwater offshore wind project off of Lake Erie and the largest solar project this side of the Mississippi River, Governor Strickland is already well on his way in getting Ohio utilities to provide the most aggressive alternative energy mandate in the nation. The elimination of this tax will make it easier now that it’s not as cost-prohibitive to do such projects in Ohio.
This was a major component of the Governor’s State of the State address at the beginning of the year in describing his economic plan to bring jobs back to Ohio.
Congratulations, Governor Strickland (and Ohio!)
This is the kind of legislative achievements that will get the world’s alternative energy industry when looking to locate their next project: “Why not Ohio?”