Polaris solar PV net news: Donald Trump as the next President will promote reform in energy policy. But the market for new energy and reform direction is what? What mechanism? Schedules and what kind of?
This article will briefly analyse some foreseeable change in policy, and the policy changes the United States energy market and the impact of the new energy enterprises in China.
From the background on the other hand, trump the Government will carry out reforms, his policy of energy will create jobs, strengthen the construction of infrastructure, protecting United States three points for the core objectives of international competitiveness of enterprises. Secondly, Trump has said repeatedly during the debate, traditional energy with new energy on an equal footing, so that fair competition mechanism to determine the price of United States energy market of the future. Therefore, to reduce the Federal Government’s policy support for new energy, restored greater impact on employment, nuclear power and coal, electricity and support will be the main direction of work since he took office. In both policy direction under the guidance of the will likely trump the Government tax policies and the impact of climate policies in United States new energy markets.
Tax policy fine-tuning will affect new energy
Tax policy Shang, new energy investment and production tax relief (ITC/PTC) is has through Treasury tax model assessment and Parliament approval of Bill, Trump Government cannot in short-term within (as Office 100 days) completed on it of amendment, more alone the Bill in last year amendment Shi has established has Yu 2022 completed gradually reduced and eliminated of mechanism, so spent large resources to abolished investment and production tax relief policy, should not is Trump Government in short-term within of target.
However, the new energy tax-related regulations, Trump direct rapid reforms of the Government section. In wind energy production tax credit policy, for instance, 5% “safe haven” policy (that is, wind power, geothermal, bio-fuel project to complete 5% the commencement dates for the enjoyment of the investment tax relief, is a policy for the new energy tax credit extension) belong to the internal revenue service regulations, the process does not need parliamentary approval to take effect.
Similarly, the project can enjoy matching the new energy equipment tax credit also belongs to the internal revenue service regulations, Trump took office, you can quickly cancel those policies, raise prices, undermining the competitiveness of new energy in the market.
From another point of view, of the Federal Government’s new energy policy has always been just part of comparison share of renewable energy in the State standards (RPS) policies is the United States the main drivers of change in the energy market. Trump, after coming to power, support for new energy policy would undermine the Federal Government, States, in particular actively promoting deep blue state of climate change policy, will increase its efforts to implement the new energy policy within the State.
The Governor of California, Brown (JerryBrown) said after the election, California’s energy and climate policy will not change, Trump came to destroy generations of Californians for clean energy and environmental protection achievements.
Near several months to, NY and the Massachusetts also are through has more high of can renewable energy proportion standard (in 2030 achieved 50% of State within sales power from new energy), Massachusetts more is in proportion zhiwai requirements in State within established 1600 MW of sea wind electric project (July, United States first a sea wind electric project in Rhode Island into equipment installation period, sea wind electric project in northeast of development will get more attention). These policies at the State level will be increased profits for the energy market, the reforms undertaken by the Federal Government may provide a buffer.
However, it will have significant implications for new energy industry, possibly by House Republicans, especially house leader Ryan (PaulRyan) proposed blueprint for reform of taxation policy (“Abetterway” taxreformblueprints).
The tax reform proposals, we recommend adjusting tax collection methods, so as to increase the proportion of taxes on imported goods. This will affect China’s new energy products, in particular photovoltaic and battery products for the future in the United States market competitiveness. In both houses of the Republican majority, the Trump case of lack of Washington experience in policy development, this tax policy proposals will be Trump, a focus of government reform.
Limited shrinking real effects of climate policies
Climate policy, Trump took office, United States Environmental Protection Agency (EPA) introduced the clean energy project is expected to be a major threat.
Since February this year after the Supreme Court stopped the scheme, DC Circuit Court has presided over oral arguments, and will be made in the next few months to rule on whether the scheme is a transitional control.
Trump has been appointed climate change skeptics Igbo (MyronEball) as leader of the transition team in the environmental protection agency, means that Trump is very likely within 100 days of taking office in the environmental protection agency to give up clean energy plan. But it is worth noting is that this change does not have too much impact on energy markets.
First, in the EPA’s clean energy plan final draft submitted to the Supreme Court (finalrule), State standards on carbon emissions than proposed draft (proposedrule) strictly in the Northeast and in many States, California has even in 2015 to reach the final of 2022 emissions requirements. Even the nonconformance of State, have also been achieving the carbon reduction achievements in the electricity market, and most of these results has nothing to do with the new energy, but because of low natural gas prices led to the change from coal to gas power generation completed. Clean energy program itself is limited to the impact of new energy markets.
Moreover, in 2007 the Massachusetts lawsuit on EPA carbon emissions management (Mass.vs.EPA), the Supreme Court ruled the EPA has the obligation to manage carbon dioxide emissions. So, even though trump the Government will abandon the strong push by the Obama administration to clean-energy projects, a new environmental protection agency will also need to develop and implement a specific policy on carbon dioxide emissions nationwide.
These two aspects of policy, Trump settles into the White House, United States new energy market may experience a brief chill rather far-reaching last winter. In the short term, United States energy market could be affected by the tax reform, and in the long run, the State Government and business support for new energy and tackling climate change the general direction of the policy will continue to support the stable development of new energy markets.
Original title: don’t panic!
Telangpuxin policies for clean energy just chill