President’s 2013 Budget Revives 1603 Solar Tax Credit, Eliminates $4B in Fossil Fuel Subsidies
Here are some of the highlights of the energy portion of the budget:
- The budget provides for an extension of the Section 1603 Treasury Program, a program that addresses the scarcity of tax equity for financing solar projects.
- The budget proposes the repeal of over $4 billion per year in “inefficient” tax subsidies to oil, gas, and other fossil fuel producers.
- The budget proposes funding the DOE’s Office of Energy Efficiency and Renewable Energy at $2.33 billion, an increase from 2012 figures.
- $310 million for the SunShot Initiative to make solar power at grid parity without subsidies by 2020.
- $95 million for wind power, including offshore wind technologies.
- $65 million for geothermal power and enhanced geothermal energy technology.
- $770 million for the Office of Nuclear Energy, including funding to research and develop small modular reactors (SMRs).
- The DOE receives $27.2 billion under the budget request, a 3 percent increase from 2012 levels.
- The Office of Science would receive $5 billion to fund basic research.
- The beleaguered DOE loan guarantee program would not win any expanded funding, though the budget does call for maintaining the current loan portfolio.