Murkowski, Cantwell Reintroduce Bill to Support Hydropower Development
Washington, DC – U.S. Senators Lisa Murkowski (R-AK) and Maria Cantwell (D-WA) today reintroduced their Maintaining and Enhancing Hydroelectricity and River Restoration Act, which supports the development of hydroelectricity infrastructure by establishing a federal tax incentive to increase security and capacity of existing dams. This comes after Murkowski recently cosponsored legislation introduced by Senator Steve Daines (R-Montana) to approve extensions for hydropower projects licensed before 2020, which will bolster projects that have been impacted by supply chain shortages and construction delays.
“Hydropower provides clean, reliable, and affordable baseload energy around Alaska, but we’ve just begun to tap into our potential for this abundant resource,” Murkowski said. “Our common sense legislation incentivizes hydropower along with innovation that will enhance grid resiliency, make our dams safer, and allow our fish habitats to thrive.”
“Thirty percent of Alaska’s electric energy comes from hydro and recent studies indicate significant opportunities for additional hydropower development. The Maintaining and Enhancing Hydroelectricity and River Restoration Act, introduced by Senator Maria Cantwell and Senator Lisa Murkowski, is critically important to the continued development and enhancement of hydropower in Alaska and throughout the nation,” Crystal Enkvist, Executive Director of the Alaska Power Association said. “Specifically, the ‘approved remote dam’ and the ‘interconnection property’ provisions are especially beneficial for Alaska because they allow for the construction of certain dams and the transmission necessary for those dams to be covered under a 30 percent investment tax credit (ITC). Funding support for the construction of new hydro is absolutely what we need in Alaska. In addition to funding for new hydroelectric facilities, the 30 percent ITC incentivizes environmental improvements and dam safety upgrades at existing hydropower facilities. This is must-pass legislation that moves the needle for the advancement of hydropower.”
“The Alaska Independent Power Producers Association appreciates the hard work by our Alaska delegation to support hydropower,” Joel Groves, President of the Alaska Independent Power Producers Association said. “We are pleased and readily support Senator Murkowski’s and Senator Sullivan’s leadership on the reintroduction of the Maintaining and Enhancing Hydropower and River Restoration bill. This legislation will move our Nation and our State towards enhanced energy security by supporting responsible hydropower development and enhancement. This legislation wisely positions America toward a brighter and more robust energy future and resultant economic prosperity.”
“Federal support is critical to assist with the initial high capital costs of developing hydropower, which becomes our most secure and affordable energy option for future generations,” said Clay Koplin, CEO of the Cordova Electric Cooperative.
The Maintaining and Enhancing Hydroelectricity and River Restoration Act would establish:
- A 30% federal tax incentive to encourage upgrades to the safety and security of existing dams, investments that expand fish passage infrastructure, and improvements to water quality and recreational use opportunities at hydropower project sites; and
- A first-ever federal cost-share to encourage the removal of obsolete obstructions that harm river ecosystems and outdoor recreation opportunities.
Both incentives would be available to be accessed by not-for-profit entities.
The bill is cosponsored by Dan Sullivan (R-AK), Susan Collins (R-ME), Kristen Gillibrand (D-NY), Angus King (I-ME), Patty Murray (D-WA), Gary Peters (D-MI), and Jeanne Shaheen (D-NH).
To learn more about hydropower in Alaska, click here.
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