Is it over?

Today, April 11th 2011 we prepared applications for the last round of the (Tier 1) Oregon Business Energy Tax Credit (BETC) program. A Tier 1 project is a qualifying renewable energy project at or below a cost of $500,000. For us, as we do mostly Solar Electric, it means projects no larger than the 100kW range.

We wonder as a company, what the future brings. If you haven't followed the BETC saga, let's just say that BETC has undergone changes in policy, and is under legislative pressure as budget deficits are causing belt tightening across the state of Oregon. As it stands now, BETC and the benefits it brings will cease to exist June 30th, 2012. When the 2009 Oregon Legislature enacted legislation and funded BETC with $300 million for the biennium July 1 2009 to June 30 2011, the full impact of the state budget deficits were not evident. Large scale project approvals depleted the funding faster than anyone anticipated, and so today, we applied for a share of the remainder, $5 million in Tier 1 credits. We, along with other renewable companies have competed for the remaining (very limited) allocation of funds.

Unless legislative action allocates funding in the next biennium, and extends the program sunset past June 30, 2012, BETC will no longer exist. Those of us in the (Solar) industry refuse to believe that BETC will die. We have employees that still have painful memories of the RV industry collapse in 2007-2008. They adapted, and we put them to work at living family wage jobs. Our company is a home grown Oregon company. Our people take great pride in their jobs, the installations they do, and the fact that we source and support Oregon companies and products.

Some say BETC is too expensive, and in some ways it may be, however many detractors of renewable energy subsidies willingly support the current subsidies for Oil, Coal and other mainstream energy sources. Compared to those industries, Solar subsidies are a drop in the bucket. We hear the mantra "job creation" and in our applications for BETC funding we report on our job estimates, and what jobs our projects will create. Should we care at least as much about "job retention?" By killing BETC we would trash an industry that has a strong employment base, and is as Oregon as they come. We worry about keeping the jobs we have developed. The Electrical apprentices, the new Journeymen Electricians we assisted. What is the value of them staying employed?

BETC needs to stay. It could use some changes, and certain common sense policies would be good for BETC. Absent a BETC program, the commercial Solar Industry will disappear. A reasonable, consistent and sustainable BETC program is obtainable.

When a business applies for a BETC final certificate, it means that they have spent money on a local Oregon project, employed contractors, and designers, and laborers. They also spent money into the community as a by-product of completing that project. Let's not take that away, let's spur on the recovery and retain a viable BETC program in Oregon. On behalf of our 30 employees we hope it's not over.