Group Says Over-Supply and Natural Gas Causing Wind Job Losses

According to the Institute for Energy Research , the recent loss of wind industry jobs isn't solely due to uncertainty about whether Congress will approve the production tax credit extension set to expire at year's end. An over-supply in the wind manufacturing sector and the industry's inability to compete with inexpensive natural gas are also contributing to those job losses. But a national wind energy association disagrees. Here are the details.

* At least 14 wind turbine manufacturing companies have announced plans to lay off workers and halt new hiring, the Institute for Energy Research reported, with about 3,000 jobs cut or at risk in 15 states if buyers are not found to purchase the wind turbine manufacturing facilities.

* According to a September press release from the American Wind Energy Association, the federal Production Tax Credit is the primary financial policy driver for wind energy investment and it allows developers to raise private capital in the marketplace and bring renewable energy projects to completion.

* The Institute for Energy Research points to a Navigant study commissioned by the American Wind Energy Association that predicted 11,000 direct manufacturing jobs in 2012. The jobs lost in 2012 signify almost 30 percent of that number. If considering the 10,000 indirect and 10,000 induced wind manufacturing jobs in 2012, the 3,000 layoffs signify 10 percent, the IER reported.

* The American Wind Energy Association lists the number of Americans who may lose their jobs in 2013 if Congress doesn't extend the production tax credit at 37,000 and indicates that the recent job losses are entirely due to policy uncertainty.

* With natural gas prices at the lowest they've been in years, and natural gas production at the highest its been in U.S. history, the Institute for Energy Research stated, the U.S. Energy Information Administration now pegs average wind generating costs at about 50 percent higher than generating costs at combined cycle natural gas plants.

* Though wind and natural gas are each adding equal amounts of new generating capacity, according to the Institute for Energy Research, the natural gas sector receives far fewer subsidies than wind does.

* Natural gas and petroleum liquids received $654 million in federal subsidies in 2010, according to EIA figures cited by the Institute for Energy Research. Wind energy received $4,986 million in subsidies during that same period of time.

* The wind energy is also being pinched by over-supply, even in the 30 states where there are renewable portfolio standards, the Institute for Energy Research stated. The over-capacity in the wind turbine manufacturing industry will likely lead to more job losses.

Source: http://news.yahoo.com/group-says-over-supply-natural-gas-causing-wind-193300459.html

Alfonso Ribeiro morgan freeman cbs sports nascar adam sandler cbs College Football Scoreboard