News is out that the Senate has extended $18 billion in tax credits for renewable energy sources but it sill needs to be approved by the House which is expected.  The energy tax credits are part of a much larger bill, but here is the energy portion:

* Extends for one or two years and expands production tax credits for wind, refined coal, biomass and marine renewables. $5.8 billion.

* Extends through 2016 the investment tax credit for solar energy. $1.9 billion.

* Extends through 2016 the credit for residential solar property. $1.3 billion.

* Provides new tax credits for creation of advanced coal electricity projects and certain coal gasification projects. $1.4 billion.

* Establishes a new credit for plug-in electric drive vehicles. $758 million.

* Extends credit for energy-efficient improvements to existing homes. $837 million.

Solar is the big winner in this package with an 8 year extension.  Businesses would get a 30% tax credit for investing in solar, wind, geothermal and ocean energy equipment, but wind energy only gets a one year extension while other sources such as wave and geothermal get a 2 year extension.. a disappointment there.  

Homeowners would also get a 30% tax credit for the cost of installing solar equipment and up to a 10% credit for ALL qualified energy efficiency improvements which include insulation, efficient windows, water heaters and heating/cooling equipment.

The bill also creates a tax credit for plug-in electric cars with a tax break of $2500 to $7500 depending on the battery capacity of the vehicle. 

This is great news for the green energy industry considering the Senate had shot down the extensions 8 times this year.. now it’s on the House to get it done.  The White House is apparently supporting the bill.