「Appendix B：The President's Climate Change Technology Initiative」
Appendix B: The President's Climate Change Technology Initiative
Our overriding environmental challenge tonight is the worldwide problem of climate change, global warming, the gathering crisis that requires worldwide action・・・We have it in our power to act right here, right now. I propose $6 billion in tax cuts and research and development to encourage innovation, renewable energy, fuel-efficient cars, energy-efficient homes.
―President Bill Clinton. State of the Union address, January 27, 1998
A $6 Billion Initiative Over 5 Years To Cut Greenhouse Gas Emissions
Following the Kyoto Protocol negotiated in December 1997, the Administration is proposing a new program of tax cuts and R&D aimed at cutting greenhouse gas emissions. The initiative amounts to $6.3 billion over 5 years.
$3.6 Billion in Tax Credits
The proposed package contains $3.6 billion over the next 5 years in tax cuts for energy efficient purchases and renewable energy.
・ Tax credits for fuel-efficient cars. The tax package includes tax credits of $3,000 to $4,000 for consumers who purchase advanced technology, highly fuel efficient vehicles.
・ Tax credits for rooftop solar systems. Another tax provision provides a 15-percent credit (up to $2,000) for purchases of rooftop solar equipment―to provide incentives for meeting the Million Solar Roofs goal.
・ Other tax credits for energy efficiency. The tax cuts also include a 20-percent credit (subject to a cap) for purchasing energy-efficient building equipment, a $2,000 credit for purchasing energy-efficient new homes, an extension of the wind and biomass tax credit, and a lO-percent investment credit for the purchase of combined heat and power systems.
$2.7 Billion in New R&D Spending
The package also contains $2.7 billion over the next 5 years in additional R&D spending―covering the four major greenhouse gas emitting sectors of the economy (buildings, industry, transportation, and electricity), plus greenhouse gas removal and sequestration, Federal facilities, and crosscutting analyses and research. Selected examples of the R&D effort include:
・ Partnership for a New Generation of Vehicles (PNGV). PNGV is a 10-year government-industry R&D partnership to develop the technologies needed for a new generation of attractive, affordable vehicles that can achieve three times the fuel efficiency of 1994 models while meeting all applicable safety and environmental standards. The President's budget request calls for a $50-million increase in fiscal year 1999 for PNGV, to $277 million. Similar joint efforts are proposed to develop more efficient diesel engines for both light and heavy trucks.
・ Renewable energy. Expired research partnerships for key renewable technologies such as wind, photovoltaics, geothermal, biomass, and hydropower to accelerate price reductions and improve performance.