House Bill 1964 (Ross-R-Chester), that will help reduce Pennsylvania's dependence on foreign sources of energy by establishing tax credits for alternative energy businesses, was passed unanimously by the House this week.

"This legislation is designed to help reduce our country's dependence on oil and natural gas by encouraging the development of businesses engaged in the production of alternative fuels, alternative fueled vehicles and alternative energy equipment," said Rep. Ross. "By helping businesses run environmentally friendly operations, we can look forward to a safer, cleaner environment."

House Bill 1964 would create a Renewable Energy Tax Credit and allow businesses to offset the Personal Income Tax, Corporate Net Income Tax or Capital Stock and Franchise Tax by an amount equal to 15 percent of the cost of capital equipment directly related to qualified alternative energy activities.

The total amount of all renewable energy investment tax credits allowed would not exceed $15 million in any one fiscal year.

"With energy costs rising throughout the winter and many residents struggling to pay home heating bills, I am hopeful this bill will provide another incentive to continue researching and using alternative forms of energy," Rep. Ross said.

2/17/2006