The House of Representatives has passed a Democrat-sponsored bill that would extend the federal tax credits on renewable energy technologies while expanding U.S. offshore drilling and increasing taxes on oil companies. However, the White House has threatened to veto this legislation.
Bloomberg News reports the legislation passed the House on a 236-189 vote that mostly fell along party lines. The legislation would require states to get more power from renewable sources and would provide renewable electricity producers with $6.9 billion in tax breaks. Federal tax incentives would be extended through 2009 for wind energy projects, through 2011 for geothermal and biomass projects, and through 2106 for solar and fuel cell investments.
However, the bill would prohibit offshore oil drilling within 50 miles of the U.S. coast and in new areas of Alaska. It would also increase taxes on oil companies by $18 billion.