LB 455 would help public power invest in renewable energy

Press Release
January 20, 2009

LINCOLN, Neb. - A bill proposed by State Senator Jeremy Nordquist of Omaha would provide an incentive for public power districts to invest in renewable energy resources.

“Today, as President Obama articulates his vision for our country, it’s more important than ever to demonstrate our commitment to moving forward and to finding real solutions to our energy and economic problems,” said Nordquist. “An investment in renewable energy will bring a cleaner environment, a sustainable industry, and good, high-paying jobs to our state.”

LB 455 provides a tax credit of 1.9 cents for each kilowatt-hour generated from renewable sources. Because Nebraska's public power districts do not pay income taxes – making them ineligible for the vast majority of federal renewable energy incentives – the money will be credited towards sales tax paid by qualifying power districts. The bill also proposes a sales tax exemption for all equipment needed to generate and transmit power from renewable sources.

“Nebraska cannot afford to continue to be left behind in renewable energy production,” said Nordquist. “LB 455 provides our state with a path to long-term economic prosperity and energy sustainability without raising rates or taxes on Nebraskans.”

LB 455 is cosponsored by Senators Annette Dubas, Ken Haar, Steve Lathrop, Heath Mello, and Ken Schilz.