Dear Energy Bill Conferee,

Taxpayers for Common Sense Action, a non-partisan budget watchdog group, urges you to omit the Senate-passed nuclear production tax credit from the conference energy bill. This tax credit undermines the free market and makes taxpayers underwrite the nuclear industry’s new economic renaissance.

The nuclear production tax credit included in section 1507 of the Senate energy bill gives a tax break for up to 6000 MW of new reactor capacity, a cost of $125 million/1000 MW per year, over the first eight years of a new reactor’s existence. The Joint Committee on Taxation estimates that the incentive will cost only $278 over the first ten years, but the break could cost the federal Treasury up to $6 billion before it expires in 2029.

The nuclear power industry has long relied on government assistance to stay afloat; this production tax credit extends this unprecedented level of support, and will encourage the construction of new reactors that will be remain dependent on the government to economically survive in the energy marketplace. After decades of federal support, the Nuclear Power industry should be able to make it on its own and without taxpayer-funded incentives.

Again, we urge you to keep the nuclear production tax credit out of the conference energy bill. If you would like any more information, please contact Evan Berger at (202) 546-8500 x111.

Sincerely,

Jill Lancelot
President / Co-founder