Washington, D.C. ñ Today, Representatives Ted Poe (R-TX) and Mike Thompson (D-CA) introduced bipartisan legislation in support of an ìall of the aboveî energy approach. H.R. 6437, the Master Limited Partnerships Parity Act, will modify the federal tax code to make it easier and more attractive for private capital to invest in renewable energy.
A master limited partnership (MLP) is a business that is taxed as a partnership but whose shares are traded like stock on a market. Because MLPs have access to capital at a lower cost and a more liquid financial approach, this makes them very attractive to private investment. Currently, only oil, natural gas, coal extraction, and pipeline projects are allowed to qualify for MLPs. This bill would simply amend the federal tax code to allow investment in renewable energy projects in the same way.
ìAs recent studies have shown, it is entirely possible that North America could be 100% energy independent in the near future. One way to achieve this goal is to produce as much domestic energy as we can. This bill, along with increased domestic oil and gas production, helps us get closer to that goal and will create jobs in the process,î said Congressman Ted Poe.
ìWe need an all-the-above approach to Americaís energy future,î said Congressman Mike Thompson. ìThis bill levels the playing field and frees up money for private investment in renewable energy. It will help us create jobs, strengthen our national security, reduce our dependency on foreign oil and move closer to energy independence.î
Companion legislation, S. 3275, has been introduced in the Senate by Senators Chris Coons (D-Del.) and Jerry Moran (R-Kan.).
This legislation is endorsed by Third Way, American Wind Energy Association (AWEA), Solar Energy Industries Association (SEIA), Biomass Power Association, Biotechnology Industry Organization, Ocean Renewable Energy Coalition, Natural Resources Defense Council (NRDC), Advanced Biofuels Association, Offshore Wind Development Coalition, Advanced Ethanol Council and Environmental Entrepreneurs.