Risking a boom-bust wind cycle

The US wind market has followed a boom-bust cycle because the main subsidy is usually only extended for a year or two. Next time it comes up for debate a clear trajectory of support must be worked out.

The latest short-term extension of a US wind tax credit risks creating a glut of capacity unless states ratchet up regional renewable power targets.

The US wind market has followed a boom-bust cycle because the main subsidy is usually only extended for a year or two, creating a surge to develop projects before the next expiry deadline, contributing to a record year in 2012.

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