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HERSETH SANDLIN: ENERGY POLICY WILL IMPACT MOLDED FIBER GLASS COS.
February 19, 2008 | Scott Waltman. Aberdeen American News

Energy policy that Washington politicians have talked about --- but can't agree to --- will impact one of Aberdeen's biggest future businesses, Rep. Stephanie Herseth Sandlin, D-S.D., said Monday in Aberdeen.

Herseth Sandlin visited with Molded Fiber Glass Cos. project manager Darl Anderson for about 45 minutes before touring Molded Fiber Glass' construction site on the northern side of town.

While that work continues, Congress needs to act as well, Herseth Sandlin said. A multi-year extension of the production tax credit given to companies that produce renewable energy is needed, she said.

The $18 billion in incentives would replace tax breaks now given to the largest oil and gas companies, Herseth Sandlin said.

Anderson said an extension of the tax credits to companies that produce alternative energy sources helps Molded Fiber Glass because this company signs contracts to make blades for those businesses. A continuation of the incentives is vital, he said.

So far, though, federal lawmakers have failed to agree to extend the credits. But, Herseth Sandlin said, it will happen. If not this year under President Bush, there will be action with the next administration, she said.

Delaying the extension will lead only to increased costs for needed alternate energy endeavors, Herseth Sandlin said.

One thing that should help is that large oilcompanies are diversifying into wind and solar power, so they should be more agreeable to a shift in the tax breaks, Herseth Sandlin said.

Another important issue to Molded Fiber Glass is that there will be enough transmission lines to get the power created by wind turbines to markets that can use it, Anderson said. Herseth Sandlin agreed.

Herseth Sandlin also said she thinks a renewable electricity standard would be a good idea. Some states are implementing them on their own, she said. South Dakota is not.

Anderson said wind power technology was developed in the United States, but that the country has delayed implementing it for so long that it isn't capitalizing on it. Herseth Sandlin said she has heard similar stories.

That's why, she said, Congress needs to act. And to hear that means extending the production tax credits that were ultimately taken out of last year's energy bill.

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