All eyes on House following bipartisan Senate passage of relief legislation

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on email

Senate Passes Relief Package 74-25

Commentary by Barclay’s Capital Solar Energy Equity Research Analyst Vishal Shah

OVERALL THOUGHTS:    The Senate passed legislation that combines the House-failed TARP bill with an increase in FDIC insurance coverage (from $100k to $250k) and the Senate’s (only partially paid-for) tax extender package.  Focus now shifts to the House, where obviously the legislation has faced a tougher hurdle.

Key Question:  Does the House vote on the exact Senate-passed bill or does it make modifications to it?

The Senate has jammed the House Democrats to a degree.  The FDIC component makes the bill more palatable to incremental House Democrats and Republicans and the tax piece appeals to House Republicans.  The lack of offsets for the tax piece, however, is anathema to many moderate (so-called “Blue Dog” Democrats).  The leaders on both sides are now trying to figure out what the net vote impact is of the Senate changes.
According to lawmaker statements and staff contacts, the first option is for the House to try to gather the votes needed to pass the exact Senate-passed bills.  Look over the next 36 hours, for continued confirmation that this remains the first option.  The target is for the House to pass the Senate’s bill on Friday.  If, however, the 12-13 votes likely needed from Monday’s defeat are not forthcoming (either because some supporters switch to opponents or if too few new ‘yes’ votes materialize), the leaders will be forced to go to option two which would mean additional modifications in search of the needed votes.  This would certainly add time to final enactment of a bill and could elicit a stalemate that worries markets and global policymakers.
WIND/SOLAR ENERGY:  Tax credit extensions on the cusp of becoming law. All year extensions of the renewable energy tax credits have been stalemated over a partisan and cameral dispute of tax offsets.  The Senate has now added its tax bill (one year for wind/eight for solar) to the large relief legislation which it just passed.  House Democrats are displeased with the Senate’s move but the importance of passing the larger relief legislation has led House Democratic leaders to make a concerted run at passing the Senate bill on Friday, which would be a significant positive for wind and solar.

26 January 2022
Join this free webinar for our analysis of the growth of N-Type technology including; new capacity expansions and production output. We'll also be looking at the global manufacturing footprint with forecasts on how much product will be made outside of China this year and which companies are driving technology change across the crystalline silicon value chain.
23 February 2022
Held annually since 2016, the Energy Storage Summit Europe is the place to be for senior stakeholders in the European storage industry. Designed to accelerate deployment of storage, we examine evolving chemistries, business models, project design, revenue stacks and use cases for storage. The 2022 edition will include exclusive content around longer duration solutions, energy strategies for wide-scale deployment of EVs and "EnTech", the event which sits at the intersection of digitisation, decentralisation and decarbonation of the power system. Come to meet TSOs, DSOs, Utilities, Developers, Investors and Lenders and leave with new contacts, partners and a wealth of information.
7 March 2022
Take your chance to join the most powerful platform in the MENA region. Middle East Energy (MEE), Intersolar, and ees, the leading energy exhibitions are joining hands to co-deliver an outstanding renewables and energy storage event at Middle East Energy 2021. Renewables and energy storage at MEE is the largest gathering of solar and renewable energy industry professionals in the Middle East & Africa, offering the most effective trade focused platform to international manufacturers and distributors looking to meet regional buyers.
8 March 2022
As Solar Finance & Investment enters its ninth year, we sit on the cusp of a new power market with solar at its heart. The 2022 edition of the event will build on our years of expertise and relationships to bring investors and lenders together with top developers. Connect with leaders in the field and use exclusive insights to drive investment and development decisions for the future. Meet new and existing project partners at the largest gathering of European solar investors and lenders.
23 March 2022
When it comes to storage, the US market exceeded a gigawatt of advanced energy storage installations (weighted towards lithium ion) at 1.46 GW, more than the previous six years in total! An exponential growth rate could see the market hit 7.5 GW p.a. by 2025. The summit will provide a wealth of content around this vital piece in the US power puzzle, with sessions dedicated to explore how companies are making money from batteries, the latest chemistries and their applications as they apply to different use-cases. We ask how investors can match ESG criteria to batteries and we will bring case studies of successful deployment and project execution onto the stage to examine how you can ensure your own projects are successful.
29 March 2022
Now in its 10th sell-out year, Large Scale Solar returns to Lisbon in 2022. We are excited to gather together face-to-face with the European solar industry as we provide unique and exclusive access to a powerful selection of the market's key stakeholders. Join this elite summit to find out how the market is maturing, which new markets are becoming more exciting, how technology is evolving and who's driving the market forward into the 2020s. Always senior, packed with developers, EPCs, utilities and investors this is the event for companies serious about European solar PV.

Read Next

January 20, 2022
Mississippi authorities have expanded the state’s net metering programme to improve total compensation rates for solar customers and prioritise the adoption of distributed PV for low- to moderate-income (LMI) households.
January 20, 2022
US residential solar lender Dividend Finance is to be acquired by Ohio-based banking company Fifth Third.
January 20, 2022
Independent power producer (IPP) Cordelio Power has secured a 900MWac pipeline of solar projects in New York and Pennsylvania from project developer SunEast Renewables.
January 20, 2022
Distributed PV installations in China topped 29GW last year, contributing more than half of total solar installations in the country for the first time.
January 20, 2022
President Joe Biden believes he can win support for the energy and environmental initiatives included in his Build Back Better (BBB) Act, saying he is confident of getting “big chunks” of the US$1.75 billion legislation signed into law.
January 20, 2022
Swiss fund manager SUSI Partners has set up a new renewables platform that will build a portfolio of solar PV and wind assets in Poland.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
January 26, 2022
Free Webinar
Solar Media Events
February 23, 2022
London, UK
Solar Media Events
March 8, 2022
London, UK
Solar Media Events
March 23, 2022
Austin, Texas, USA
Solar Media Events
March 29, 2022
Lisbon, Portugal