Obama reelection: a future for wind power?

With Obama reelected, a push to extend the Production Tax Credit is likely but not guaranteed. The credit is crucial for wind power, but the 'fiscal cliff,' a skeptical House, and stiff competition from natural gas stand in the way.

By Elias Hinckley,?Contributor / November 12, 2012

In this photo provided by NextEra Energy Resources, wind turbines turn at the new NextEra Energy Resources wind farm near Limon, Colo., last month. President Obama is likely to push to extend a crucial tax credit for the wind industry, but there's no guarantee he'll succeed.The farm consists of 250 turbines and is capable of serving the energy needs of 200,000 homes.

Jack Dempsey/NextEra Energy Resources/AP/File

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Much time was spent in energy circles discussion leading up to the election on how the outcome?would affect the future of wind power in the U.S. The general consensus was that an Obama?reelection would lead to an extension of the Production Tax Credit (PTC), and with that the?rescue of the wind industry in the U.S. Current turbine orders for U.S. delivery in 2013 sit near?(if not at) zero, as the lack of the support from the PTC makes it extremely difficult to produce?wind power at a cost low enough to compete with natural gas derived electricity due to continued?weakness in natural gas prices.

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It's premature to proclaim the industry saved by Obama's re-election.

It's not clear when or even if, an extension will be passed. A push during the November session?of Congress is likely, and a PTC extension could easily slot in as part of a broad set of tax?extenders (research and development credits, new market tax credits and several other broadly?supported tax incentives are all expired or expiring as well).?