Ingersoll-Rand Commends Passage of New Energy Plan: 'The Energy Policy Act of 2005'
- Sees Incentives Helping Increase Demand for Microturbines -
(IR NEWS SERVICE) -- Ingersoll-Rand Energy Systems, a business of Ingersoll-Rand Company (NYSE: IR), today welcomed the passage of "The Energy Policy Act of 2005," which calls for new tax credit incentives for the use of microturbine technologies and expands existing renewable electricity production tax credits.
"In light of the soaring worldwide demand for energy along with our nation's aging power infrastructure, it is clear that there has never been a greater need for clean, reliable, energy-efficient technologies," said Chip Bottone, president of Ingersoll-Rand's Energy Systems business. "The Energy Policy Act of 2005 will help foster the implementation of innovative energy technologies, such as microturbines, which are playing a vital role in providing environmentally friendly, cost-effective energy solutions for a wide range of environmental, commercial and industrial businesses, as well as for public utilities, to help reduce demands on the nation's increasingly overburdened power grids. "
Microturbines are compact, integrated systems comprised of a gas turbine engine, a recuperator and a generator that efficiently convert fuel and heat into high quality electricity and thermal energy. Provisions in the Act include a 10-percent investment tax credit for the purchase of microturbine-based power systems and an extension of existing renewable electricity production tax credits utilizing microturbine technologies.
Designated for electricity produced from municipal solid waste and agricultural livestock waste, the Act extends, from January 1, 2006 to January 1, 2008, the time frame in which onsite power generation systems, such as microturbines, must be placed into service to qualify for the renewable electricity production tax credits. Also, the duration in which this tax credit incentive is offered was expanded from 5 years to 10 years.
Ingersoll-Randís Energy Systems business is a leading developer of distributed-generation power technologies, offering a comprehensive line of microturbine solutions that can deliver energy to supplement public utility grids, and reduce emissions by transforming harmful waste gases produced by wastewater treatment facilities, landfills, agricultural livestock waste and oil production facilities into reliable electricity. Ingersoll-Rand Energy Systems offers a wide range of consulting and engineering services, as well as lease and financing alternatives, along with its extensive Planned and Total Maintenance Program for its entire line of solutions.
To help customers lower energy expenses, manage business risks and offset infrastructure costs, Ingersoll-Rand Energy Systems offers unique environmental and energy solutions, in which the company will install, own and operate microturbine-based systems that generate on-site electricity and thermal energy.