The coronavirus is putting an estimated 25GW of US wind projects at risk, according to analysis by the American Wind Energy Association (AWEA).
AWEA said 35,000 jobs could be jeopardy, as well as $43bn in investments and payments to rural communities, such as state and local taxes and land-lease fees to private landowners.
The economic losses will have an outsized impact on rural America, where 99% of wind projects are located, the association said.
AWEA chief executive Tom Kiernan said: “We’re assessing the many hurdles our members are facing in mitigating the disruptions from COVID-19.
“Protecting American jobs and economic investment and ensuring the safety of the wind workforce remain our primary objectives.
“The COVID-19 pandemic is harming the wind industry’s ability to build the wind farms envisioned by Congressional legislation and putting at risk 35,000 wind energy jobs.
“To best protect these jobs and the health of our existing workforce, we are asking Congress to immediately extend the schedule and improve the liquidity of our existing tax credits.”
AWEA added that it working closely with government officials to ensure that wind power will continue building on its success in delivering clean, reliable, and affordable energy to consumers across the country.
It is asking Congress for flexibility in allowing existing policies to continue working for the industry through this period of uncertainty.
“Wind developers have made investments and planned projects based on what appeared the safe assumption that their projects would qualify for the federal production or investment tax credits, which reduce costs to electricity consumers,” AWEA said.
“Congress can eliminate the uncertainty created by expected delays and allow investment and hiring to move forward by providing two additional years of safe harbour for projects commencing construction after 31 December, 2015, letting them receive the tax credits as originally envisioned,” it added.
AWEA said this will help address the scheduling issue created by COVID-19 and, additionally, allow developers to receive direct pay equal to the value of the credits.
AWEA vice president of research and analytics John Hensley said: “There is a record amount of wind projects under development.
“Delays caused by COVID-19 will make it difficult for some US wind projects to come online in time to meet financial and economic obligations, putting projects at risk of cancellation.
“Decisive government action in the short term can do much to soften the virus’ effects and protect the over 100,000 workers that count on the US wind industry for their livelihood and the consumers that count on wind power for safe, low-cost, zero-carbon electricity.”