Hydro tax credit extension approved by Senate committee

The U.S. Senate Finance Committee approved a bill Thursday that would extend tax credits for hydroelectric power.

The Expiring Provisions Improvement Reform and Efficiency Act (EXPIRE), includes a two-year extension of production and investment tax credits for renewable energy, including hydropower.

Currently the law states that “qualified energy resources” including some hydroelectric and marine energy receive a 1.1 cent per kWh through the end of 2013.

The National Hydropower Association said the tax credit encouraged dozens of hydropower project improvements.