U.S. Reps. Don Manzullo (R-IL) and Tim Ryan (D-OH), along with U.S. Senators Kirsten Gillibrand (D-NY) and Mike Johanns (R-NE), today introduced bipartisan, bicameral legislation that would cut energy costs, reduce carbon emissions, and put Americans back to work through a tax incentive encouraging the use of mechanical insulation.
Mechanical insulation is the insulation placed around mechanical equipment, such as large boilers, heating and air conditioning units, duct work, and hot and cold water piping, to prevent energy loss, control condensation, regulate temperature, help reduce pollutants, and protect employees from hot or cold surfaces.
The Mechanical Insulation Installation Incentive Act of 2011, introduced today in both the House and Senate, would create up to a 30 percent tax deduction to encourage commercial and industrial entities -- like manufacturing facilities, office buildings, schools, hospitals, power plants, hotels, and universities -- to go beyond minimum mechanical insulation requirements in new construction and retrofit projects and increase their maintenance activities.
Conservative estimates indicate that over a 5-year implementation period this legislation could save $35 billion, reduce 170 million metric tons of CO2, and create more than 25,000 jobs for skilled craftsmen in all 50 states within weeks or months -- not years. While similar incentives have been developed for walls, roofing, windows, lighting, and other energy efficiency options, there are no existing tax incentives tailored for mechanical insulation.
"The Mechanical Insulation Installation Incentive Act is a winner on several fronts. It would reduce the cost of doing business for our employers, help put Americans back to work, reduce energy consumption, and cut carbon emissions," Rep. Manzullo said. "This is the type of legislation that should be included in any jobs bill that comes out of Congress this year."
"It's important that we give America's businesses the tools they need to create jobs, support high-end advanced manufacturing, and to improve the quality of life for working families," Rep. Ryan said. "The Mechanical Insulation Installation Incentive Act will responsibly help manufacturers reduce long-term energy costs of their businesses, decrease energy use, improve the environment, and immediately put people back to work."
"Investment in energy efficiency is a vital part of our economic recovery," Senator Gillibrand said. "This legislation would make mechanical insulation more accessible and affordable -- helping to cut harmful emissions, protect the environment, lower energy bills, and create good-paying jobs right here at home. This is common sense for our economy and our environment."
Source: http://manzullo.house.gov/News/DocumentSingle.aspx?DocumentID=258881
