Analysis outlines economic benefits of biomass thermal incentives
A white paper published by FutureMetrics investigates the positive economic impacts that Biomass Thermal Utilization Act of 2013 could lead to, should it become law. The bill was introduced in the U.S. Senate in May and the U.S. House of Representatives in July. The report was prepared by William Strauss, chief economist of the Biomass Thermal Energy Council.
The bill aims to provide tax incentives to support the installation of commercial and industrial biomass heating systems.
According to the white paper, the substitution of biomass fuels for heating oil and propane systems will have a “dramatic positive effect on the economies of thermal energy dependent states.” The report specifies that when used in modern high-efficiency boilers, biomass fuels can lower the cost of heat by 40 to 60 percent when compared to heating oil.
The bill would help ensure money that would have been spent on heating oil or propane stays in the local economy and reduces heating bills, leading to additional disposable income being spent locally. The measure would also support the biomass supply chain, creating new jobs. The sale and installation of new heating systems would also generate jobs, and lead to sales tax revenues and income tax revenues.