Tina Smith: “water and energy are precious resources that we must manage as efficiently as possible. That is why I am joining with my…”

“water and energy are precious resources that we must manage as efficiently as possible. That is why I am joining with my colleagues Senator Lincoln and Finance Chairman Grassley to introduce the ``Resource Efficient Appliance Incentives Act of 2005.'' This bill would provide for manufacturers' tax credits of varying levels for certain energy and water efficient home appliances. Under this bill, for the first time, water efficiency is included in the eligibility criteria for the tax credits for clothes washers. This bill provides graduated credits to appliance manufacturers. The more efficient the dishwasher, clothes washer or refrigerator, the higher the credit. To spur increased production, the bill provides that these tax credits would apply only to production that exceeds historical production levels, and requires a three-year rolling average to calculated this production baseline. The bill only applies to appliances manufactured in the United States. This will encourage innovation and investment in domestic manufacturing facilities, which employ about 95,000 Americans. Energy savings from this bill would be significant. Super-energy efficient and water conserving clothes washers would have to use at least 65 percent less energy than the 2004 federal standard to qualify for the higher credit. Refrigerators must exceed the 2001 energy conservation standards for comparably sized models by at least 15 percent to receive a credit under this bill.…”