II 

117TH CONGRESS 

1ST SESSION S. 2909 

To amend the Internal Revenue Code of 1986 to provide a manufacturing 

investment tax credit and a production tax credit for manufacturing 

facilities that produce onshore wind turbine components. 

IN THE SENATE OF THE UNITED STATES 

SEPTEMBER 30, 2021 

Mr. BENNET (for himself and Ms. STABENOW) introduced the following bill; 

which was read twice and referred to the Committee on Finance 

A BILL 

To amend the Internal Revenue Code of 1986 to provide 

a manufacturing investment tax credit and a production 

tax credit for manufacturing facilities that produce onshore wind turbine components. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Onshore Wind Amer5 ican Manufacturing Act of 2021’’. 

6 SEC. 2. ONSHORE WIND MANUFACTURING CREDIT. 

7 (a) IN GENERAL.—Subpart C of part IV of sub8 chapter A of chapter 1 of the Internal Revenue Code is 


pbinns on DSKJLVW7X2PROD with BILLS
2 

•S 2909 IS

1 amended by inserting after section 36B the following new 

2 section: 

3 ‘‘SEC. 36C. ONSHORE WIND MANUFACTURING CREDIT. 

4 ‘‘(a) ALLOWANCE OF CREDIT.—There shall be al5 lowed as a credit against the tax imposed by this subtitle 

6 for any taxable year an amount equal to the sum of— 

7 ‘‘(1) the onshore wind manufacturing invest8 ment credit, and 

9 ‘‘(2) the onshore wind manufacturing produc10 tion credit. 

11 ‘‘(b) CREDIT AMOUNTS.—For purposes of this sec12 tion— 

13 ‘‘(1) MANUFACTURING INVESTMENT CREDIT.— 

14 ‘‘(A) IN GENERAL.—The onshore wind 

15 manufacturing investment credit for any tax16 able year is an amount equal to 30 percent of 

17 the qualified investment for such taxable year. 

18 ‘‘(B) QUALIFIED INVESTMENT.—The qual19 ified investment for any taxable year is the 

20 basis of any onshore wind manufacturing prop21 erty placed in service in the United States by 

22 the taxpayer during such taxable year. 

23 ‘‘(C) ONSHORE WIND MANUFACTURING

24 PROPERTY.—The term ‘onshore wind manufac25 turing property’ means property— 


pbinns on DSKJLVW7X2PROD with BILLS
3 

•S 2909 IS

1 ‘‘(i) which is used predominantly to 

2 manufacture or process any qualified on3 shore wind component, 

4 ‘‘(ii) with respect to which deprecia5 tion (or amortization in lieu of deprecia6 tion) is allowable, and 

7 ‘‘(iii) which— 

8 ‘‘(I) is constructed, recon9 structed, retooled, upgraded, ex10 panded, or erected by the taxpayer, or 

11 ‘‘(II) which is acquired by the 

12 taxpayer, if the original use of such 

13 property commences with the tax14 payer. 

15 ‘‘(2) MANUFACTURING PRODUCTION CREDIT.— 

16 ‘‘(A) IN GENERAL.—The onshore wind 

17 manufacturing production credit is an amount 

18 equal to the applicable rate with respect to any 

19 qualified onshore wind component or related ve20 hicles or specialty equipment which— 

21 ‘‘(i) is produced by the taxpayer at a 

22 qualified manufacturing facility, and 

23 ‘‘(ii) during the taxable year— 

24 ‘‘(I) is sold by the taxpayer to— 


pbinns on DSKJLVW7X2PROD with BILLS
4 

•S 2909 IS

1 ‘‘(aa) an unrelated person, 

2 or 

3 ‘‘(bb) a related person for 

4 the use of such person in their 

5 trade or business (with the excep6 tion of any trade or business re7 lated to resale of such onshore 

8 wind component without any sub9 sequent modification, assembly, 

10 or integration into a project), or 

11 ‘‘(II) if not sold, is placed in 

12 service or operation by the taxpayer 

13 or any other person. 

14 ‘‘(B) APPLICABLE RATE.—The applicable 

15 rate is— 

16 ‘‘(i) with respect to any qualified on17 shore wind component, the total rated ca18 pacity (expressed in watts) of the com19 pleted onshore wind turbine for which the 

20 component is designed, multiplied by— 

21 ‘‘(I) in the case of any hub, 2 

22 cents, 

23 ‘‘(II) in the case of any tower, 3 

24 cents, 


pbinns on DSKJLVW7X2PROD with BILLS
5 

•S 2909 IS

1 ‘‘(III) in the case of any blade, 4 

2 cents, and 

3 ‘‘(IV) in the case of any nacelle, 

4 5 cents, and 

5 ‘‘(ii) with respect to any related vehi6 cles or specialty equipment, an amount 

7 equal to— 

8 ‘‘(I) 30 percent of the sale price 

9 of such vehicles or equipment, in the 

10 case of vehicles or equipment used for 

11 the transport or installation of ad12 vanced onshore wind technology, and 

13 ‘‘(II) 10 percent of the sale price 

14 of such vehicles or equipment, in any 

15 other case. 

16 ‘‘(C) QUALIFIED MANUFACTURING FACIL17 ITY.—The term ‘qualified manufacturing facil18 ity’ means any new or existing facility— 

19 ‘‘(i) which is located in the United 

20 States, and 

21 ‘‘(ii) which manufactures or assembles 

22 qualified onshore wind components or re23 lated vehicles or specialty equipment. 

24 ‘‘(D) ADVANCED ONSHORE WIND TECH25 NOLOGY.—The term ‘advanced onshore wind 


pbinns on DSKJLVW7X2PROD with BILLS
6 

•S 2909 IS

1 technology’ means any onshore wind energy 

2 production technology whose land-based system 

3 components are of a size that cannot be trans4 ported on the Interstate Highway System due 

5 to the minimum vertical clearances of bridges. 

6 ‘‘(E) PRODUCTION AND SALE MUST BE IN

7 TRADE OR BUSINESS.—Any qualified onshore 

8 wind component produced and sold by the tax9 payer shall be taken into account under sub10 paragraph (A)(ii)(I) only if the production and 

11 sale described in subparagraph (A) is in a trade 

12 or business of the taxpayer. 

13 ‘‘(c) DEFINITIONS.—For purposes of this section— 

14 ‘‘(1) QUALIFIED ONSHORE WIND COMPO15 NENT.— 

16 ‘‘(A) IN GENERAL.—The term ‘qualified 

17 onshore wind component’ means any blade, 

18 tower, nacelle, or hub which is a component in 

19 an onshore wind energy system producing elec20 tricity which— 

21 ‘‘(i) is rated at more than 150 kilo22 watts, or 

23 ‘‘(ii) is certified by an accredited cer24 tification agency to meet Standard 9.1– 

25 2009 of the American Wind Energy AssoVerDate Sep 11 2014 04:04 Oct 07, 2021 Jkt 029200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S2909.IS S2909

pbinns on DSKJLVW7X2PROD with BILLS
7 

•S 2909 IS

1 ciation or the Small Wind Turbine Stand2 ard (SWT–1) of the American Clean 

3 Power Association and American National 

4 Standards Institute. 

5 ‘‘(B) DEFINITIONS.— 

6 ‘‘(i) BLADE.—The term ‘blade’ means 

7 an airfoil-shaped blade which is responsible 

8 for converting onshore wind energy to low 

9 speed rotational energy. 

10 ‘‘(ii) TOWER.—The term ‘tower’ 

11 means a tubular steel, composite, concrete, 

12 or steel lattice structure which supports an 

13 onshore wind turbine. 

14 ‘‘(iii) NACELLE.—The term ‘nacelle’ 

15 means the assembly of the drive train and 

16 other tower-top components of an onshore 

17 wind turbine, excluding the blades and 

18 hub, within their cover housing. 

19 ‘‘(iv) HUB.—The term ‘hub’ means 

20 the component which connects the blades 

21 to the main shaft of the onshore wind tur22 bine. 

23 ‘‘(2) RELATED VEHICLES OR SPECIALTY EQUIP24 MENT.—The term ‘related vehicles or specialty 

25 equipment’ means any vehicles, aircraft, or related 


pbinns on DSKJLVW7X2PROD with BILLS
8 

•S 2909 IS

1 logistical equipment which are purpose-built or ret2 rofitted for purposes of the transport, installation, or 

3 maintenance of onshore wind components and on4 shore wind turbines. 

5 ‘‘(d) SPECIAL RULES.—For purposes of this sec6 tion— 

7 ‘‘(1) SECRETARY.—Any reference to the Sec8 retary means the Secretary in consultation with the 

9 Secretary of Energy. 

10 ‘‘(2) LABOR CONDITIONS.—Any property shall 

11 be treated as onshore wind manufacturing property, 

12 and any facility shall be treated as a qualified manu13 facturing facility, only if all laborers and mechanics 

14 employed by all contractors and subcontractors in 

15 the manufacture of such property or at such facility 

16 are paid wages at rates not less than the prevailing 

17 rates for work of a similar character in the locality 

18 as determined by the Secretary of Labor, in accord19 ance with sections 3141 through 3144, 3146, and 

20 3147 of title 40, United States Code. 

21 ‘‘(3) CERTAIN RULES MADE APPLICABLE FOR

22 INVESTMENT CREDIT.—For purposes of the onshore 

23 wind manufacturing investment credit determined 

24 under subsection (b)(1), rules similar to the rules of 

25 subsections (a) and (c) of section 50 shall apply. 


pbinns on DSKJLVW7X2PROD with BILLS
9 

•S 2909 IS

1 ‘‘(4) COORDINATION WITH GENERAL INVEST2 MENT CREDIT.—No credit shall be allowed under 

3 section 48C with respect to any facility taken into 

4 account for purposes of the credit under subsection 

5 (b)(2), or any facility with respect to which any 

6 qualified investment is taken into account for pur7 poses of the credit under subsection (b)(1). The 

8 credit under this section shall be allowed without re9 gard to whether any qualified investment (as defined 

10 in section 48C(b)) with respect to a facility has been 

11 taken into account for purposes of section 48C in 

12 any preceding taxable year. 

13 ‘‘(e) REGISTRATION.— 

14 ‘‘(1) IN GENERAL.—No credit shall be allowed 

15 under this section unless the taxpayer registers with 

16 the Secretary, at such time, in such form and man17 ner, and subject to such terms and conditions, as the 

18 Secretary may by regulations prescribe. Such reg19 istration shall include a demonstration of compliance 

20 with the requirements of subsection (d)(2). 

21 ‘‘(2) REGISTRATION IN EVENT OF CHANGE IN

22 OWNERSHIP.—Under regulations prescribed by the 

23 Secretary, the taxpayer (other than a corporation 

24 the stock of which is regularly traded on an estab25 lished securities market) shall be required to re-regVerDate Sep 11 2014 04:04 Oct 07, 2021 Jkt 029200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S2909.IS S2909

pbinns on DSKJLVW7X2PROD with BILLS
10 

•S 2909 IS

1 ister under this subsection if after a transaction (or 

2 series of related transactions) more than 50 percent 

3 of ownership interests in, or assets of, the taxpayer 

4 are held by persons other than persons (or persons 

5 related thereto) who held more than 50 percent of 

6 such interests or assets before the transaction (or 

7 series of related transactions). 

8 ‘‘(3) DENIAL, REVOCATION, OR SUSPENSION OF

9 REGISTRATION.—Rules similar to the rules of sec10 tion 4222(c) shall apply to registration under this 

11 section. 

12 ‘‘(4) INFORMATION REPORTING.—The Sec13 retary may require— 

14 ‘‘(A) information reporting by any person 

15 registered under this subsection, and 

16 ‘‘(B) information reporting by such other 

17 persons as the Secretary deems necessary to 

18 carry out this section. 

19 ‘‘(f) TERMINATION.— 

20 ‘‘(1) ONSHORE WIND MANUFACTURING INVEST21 MENT TAX CREDIT.— 

22 ‘‘(A) IN GENERAL.—Except as provided in 

23 subparagraph (B), in the case of any qualified 

24 investment with respect to onshore wind manu25 facturing property which is placed in service 


pbinns on DSKJLVW7X2PROD with BILLS
11 

•S 2909 IS

1 after December 31, 2028, the amount of the 

2 credit determined under subsection (b)(1) 

3 (without regard to this subsection) shall be re4 duced by— 

5 ‘‘(i) in the case of property placed in 

6 service in calendar year 2029, 30 percent, 

7 ‘‘(ii) in the case of property placed in 

8 service in calendar year 2030, 65 percent, 

9 and 

10 ‘‘(iii) in the case of property placed in 

11 service after December 31, 2030, 100 per12 cent. 

13 ‘‘(B) CERTAIN PROGRESS EXPENDITURE

14 RULES MADE APPLICABLE.—Rules similar to 

15 the rules of subsections (c)(4) and (d) of sec16 tion 46 (as in effect on the day before the date 

17 of the enactment of the Revenue Reconciliation 

18 Act of 1990) shall apply for purposes of sub19 paragraph (A). 

20 ‘‘(2) ONSHORE WIND MANUFACTURING PRO21 DUCTION TAX CREDIT.—No credit shall be allowed 

22 under subsection (b)(2) in the case of any qualified 

23 onshore wind component first sold or placed in serv24 ice after December 31, 2030.’’. 


pbinns on DSKJLVW7X2PROD with BILLS
12 

•S 2909 IS

1 (b) CLERICAL AMENDMENT.—The table of sections 

2 for subpart C of part IV of subchapter A of chapter 1 

3 of the Internal Revenue Code is amended by inserting 

4 after the item relating to section 36B the following new 

5 item: 

‘‘Sec. 36C. Onshore wind manufacturing credit.’’. 

6 (c) CONFORMING AMENDMENT.—Paragraph (2) of 

7 section 1324(b) of title 31, United States Code, is amend8 ed by inserting ‘‘, 36C’’ after ‘‘36B’’. 

9 (d) EFFECTIVE DATE.—The amendments made by 

10 this section shall apply to— 

11 (1) any qualified investment (as defined in sec12 tion 36C(b)(1)(B) of the Internal Revenue Code of 

13 1986, as added by this section) with respect to prop14 erty placed in service beginning after August 1, 

15 2021, and 

16 (2) qualified onshore wind components (as de17 fined in section 36C(c)(1) of such Code, as so 

18 added) first sold or placed in service after August 1, 

19 2021. 

Æ 


pbinns on DSKJLVW7X2PROD with BILLS