Disclaimer::: the author of this BLOG doing research MAY or MAY NOT have a financial interest in everything discussed. Never EVER buy a stock based on some research report you read on some random internet site or research site. Of course after watching the shenanigans of GE and other financial and banking groups, its hard to trust anybody in money or banking or finance or Washington based on their ability to finance a Road to Nowhere with 700 Billion.

not since 1985 has a production tax credit been passed for Small Wind Turbines!! Congrats!!!

Small Wind Turbine Federal Tax Credit is Law
Today Congress passed legislation, the Emergency Economic Stabilization Act of 2008, H.R. 1424, that includes a new federal-level investment tax credit to help consumers purchase small wind turbines for home, farm, or business use. A few hours ago, President Bush signed the bill into law. Owners of small wind systems with 100 kilowatts (kW) of capacity and less can receive a credit for 30% of the total installed cost of the system, not to exceed $4,000. The credit will be available for equipment installed from today through December 31, 2016. For turbines used for homes, the credit is limited to the lesser of $4,000 or $1,000 per kW of capacity.

“We thank Congress for recognizing and supporting small wind systems as an important contributor toward energy security and a cleaner environment. This credit will help individuals cut their electric bills while combating global warming and reducing our importation of fossil fuels in a tangible way,” says Ron Stimmel, Small-Wind Advocate with the American Wind Energy Association.

This legislation marks the first federal incentive for small wind systems since 1985. Industry members say the credit could foster U.S. market growth of 40% or more annually for the largely American based industry.

amazing, not since 1985 has a ”’small wind turbine”’ tax credit been passed!!!
Small Wind Turbine Federal Tax Credit is Law
Today Congress passed legislation, the Emergency Economic Stabilization Act of 2008, H.R. 1424, that includes a new federal-level investment tax credit to help consumers purchase small wind turbines for home, farm, or business use. A few hours ago, President Bush signed the bill into law. Owners of small wind systems with 100 kilowatts (kW) of capacity and less can receive a credit for 30% of the total installed cost of the system, not to exceed $4,000. The credit will be available for equipment installed from today through December 31, 2016. For turbines used for homes, the credit is limited to the lesser of $4,000 or $1,000 per kW of capacity.

“We thank Congress for recognizing and supporting small wind systems as an important contributor toward energy security and a cleaner environment. This credit will help individuals cut their electric bills while combating global warming and reducing our importation of fossil fuels in a tangible way,” says Ron Stimmel, Small-Wind Advocate with the American Wind Energy Association.

This legislation marks the first federal incentive for small wind systems since 1985. Industry members say the credit could foster U.S. market growth of 40% or more annually for the largely American based industry.

AWEA FINANCE WORKSHOP WILL DISCUSS OUTLOOK FOR WIND POWER AMID TURMOIL OVER PTC, FINANCIAL MARKETS

Finance and wind power leaders will gather in New York next week for a Wind Power Finance & Investment workshop held by the American Wind Energy Association (AWEA), at a time when the credit crisis is roiling financial markets, the extension of the production tax credit (PTC) for wind power is in the balance, and financial and energy issues feature prominently on the national political agenda.

“Despite the recent uncertainty over the PTC extension which is putting the industry through the wringer and turmoil in the financial markets which could compound challenges, wind power is bursting with promise for the future, especially if given a long-term fighting policy chance,” said AWEA Executive Director Randall Swisher.

“The workshop is occurring at the crossroads of some very critical events in time,” said Edward Zaelke, partner at Chadbourne & Parke, LLP, and the workshop’s program chair. “These are the current banking crisis, the November election, and the ticking of the Congressional clock on the opportunity to extend the renewable energy tax credits that expire at the end of this year.

“Amidst the general turmoil, there remains a great deal of interest in renewable energy. It’s important to note that industries that perform well through tight economic stretches tend to perform even better when recovery occurs. Once the financial dust settles, I would not be surprised to see renewable energy be one of the key leaders in the new economy. ”

NEW YORK — The American Wind Energy Association on Friday hailed the passed of renewable energy tax credits included in the $700 billion financial bailout package. A similar alternative energy measure passed the Senate last week. “We salute members of Congress in both parties who fought under difficult conditions to keep the renewable energy production tax credit and small turbine investment tax credit on the agenda until the very end, and then pushed them across the finish line,” said Greg Wetstone, senior director of governmental and public affairs at the American Wind Energy Association. The AWEA noted that the measure finally passed both sides of Congress after facing 17 Senate and House floor votes this year.

Copyright © 2008 MarketWatch, Inc.

I have gone LONG on APWR as of Thursday and the stock IMMEDIATELY dropped 18%. Why did I go long??? Power needs of China are not going to go away.

A-Power (Nasdaq:APWR) Appears to Be Way Oversold
Oct 02, 2008
Author: SCP Editor

October 2, 2008 – A-Power’s (Nasdaq:APWR) stock has gotten surprisingly cheap lately, closing yesterday at $8.73, down from the $20 level at the beginning of September. We think that the stock’s selloff is way overdone, taking into consideration the business fundamentals and outlook for the company in both the wind energy and energy management markets in Asia.

The news for A-Power has only been positive –

· September 26 – announced a $195 million contract for distributed power generation for Jilin Glad Group in China which will be completed in October, 2009. Management said that this contract brings the company’s distributed power backlog to more than $800 million. Note – the company’s market cap, as of yesterday, was less than $300 million.

· September 23 – announced a sales contract for the sale of five 2.7MW wind turbines to China National Automation Control System Corp. These are the first produced at A-Power’s new wind turbine production facility in Shenyang, China. A-Power is in late discussions with customers that have signed LOI’s for an additional 375 wind turbines – representing more than $700 million in sales.

· August 25 – management reaffirmed guidance for 2008 of $35 million to 45 million in earnings, up from $16.5 million in 2007.

We are forecasting $40 million in income this year for A-Power, which puts the stock trading at a multiple of 7x P/E for 2008, and we are forecasting $430 million in revenue for FY08, which puts the stock trading at a multiple of 0.6x P/S. We think that this, again, reflects that the stock is tremendously oversold. Our target trading range of $30 for A-Power is based on an assumed P/E of 15x FY08 earnings, which we think is absolutely reasonable given the company’s strong growth rate, clean balance sheet and business outlook in the Asia region. The company has demonstrated on a quarter-after-quarter basis, that it is executing both sides of its business and we see no reason to believe that will not continue.

As such, we think that this is a rare opportunity to buy, at a significant discount, an emerging leader in the massive China wind and distributed power markets.

Here is what the analysts covering the stock think:

· August 26 – Roth Capital rates as a BUY with a target of $35

· August 22 – Dougherty & Company rates as a BUY with a target of $33

· July 24 – Jesup & Lamont rates as a BUY with a target of $39

Important Disclosure Note: SCPEditor is LONG APWR. The information and trades provided here and in the comments are for informational purposes only and are not a solicitation to buy or sell any of these securities. Investing involves substantial risk and you should evaluate your own risk levels before you make any investment. Past results are not an indication of future performance.