Corning Inc. to receive $30 million in clean energy tax credit to expand production at new diesel plant in Southern Tier

By WBNG News

Corning Inc. to receive $30 million in clean energy tax credit to expand production at new diesel plant in Southern Tier

December 12, 2013 Updated Dec 12, 2013 at 1:06 PM EDT

(WBNG Binghamton) New York Senator Charles E. Schumer on Thursday announced that Corning Inc. has received a $30 million 48C Tax Credit from the federal Departments of Energy and Treasury to build U.S. capabilities in clean energy manufacturing.

According to a news release from Schumer's office:

This is part of a $150 million package of these credits that will go towards investments in manufacturing facilities by 12 firms. At Corning Incorporated specifically, the massive federal investment will allow the company to expand the manufacturing capacity of its diesel emissions control products facility in Erwin, N.Y. The site development and infrastructure enhancements support domestic and international demand for ceramic substrates and filters for heavy-duty diesel engine, truck, construction and agricultural equipment. This will result in a significant decrease in emissions. Corning’s project benefits the local economy with hundreds of  permanent manufacturing and warehouse jobs and an additional several hundred temporary construction jobs.

In December 2012, Schumer launched a push to extend and expand a clean energy tax credit that is critical to Corning Inc.’s ability to locate their planned heavy-duty diesel manufacturing plant in New York’s Southern Tier. Specifically, Schumer fought to ensure Corning could access the Section 48C of the IRS tax code to apply to projects that reduce emissions of air pollutants, particularly black carbon, from diesel-powered vehicles.

“When companies like Corning develop advanced clean energy technologies that set them up for expansion and success, it is critical that they are rewarded and incentivized to stay in the United States and create jobs. That is exactly what has happened today with this massive $30 million package of federal tax credits, which will allow Corning to expand its manufacturing capacity at its facility in the Town of Erwin.” said Schumer. “I have long fought for Corning to expand and create jobs right here in the Erwin, and this massive investment not only highlights Corning’s stellar track record in diesel emission control, but goes to show that New York and the U.S. are the place for Corning to do business. The local workforce is truly capable and talented, and after today will grow by the hundreds.”

Corning, which makes products to reduce diesel vehicle air pollutants, has already begun expanding in New York and Schumer said that this investment will allow continued growth as countries around the globe toughen emission standards. In order to meet this demand, Corning recently built new manufacturing plant in Corning to host several hundred workers.

The Section 48C program is intended to encourage investments in manufacturing facilities for the production of clean-energy technologies. Specifically, it provides a 30 percent tax credit to support investments in a wide variety of clean-energy products, such as renewable energy equipment and grids, electric and hybrid vehicles and their components, and carbon dioxide capture and sequestration systems.

Corning’s work, Schumer noted, provides massive benefit to the environment and human health. Black carbon is a particulate matter resulting from the incomplete combustion of fossil fuels and biomass. By intercepting and absorbing sunlight, black carbon particles have a strong warming effect in the atmosphere, accelerate the pace of melting in the polar regions, and influence cloud formation. Black carbon particles are also known to have a negative impact on human health. An important aspect of black carbon particles is that their lifetime in the atmosphere is short -- days to weeks.
 

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