World trade panel sides with India vs US in renewables tiff

GENEVA – A World Trade Organization dispute panel has ruled in favour of India in its complaint against the United States over subsidies and rules applied by eight U.S. states in the renewable energy sector, such as for solar and wind power.

The ruling made public Thursday hands a defeat to the U.S. government, which has been pressuring the WTO’s highest appeals body. President Donald Trump has in the past called the Geneva-based body “unfair” to the United States.

The panel found that California, Connecticut, Delaware, Massachusetts, Michigan, Minnesota, Montana, and Washington had improperly given tax or financial incentives to domestic producers of renewable energy systems, components or “inputs” made in those states.

It said the states’ measures gave preferential treatment to domestic products over imported products.

India didn’t specify the amount of alleged damage of the practices.

A U.S. official said in an email that several of the panel’s findings were “effectively moot” because the measures had already expired, while some measures included “small financial disbursements” and others had not provided funding for at least a decade.

The two sides have up to 60 days to appeal.