Supporters of wind and solar energy were urging Congress on Wednesday to renew a federal grant program credited with jump-starting renewable power projects nationwide. The incentive program is set to expire at the end of the month unless Congress acts -- but the odds of that happening narrowed when the initiative was left out of a tax cut package developed by the Obama administration and congressional Republicans. Under the grant program, companies can nab direct cash payments from the Treasury Department that cover up to 30 percent of the cost of building qualified renewable projects. The initiative was created as part of last year's stimulus package in response to concerns that the economic downturn had caused traditional renewable energy financing tied to investment and production tax credits to dry up. Because that tax credit financing market hasn't rebounded, the incentive program is 'the most important policy for continued growth of the renewable energy industry in the United States,' said Rhone Resch, president of the Solar Energy Industries Association in a conference call with reporters. Tens of thousands of jobs tied to the construction of wind farms, solar arrays and geothermal operations financed by the incentive program hang in the balance, Resch said. In Texas -- the nation's leader for wind power generation -- more than 3,000 jobs 'in the manufacturing pipeline' for new projects are threatened, said Denise Bode, CEO of the American Wind Energy Association. 'Without continuation of this policy, we will absolutely have layoffs ahead,' Bode said. Faced with the program's possible demise, renewable energy executives are making personal pleas to lawmakers, and industry lobbyists are circulating on Capitol Hill with fact sheets that show what projects are benefiting in every state. 'We've pretty much dropped everything as an industry' to fight for the program, Resch said, adding: 'It really is an all-out effort.' If Congress doesn't reauthorize the grant program, it would mean a second blow to the renewable energy sector, which already failed this year to convince lawmakers to require that utilities must derive more of their electricity from the wind, sun and other easily replenished sources. That would have helped drive demand for renewable energy and helped it compete with lower-cost power sources, such as natural gas. Sen. Max Baucus, D-Mont., the head of the Senate Finance Committee, had advanced a proposal to extend the program for one year, at an estimated pricetag of $1.3 billion. But it was left out of the tax cut plan developed by the White House earlier this week. That package would temporarily renew Bush-era tax cuts, in exchange for extending unemployment benefits and some tax provisions aimed at middle- and low-income households. 'It's great that the administration and Congress is supporting additional unemployment benefits, but unfortunately many people currently employed by the (renewable power industry) will be standing in line applying for those benefits,' if the grant program isn't renewed, Resch said. The renewable grant program faces opposition from some lawmakers who are reluctant to reauthorize any initiatives borne out of the $789 billion stimulus package. Some Republican lawmakers also have complained that spending on renewable energy leverages an industry that could not survive on its own and otherwise can't compete with oil, gas and coal. Julie Blunden, vice president of public policy for San Jose, Calif.-based Sunpower Corp., suggested the grant program could threaten the firm's plans to expand to a larger facility and open a new office in Austin, Texas. 'We are in the process of growing our business,' she said. 'The Treasury grant is a threshold policy to continue to move that forward.' If the program isn't renewed, renewable energy developers can only qualify for the funding if they begin construction on projects by the end of the year (and complete construction by 2016). That deadline has prompted a mad dash to kick off work on planned projects nationwide, as companies 'try to meet the construction deadline,' Blunden said. 'We're racing to do that.' (Jennifer A. Dlouhy can be reached at 202-263-6400 or at the e-mail address jdlouhy(a)hearstdc.com) 