What is Next for Renewable Energy Project Financing?

By Brian Seaman

Cleantech Law Partners

The Treasury § 1603 program was authorized in 2009 as part of the American Recovery and Reinvestment Act, and supported $38.6B of investment in renewable power development, and 16.9 GW of new installed renewable energy .  But with the 2011 expiration of the program – and the associated grants of up to 30% of qualifying project costs – developers, investors, and environmentalists are looking to the federal government to make minor, common-sense changes to current tax code to accelerate private investment in the renewable energy industry.  The most promising changes which have been proposed would affect existing investment vehicles like Master Limited Partnerships and Real Estate Investment Trusts.

Bill to extend production tax credit for 10 years

Patterned on Successful WWII "War Bond" Model; U.S. Representative Bob Filner Leading the Charge in Congress for New Means Allowing Americans to Invest in Renewable Energy.

WASHINGTON, Aug. 2, 2012 /PRNewswire-USNewswire/ -- A new way of continuing the Production Tax Credit (PTC) and other clean energy incentives for a decade is set out today in the "Clean Energy Victory Bonds Act of 2012," which would allow Americans to invest  billions of dollars to help develop clean energy and energy-efficient technologies.

The bill, H.R., 6275, is sponsored by U.S. Representative Bob Filner, joined by 10 co-sponsors, and supported by the nonprofit Green America and more than 40 other institutions.