Renewable Industry Urges Congress to Modify the Tax Code to Include Energy Storage

The US Solar Energy Industries Association (SEIA), alongside a broad coalition of energy trade and advocacy organizations, filed a letter to urge the US Congress to modify the tax code to include energy storage as an eligible technology for the investment tax credit (ITC).  Energy storage systems are critical to modernization of the electric grid. The National Governors Association has underscored the multiple benefits of energy storage to save utilities, businesses, and households money while enhancing grid reliability and resilience.  Energy storage systems are also fuelneutral and help any generation resource connected to the grid become more efficient, productive, and competitive.

Energy Storage Gets Its Day in Congress

The House Energy and Commerce Committee invited experts to testify on what federal storage policy should look like.

Energy storage experts got to ask what their country could do for them Wednesday.

The House Energy and Commerce Committee convened a hearing on “the role of energy storage in the nation’s electricity system,” which gave industry insiders the rare chance to share what they’ve been thinking before a national audience.

IRS Issues Favorable Tax Credit Guidance for New Solar Projects

“In the absence of this commence-construction guidance, tax equity partners were growing cautious about project risk.”

The Internal Revenue Service released a new guidance Friday that establishes when the construction of a solar facility starts to qualify for the solar Investment Tax Credit.

The guidance, Notice 2018-59, provides two methods for determining the "commence-construction" date: 1) starting physical work of a significant nature or 2) meeting the "5 percent safe harbor test" by incurring 5 percent or more of the total cost of the facility in the year that construction begins.

IRS Rules Energy Storage Upgrade to Solar ITC Eligible

In a Private Letter Ruling published on Friday, the IRS said that a battery added to a solar pv system a full year after solar installation was completed is eligible for a the full 30% ITC – as long as it is 100% powered by solar.

The IRS published a Private Letter Ruling last Friday, responding to a request to determine whether, the cost of installing energy storage to be integrated into a residential PV system would qualify as a “qualified solar electric property expenditure” eligible for the Investment Tax Credit (ITC).

Tax Law Changes Could Chill Solar, Wind Investments

Tax equity has become a critical part of the capital stack for solar and wind projects in the US, effectively letting large corporations shrink their tax bills by providing cheap capital for new renewable energy projects developed by third parties.

But the tax reform package weaving its way through Congress could shrink the appetites of those investors. And that would leave developers and project sponsors assuming more of the cost -- and risk -- to build up the nation's renewable energy capacity in the coming years. Leaders in the industry say those changes could slow the growth of renewable energy nationwide.

Solar Doesn’t Need Any More of Uncle Sam’s Help

Federal support will undoubtedly languish under Trump. But that’s OK, argues Noah Kirsch.

What does the confirmation of new EPA head, Scott Pruitt, mean for the solar industry?

Pruitt, considered a long-time ally of the fossil fuel industry, has promised to quickly withdraw the Clean Power Plan rule developed by the Obama administration in 2014.

Congress Passes Tax Credits for Solar and Wind: ‘Sausage-Making at Its Most Intense’

The biggest federal policy development of the year for renewables plays out on Congress’ last day of work in 2015.

 

Lawmakers in the House and Senate passed a spending package today that includes multi-year extensions of solar and wind tax credits, plus one-year extensions for a range of other renewable energy technologies.

The pair of bills, which included tax extenders and $1.1 trillion in funding to keep the government running for the next year, passed hours before lawmakers adjourned for the holidays.

Congress Is on the Verge of Passing Multi-Year Extensions for Solar and Wind Tax Credits

Lawmakers reached a compromise as part of a spending package. Will there be enough votes to pass it this week?

 House Republicans unveiled legislation late Tuesday night that included multi-year extensions of tax credits for solar and wind. 

The credit extensions were attached to a broad set of spending measures as part of a negotiation with Democrats over lifting the ban on exports of U.S. crude oil.

Legislative Developments on Federal Renewable Energy Tax Credits

Now that a government shutdown was temporarily averted, both chambers face significant legislative challenges. Among the legislative challenges are several bills that need action before pending expiration dates. One bill that must be addressed is a tax extenders bill, which may impact the renewable energy industry.