Between US$7 and US$9 billion in transferable tax credit transactions were made last year in the US, according to a report from Crux, an ecosystem for entities to transact and manage transferable tax credits.
First Solar has entered into two separate tax credit transfer agreements to sell US$500 million and up to US$200 million of advanced manufacturing production tax credits to finance tech company Fiserv.
Last week the US Department of Treasury and Internal Revenue Service (IRS) released guidance on tax credits included in the Inflation Reduction Act (IRA), which allow state and local governments, nonprofits and other entities to benefit from renewable energy tax breaks.
Clean energy trade bodies ACP, ACORE and SEIA have denounced an attempt by Republicans to roll back the Act, which has spurred unprecedented investment in the US market.
The US Treasury Department yesterday released guidance on the bonuses included in the Inflation Reduction Act (IRA) for historically fossil-fuel producing ‘energy communities’.
A provision under the US Inflation Reduction Act allowing for federal tax credit transfers for solar projects is creating whole new market, giving developers flexibility to sell such credits to third parties to capture maximum value or reduce risk, says a legal and commercial advisor.
The Inflation Reduction Act (IRA) is set to boost investment into US renewable energy deployment and manufacturing from US$64 billion in 2022 to US$114 billion by 2031, according to research from Wood Mackenzie, though a mismatch between solar deployment demand and domestic manufacturing capacity may see the sector’s domestic profile lag behind.
The US Department of the Treasury and the Internal Revenue Service (IRS) have requested stakeholder input on the climate and clean energy tax incentives included in the country’s Inflation Reduction Act (IRA).
The US could exceed 50GW of solar manufacturing capacity by the end of this decade with the right application of incentives included in the country’s newly passed Inflation Reduction Act.
US solar players have hailed the country’s landmark Inflation Reduction Act (IRA), signed into law by President Joe Biden this week, as a once-in-a-generation legislation that lays the groundwork for accelerated PV deployment and a significant ramp-up in domestic manufacturing.
