GOVERNORS URGE COMMENCE CONSTRUCTION STANDARD FOR ITC
The Western Governors’ Association (WGA) this week wrote a letter urging Congress to modify the Section 48 renewable energy investment tax credit (ITC) by basing eligibility on a “commence construction” standard rather than the current “placed in service” standard. In their letter, the governors say the change would maximize the effectiveness of the ITC; support continued domestic energy production and job creation; and attract more investment to the industry by reducing risk for project sponsors and investors. WGA says taxpayer dollars would remain protected under a commence construction standard because the ITC would still only be claimed once a project is placed in service.
Tune into the Oct. 29 Tax Credit Tuesday podcast to hear more about the proposal.