New Legislation Would Extend ITC, PTC through 2050 in Areas Hit by Nuclear, Coal Shutdowns

Tuesday, October 13, 2020 - 11:30am

Rep. Salud Carbajal, D-Calif., introduced legislation to create and expand renewable energy tax credits. The Energy Opportunity Zones Act of 2020 would designate regions within 120 miles of a coal power plant that has ceased operations or a nuclear power plant that has ceased operations or is scheduled to do so within six years of the enactment of the legislation as energy opportunity zones. The designation would also apply to communities that can demonstrate how changes in the nuclear or coal economy have resulted in job losses. The bill would extend the renewable energy production tax credit (PTC) and investment tax credit (ITC) until 2050 in those areas for existing technologies. The legislation would also modify and extend through 2050 the Internal Revenue Code (IRC) Section 25C energy-efficiency tax credit, the IRC Section 45L homebuilders high-efficiency tax credit and the IRC Section 179D energy-efficient commercial and multifamily building credit and would create a new tax credit for offshore wind and energy storage. Rep. Carbajal released a two-page summary of the bill.

The future of the ITC and PTC will be among the issues discussed at the Novogradac 2020 Financing Renewable Energy Tax Credits Fall Conference, Nov. 5-6.