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STUDY: SOLAR ITC PAYS FOR ITSELF

Friday, July 20, 2012 - 7:00AM

The U.S. Partnership for Renewable Energy Finance (US PREF) yesterday released a study that says that the investment tax credit (ITC) for solar energy projects is more than offset by the tax revenues generated in leases and power purchase agreements (PPA). US PREF’s “Paid in Full” reports that a $300,000 commercial solar credit can create for the federal government a $677,627 nominal benefit in lease and PPA scenarios during a 30-year period. Additionally, the report said that the ITC provides a 10 percent internal rate of return to the federal government and has enabled financing mechanisms that generate a positive return for the government.

For questions about the ITC, contact Stephen Tracy at (415) 356-8000 or at [email protected].

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