Sign Up For Novogradac Industry Alert Emails

Renewable Energy Tax Credits News Briefs - August 2013

On June 27, Rep. Jan Schakowsky, D-Ill., introduced H.R. 2539, the Prioritizing Energy Efficient Renewables (PEER) Act. If enacted, the bill would permanently extend the renewable energy production tax credit (PTC) for wind, geothermal, hydro and marine power. It would also eliminate the tax credit for intangible drilling costs, the domestic manufacturing tax credit for oil and gas, and the percentage depletion credit for oil and gas wells. A copy of the bill is available at www.energytaxcredits.com.

***

Energy and Natural Resources Committee member Sen. Mark Udall, D-Colo., on June 26 introduced the Solar Uniting Neighborhoods (SUN) Act. The bill, S. 1225, would amend the Internal Revenue Code of 1986 to provide that solar energy property does not need to be located on the property for which it is generating electricity in order to be eligible for the residential energy efficient property credit. Under current federal law, homeowners are only eligible for the 30 percent residential renewable energy tax credit when they install panels on an existing principal residence. Supporters of the bill note that shade from trees or other structures, building architecture or permitting sometimes make the installation of solar panels on a home impractical. If enacted, the SUN Act would expand the tax credit to allow for investment in off-site solar energy properties, like community solar farms. The bill can be downloaded from www.energytaxcredits.com.

***

H.R. 2502, the Renewable Energy Parity Act of 2013, was introduced June 25. If passed, the bill would amend the Internal Revenue Code of 1986 to extend the investment tax credit (ITC) under Section 48 for certain property under construction. Introduced by Rep. Mike Thompson, D-Calif., H.R. 2502 would amend the language related to the ITC to mirror that for PTC under Section 45. If enacted, H.R. 2502 would provide that renewable energy projects would need to begin construction before January 2017 rather than be placed in service by that date to be eligible for the ITC. The bill can be viewed at www.energytaxcredits.com.

***

The Qualifying Renewable Chemical Production Tax Credit Act of 2013, S. 1267, was introduced in June. The bill would reduce taxes for producers of certain renewable chemicals, which supporters say would help commercialize homegrown technology and build new biorefineries in the United States. The legislation also provides renewable chemical procedures access to production tax credits currently available for other renewable energy products. In a statement released June 28, the Biotechnology Industry Organization (BIO) thanked Sen. Debbie Stabenow, D-Mich., for introducing the bill. BIO represents more than 1,000 biotechnology companies, academic institutions, state biotechnology centers and related organizations. The bill is available at www.energytaxcredits.com.

***

On June 10, Wells Fargo released an environmental finance report stating that in 2012, it contributed $6.4 billion in loans and investments to environmental financing. The report concluded that Wells Fargo is on track to meet its environmental financing commitment of $30 billion to renewable energy systems by 2020. The company has contributed a total of $21 billion so far. The report also identified more than 300 projects in the company’s portfolio that produced about 16 terawatt-hours of electricity in 2012. In addition, the report notes that Wells Fargo also provided $900 million in loans and investments for low-income communities or housing properties. The report is available at www.wellsfargo.com.

***

The American Council on Renewable Energy (ACORE), a nonprofit organization working toward clean, renewable energy for the United States, on June 25 released the study, “Strategies to Scale-Up U.S. Renewable Energy Investment.” The study focuses on the role of policy at the state, federal and regulatory levels in regards to private capital in the renewable energy industry during the last decade. The paper evaluates policies that would increase private capital and works out ways that state and federal policies can collaborate to create a policy framework for renewable energy financing. The study also analyzes how state policies have affected private investment and explores the role of federal policies in private investment. The study is available at acore.org.

***

The Interstate Renewable Energy Council (IREC) released an updated version of its model rules for shared renewable energy programs in June. A collaborative effort with The Vote Solar Initiative, IREC says the revised model program rules reflect the previous intent – to assist stakeholders in developing shared renewables programs to broaden renewable energy access to more consumers – and also include updates and changes. As part of the update, IREC revised its guiding principles for shared renewable energy programs. Updates include an explanation of the similarities and differences between shared renewable programs and other related programs and a discussion of the energy produced by a shared renewable energy facility. IREC also replaced the term “community renewables” with “shared renewable energy” or “shared renewables,” to reflect that the programs enable multiple consumers to share one renewable energy facility. The rules can be viewed at www.irecusa.org.

***

On June 20, the Solar Energy Industries Association (SEIA) and the BlueGreen Alliance announced a new partnership to work toward building a clean energy economy to power America. Under the new partnership, SEIA, the national trade association for the U.S. solar energy industry, and the BlueGreen Alliance, a national partnership of labor unions and environmental organizations, will work together on communication efforts, events, policy and research activities that promote the growth of solar energy markets and jobs throughout the United States.

***

The Energy Alternatives Division of Cupertino Electric Inc. announced on June 19 the completion of two solar generation projects in Huron, Calif. The projects total 30 megawatts (MW), with one 20MW solar project and one 10MW project. Both are part of a series of projects designed for Pacific Gas and Electric Company (PG&E). Cupertino Electric Inc. designs and installs custom electrical solutions for clients, and has designed and built systems for PG&E since 2011 under PG&E’s 500MW Solar PV program, a clean energy initiative that currently includes 250MW of utility-owned solar generation. Cupertino Electric began construction of the two sites in late 2012 and they were completed in May.

***

On June 24, Bryan J. Hannegan joined the Energy Department’s National Renewable Energy Laboratory (NREL) as associate laboratory director for energy systems integration. Hannegan will lead NREL’s energy integration research programs, which address issues in the energy industry, including generation, transmission, distribution and end-use. Prior to working at NREL, Hannegan worked at Electric Power Research Institute (EPRI), where he was vice president for environment and renewable energy, vice president for environment and director, then vice president for environment research and development. Hannegan also worked for the White House in several roles during the Bush administration: as chief of staff for the Council on Environmental Quality, as special assistant to the president for economic policy and as associate director for energy and transportation at the council. Hannegan earned a doctorate in Earth system science and a master of sciences degree in a mechanical and aerospace engineering from the University of California, Irvine. He also earned a bachelor of sciences degree in meteorology from the University of Oklahoma.

***

SunEdison Inc. and Wells Fargo & Company announced on June 26 that Wells Fargo subsidiaries will invest more than $100 million of tax equity financing in renewable energy in 2013 and 2014. The investment will go to fund U.S. solar photovoltaic power projects developed by SunEdison. Since 2007, more than 200 solar projects have been financed with more than $950 million of tax equity and construction financing. The projects are located in thirteen states and in Puerto Rico.

Journal Category:

Renewable Energy Tax Credits

Authors:

Novogradac

Learn more about Novogradac's expertise and many services