Treasury Department, IRS Release Final Guidance on Technology-Neutral Tax Credits

The U.S. Department of the Treasury and the Internal Revenue Service (IRS) released final guidance on the technology-neutral tax credits, the Clean Electricity Production Credit (Section 45Y) and the Clean Electricity Investment Credit (Section 48E). Following is a statement from Ray Long, President and CEO of the American Council on Renewable Energy (ACORE), on the final rules:

“ACORE applauds the Treasury Department and the IRS for releasing a final rule that modernizes the federal tax code. At long last, we have a well-designed, technology-neutral, level playing field for energy tax policy that will lead to significant economic growth, job creation, and lower costs for American consumers.

“The technology-neutral tax credit simplifies the tax code and is expected to cut the average annual electric bill by $29-74 per household in the next six years and $42-95 by 2035. This amounts to tens of billions of dollars in electricity cost savings for U.S. families. Research also shows how technology-neutral tax credits will spur an additional $336 billion in investment, 237 gigawatts of clean energy deployment, and a net gain of 97,000 jobs over the next 15 years in comparison to a scenario where these tax credits are not present.

“This is truly a game-changing policy, and we’re looking forward to the affordable, reliable, clean electricity that it will help enable.”

ACORE | http://www.acore.org