According to foreign media reports, the
energy storage system investment tax credit (ITC) incentive measures have been incorporated into the draft bill of the tax preparation and accounting committee of the US House of Representatives. At the same time, it is planned to extend and renew the investment tax credit (ITC) of
solar power generation facilities. Introduce solar production tax credit (PTC).
The Ways and Means Committee of the US House of Representatives introduced its draft legislation on federal budget reconciliation late last week, including green energy-related parts, and detailed new and existing renewable energy power generation facilities that will be included in the budget resolution. And energy efficiency incentives.
For some time, American clean energy advocates, industry groups, and more and more state and national policy makers have been calling for investment tax credits (ITC) for independently deployed
battery energy storage projects. In March of this year, members of the Oregon Third District of Congress described the Investment Tax Credit (ITC) as "a once-in-a-lifetime opportunity to promote the growth of energy storage deployment and take measures that have been taken long overdue to save the planet."
The draft introduces an investment tax credit (ITC) for battery energy storage systems or other energy storage technologies with an energy storage capacity of 5kWh. They will be eligible for a basic credit rate of 6% or an incentive credit rate of 30%.
The investment tax credit (ITC) will continue until the end of 2031, and will be gradually reduced in 2032 and 2033. According to the current situation, energy storage projects that start construction after 2033 or are not put into use before 2036 will not be eligible for investment tax credit (ITC). Other projects that meet the investment tax credit (ITC) requirements include linear generators, microgrid controllers, and biogas systems.
Energy storage systems that meet the requirements can obtain higher basic credit or incentive credit rates-these will not be affected by the gradual reduction in 2032 or 2033, and will also receive incentives provided by manufacturing in the United States.
As the industry media reported a few days ago, the proposal will extend the solar investment tax credit (ITC) period by 10 years, and its investment tax credit (ITC) tax rate is 30%, but only for projects that meet certain conditions.
At the same time, the incentives for manufacturing in the United States can increase the tax credit for solar power projects to 40%, and the solar production tax credit (PTC) provided will last until 2031, gradually in 2032 and 2033. Reduce by 20%.
There is still a long way to go before these drafts are passed into law by the U.S. Congress.
