Renewables – Bipartisan Bill introduced to extend the Solar ITC by an additional year to 2025

Earlier this week, on 11-19-20, a bipartisan bill was introduced in the House of Representatives which would make the renewable energy investment tax credit (ITC) temporarily refundable for projects that break ground by the end of 2021 and would extend the ITC phasedown by one year.

Titled “The Solar Jobs Preservation Act of 2020“, the bill is intended to offset the effects of the COVID-19 pandemic on solar development.

Under the proposed legislation, the ITC would be reduced to 10% by Jan. 1, 2025, a year later than under current law.

We will continue to track this bill and see how the Senate reacts to it, but given the bi-partisan support we would expect to see a positive reaction, that said, who knows given this year.

Duane Morris has an active team of lawyers who engage in the renewables and investment tax credit space. If you have any questions or thoughts, please contact Brad A. Molotsky, Sheila Slocum Hollis, Patrick Morand, Brad Thompson or any of the Duane Morris lawyers you regularly engage with.

Be well and stay safe.