Coalition urges tax credit for stand-alone storage investment
A coalition consisting of more than 150 companies and industry groups representing storage, wind, solar, hydro, manufacturing and other sectors recently sent a letter to Congressional leaders in support of The Energy Storage Tax Incentive and Deployment Act (S. 1868 & H.R. 4649).
The letter calls for making stand-alone energy storage systems eligible for a federal Investment Tax Credit (ITC), which would create jobs and help modernize the U.S. electric grid, the coalition wrote.
“As you consider energy tax extenders legislation, we urge you to fix the investment tax credit (“ITC”) in Section 48 and 25 of the tax code regarding energy storage as an eligible technology,” the letter stated. “There is bipartisan, bicameral support for this common-sense bill, the Energy Storage Tax Incentive and Deployment Act (S. 1868 & H.R. 4649), which would ensure a level playing field for energy storage to compete with all other energy resources made eligible for the ITC.”
Under current law, energy storage can only qualify for an ITC when paired with a solar project under certain circumstances.
The American Wind Energy Association (AWEA) signed the letter and issued the following statement.
“Energy storage technology will play an important role as we build an even more affordable and reliable electricity grid for the 21st Century,” Tom Kiernan, CEO of the American Wind Energy Association (AWEA), said. “We’re asking Congress to reduce uncertainty for investors by creating a stand-alone energy storage ITC for which all storage technologies can qualify. A level playing field for the full range of storage technologies will ensure consumers benefit from competition and will boost job-creating investment in infrastructure projects, including new opportunities for wind farm development.”
