California Legislature approves two-year extension for solar project tax exclusions
On Tuesday, the California State Legislature announced it had approved a two-year extension of a property tax exclusion for solar projects.
The extension will provide stability to solar companies facing uncertainty around project development, authorities said, and allow them to continue to help the state meet its climate targets.
“The Legislature’s action to extend the solar property tax exclusion is a critical step to ensure California remains at the forefront of America’s clean energy transition,” said Rick Umoff, senior director and counsel, California, at the Solar Energy Industries Association. “Since the state instituted the exclusion, California’s solar market has grown to be the largest in the nation, employing over 70,000 people and driving more than $70 billion into local economies statewide.”
Umoff said the legislation would keep those companies on projects within California.
“This near-term extension of the property tax exclusion will provide companies with much-needed certainty to keep building solar and storage projects to help California meet its reliability and clean energy challenges,” he said. “The solar and storage industry is grateful to Senator Hertzberg and clean energy champions in both the Senate and the Assembly for getting this done before the exclusion expires and companies take their projects to neighboring states. We’re urging Governor Newson to sign this into law to keep critical clean energy investments in the Golden State.”
