Clean Energy Strikes It Rich With House Dems’ Tax Proposal

Bracewell’s Tim Urban spoke with Law360 about the House’s proposed expansion of existing clean energy production and investment tax credits, which would allow project developers and investors to reap the full value of the PTC and ITC until 2031.

“It’s one of those things where the amount of investment that will come out of this, as well as the revolutionary technology, will be shocking,” said Urban.

The House proposal also includes a direct pay option for the PTC and ITC that will essentially allow developers or investors to receive their tax credits in a lump-sum rebate.

Urban said that could be crucial for startup companies that are trying to make huge investments in emerging clean energy technologies but won’t have major tax liabilities for years.

“There are all sorts of hazards out there to being a nascent energy technology company,” Urban added. “Anything you can do to start taking away some of these impediments for them … increases the chance that they become commercial.”

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