Renewable Energy and Green Projects: Stimulus Bill Information
"Green" projects and programs may be another way the federal government is hoping to pull the struggling economy out of the red. The bill provides for billions of dollars of tax relief for qualifying energy and climate change projects through changes in the renewable energy tax credits, the Department of Treasury renewable energy grant program and energy and transmissions appropriations.
Energy Producers: 30 percent tax credit for companies that manufacture advanced energy property, which includes technology for the production of renewable energy, energy storage, energy conservation, efficient transmission and distribution of electricity, and carbon capture or sequestration.
Electricity Producers' Tax Credits: Increases placed in service date for three years for facilities producing electricity from wind, closed loop biomass, geothermal energy, municipal solid waste, and qualified hydropower.
Clean Renewable Energy Bonds: Additional tax credit bonds will be available to finance renewable energy projects.
Qualified Energy Conservation Bonds: Additional tax credit bonds will be available. The bonds were established in the bailout legislation of October 2008.
Investment Tax Credit: Allows temporary election to claim 30 percent investment credit in lieu of the production tax credit. Wind facilities currently qualify for only the production tax credit which is claimed over 10 years. Investors can now realize tax benefits sooner as the credit is claimed over a shorter period of time.
