Last week, Energy Workforce submitted comments to the U.S. Department of Treasury’s request for information (RFI) to inform the implementation of energy tax benefits passed into law through the Inflation Reduction Act (IRA). These tax credits are for clean energy manufacturing and production of clean energy technologies, many of which are produced by Energy Workforce Member Companies.
The working group specifically identified the provisions impacting “Elective Payment of Applicable Credits and Transfer of Certain Credits” and “Prevailing Wage, Apprenticeship, Domestic Content, and Energy Communities Requirements” as the most impactful to Energy Workforce Member Companies and important to advise Treasury on.
In the official comments, on “Elective Payment of Applicable Credits and Transfer of Certain Credits,” the working group highlighted opportunities with Section 45X, specifically in relation to the manufacturing of eligible components. In the letter informing “Prevailing Wage, Apprenticeship, Domestic Content, and Energy Communities Requirements,” the working group noted the specifics around the domestic content requirement as a top concern for the energy services and technology sector of the industry. In both letters to Treasury, the working group urged regulators to ensure credits are easily attainable for companies that have qualifying projects, and take into account extraneous issues, such as supply chain or labor constraints stemming from the pandemic recovery.
Energy Workforce expects Treasury to release a final rule on these provisions before the end of the year with official guidance for how these credits are defined, the processes of how money can be claimed and who specifically can claim them. Energy Workforce will continue to monitor Treasury and all relevant agencies for opportunities to advise regulators on matters impacting our Member Companies.
If your company is interested in joining Energy Workforce’s Government Affairs Committee, contact SVP Government Affairs & Counsel Tim Tarpley.
Deidre Almstead Kohlrus, Director Government Affairs, writes about industry-specific policies for the Energy Workforce & Technology Council. Click here to subscribe to the Energy Workforce newsletter, which highlights sector-specific issues, best practices, activities and more.