The United States has recently passed historic legislation to accelerate the transition to a clean energy economy. The Inflation Reduction Act of 2022 (IRA) provides funding, programs, and incentives to support the development of sustainable energy products, making it the most significant climate legislation in U.S. history. One of the key components of this legislation is the enhancement and extension of Investment Tax Credit (ITC) and Production Tax Credit (PTC) tax credits, which are designed to provide strong incentives for renewable energy projects.
In addition, the IRA offers further incentives for the development of renewable energy on certain sites. For example, up to 10% can be added to PTC or ITC for brownfield sites, which are areas that meet employment percentages relating to coal and areas in which a coal-fired electric generating plant has closed. This is an important incentive, as these sites often have existing infrastructure and assets that can be repurposed for sustainable energy projects.
Another incentive offered by the IRA is the addition of up to 20% to ITC for certain low-income communities, low-income residential buildings, or on American Indian land. This is a particularly important incentive, as it provides a way to ensure that sustainable energy development benefits all communities, not just those with the financial resources to invest in such projects.
98six°, a company specializing in environmental remediation, redevelopment, and reclamation, is particularly well-positioned to take advantage of these incentives. The company’s reclamation model is designed to convert environmentally impaired sites into productive assets that achieve environmental, social, and governance (ESG) objectives for project and community stakeholders. These sites are often located in areas that are eligible for the additional tax credits and incentives provided by the IRA.
By repurposing these sites for sustainable energy projects, 98six° can help to create a more sustainable future for communities across the United States. The company’s sites are perfectly aligned to include sustainable development projects like solar, battery, biomass, hydrogen, and other renewable energy sources. This means that they can serve as hubs for economic and environmental activity in their communities, helping to create jobs and economic growth while also supporting the transition to a cleaner, more sustainable energy future.
In conclusion, the Inflation Reduction Act of 2022 provides significant incentives for the development of sustainable energy products in the United States. By taking advantage of these incentives and repurposing environmentally impaired sites for renewable energy projects, companies like 98six° can help to create a more sustainable future for communities across the country.