Tax Reform Explained. A quick turnaround for this important issue, a podcast on the tax reform bill. On December 6th, I was joined on stage at SolarWakeup Live! DC by Greg Jenner, a tax lawyer at Stoel Rives, and Audrey Louison, a project finance attorney at Mintz Levin. Greg did a great job of explaining the various issues, from the corporate AMT, tax rates, BEAT and business income allocations while Audrey translated the potential effects on the partnership contracts. As someone that has had to live inside these agreements, I tried to get the information you need to think about as you raise capital for your projects – this was not a typical fluffy interview. Thanks to Audrey and Greg for bringing their knowledge to the SolarWakeup family.
The Goose Rule. Duke Energy is making a big deal as they acquire the remaining shares of REC Solar. Part of their commentary is how they plan on servicing the C&I segment. The irony is thick here as Duke brings a PPA case in North Carolina to the supreme court to stop a church from being able to buy solar energy while benefitting from the same policy in areas outside of its service territory. The rules of the monopoly should require consistent regulatory positions from the utilities. The deregulated side of the house benefits from the cost of capital provided by ratepayers but does not have to live within the same rules and that needs to change. I would like to see a regulatory body require the deregulated side of a monopoly to live by the same rules.
US Manufacturing. As the USTR held a hearing on the 201 issue to decide on tariffs, First Solar was updating its investors on the impressive Series 6 module. While First Solar has a factory in Ohio, it is also exempt from the 201 case which only pertains to crystalline technology. As First Solar has come out in support of tariffs, it is also adding another 1.2GW factory…in Vietnam. Great for America, I guess, as an American company innovates and develops in the US while manufacturing around the world.
GE Power. GE is active in renewable energy on the hardware and finance sides of the market. They are well aware that traditional power is changing and new energy sources like wind, solar, energy storage and efficiency are replacing the load and generation. Now the impact is felt widely by the power unit with layoffs which is unfortunate given the many attempts by GE to lead in the solar space.
Energy Lobbying. Name 4 companies that lobbied hard for tax reform and I wouldn’t have listed NextEra as one of them but Vox has reporting stating it was. I’d like to hear what solar lobbyists would say about that.
Sponsored by Mintz Levin. Mintz Levin is an Am Law 100 law firm with a nationally recognized Energy & Sustainability Practice that has completed more than 500 transactions across energy sectors totaling over $7.5 billion since 2006.
- SolarWakeup Live!: E028 – Tax Reform Bill Explained by DC Lawyers from Stoel Rives and Mintz Levin
- CleanTechnica: Duke Energy Acquires California-Based REC Solar
- PV-Tech: First Solar building second 1.2GW production plant in Vietnam
- Washington Post: Demand for alternative energy sparks need for General Electric to cut 12,000 jobs
- Vox: The 4 companies that lobbied most on tax overhaul — and what they got for it
- E&E News: Will Xi help Trump re-enter the Paris Agreement?
- Utility Dive: Both sides in solar trade case make their last public stand before Trump’s final decision
- EDF: A roadmap for a clean, modern grid – The 6 areas that should guide our efforts
Opinion
Have a great day!
Yann