Q&A With Abigail Ross Hopper Of SEIA On Energy Storage And The ITC

By Frank Andorka, Senior Correspondent

The investment tax credit (ITC) has been one of the most successful methods for supporting solar development at the federal level for nearly the past decade. Under its provisions, solar consumers can take a 30% tax credit on their tax returns if they install solar electricity (though under a 2015 extension, the amount of the credit starts to go down starting in 2020.

As energy storage has become more of a factor in people’s decisions to go solar, however, there’s been a growing movement that would add energy storage projects into the ITC as a method of encouraging the growth of this ever more important market.

To that end, the Solar Energy Industries Association (SEIA), alongside a broad coalition of energy trade and advocacy organizations, sent a letter to Congress asking it to to modify the tax code to include energy storage as an eligible technology for the ITC.

SolarWakeup reached out to Abigail Ross Hopper, president and CEO of SEIA to find out more.

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SolarWakeup (SWup): Why now?

Abigail Ross Hopper (ARH): Why not now? It is important for our grid, has strong bipartisan Congressional support and represents a big opportunity for clean energy, particularly solar. We know there is going to be tax legislation moving in the lame-duck session, and we think this is the perfect time to get this fix done.

SWUp: Is there a bill to do this already in the works?

ARH: The bill we’re urging Congress enact is the Energy Storage Tax Incentive and Deployment Act of 2017 (S. 1868/HR 4649).

SWup: What fix are you looking for specifically?

ARH: We are urging Congress to fix the investment tax credit in Sections 48 and 25D of the tax code to include energy storage as an eligible technology.

SWup: What do you think the chances of passage are?

ARH: We know from our visits with members from the top 100 solar districts that there is broad bipartisan support for applying the ITC to storage, and we believe it has a very good chance of still being included in legislation this year.

SWup: What impact do you think this would have on the solar industry going forward?

ARH: Many of our companies are storage companies too. This is a common-sense bill that will encourage investment, jobs and accelerated deployment of solar plus storage projects across the country. It’s a no-brainer.

SWup: Are you seeing situations where not having ITC eligibility is inhibiting deals from getting done?

ARH: Yes. For example, for utility-connected storage (Sec. 48) or community solar (Sec. 25D), where the storage technology is in front of the meter, the current requirement that 75% of the electricity comes from storage serves as a disincentive for investment in solar + storage. Eliminating this would make tax equity easier to obtain.

This would also allow retrofits to qualify, and currently they only do under very specific conditions.

State-Level Solar Data Provides Hours Of Fun

By Frank Andorka, Senior Correspondent

What Happened: The Solar Foundation released its follow-up to the National Solar Jobs Census 2017 in the form of its interactive state map, which:

provides a remarkably detailed look at how solar is affecting the lives of people in your Congressional District.
offers a historical look at the data for the same area.
gives more granular detail on how solar is providing jobs and economic impacts on people – which can be used to inform lobbying efforts.

SolarWakeup’s View: Well, I know how I’ll be spending every waking moment this weekend – looking at The Solar Foundation’s (TSF) state-level solar data on their interactive state solar map (hey, I’m practically an elderly shut-in, don’t judge).

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I remember the first time they released this information. I literally spent hours looking at Cuyahoga County, where I live in Ohio. Specifically, I looked at the 11th District (which in The Hunger Games produced the fruit of Panem, which is clearly not happening in Cleveland, though I live across from an area that USED to be an apple orchard and is now a medical center … but I digress) and poured over the numbers so I’d be better prepared to talk solar with my state and federal representatives on the subject.

Look, I’ve talked about this before, but the solar industry does an incredibly poor job of mobilizing the general public to fight its fights on the state and local level. But when I look at this map, I’m confounded by why that is.

This could be such a powerful tool to mobilize the Solar Army I’ve written about before. The information from this map proves solar is having tangible, real-life effects in almost every Congressional district in the country, and if you don’t think politicians will listen to their constituents if their offices are flooded with pro-solar calls, you’re mistaken. We’ve already seen it work on other issues in the country. It can work for solar, too.

(If you’re listening, Andrea Luecke, the only thing that would make this map even MORE spectacular is if, when you clicked on your Congressional District, it provided you the opportunity to contact your U.S. Representative from that page. Oh, and Senators, too. Get on that for next year, would you?)

Now if you’ll excuse me, I’m going to get my time sucked right out of my day. I’ve got a new shiny state-level solar data map from TSF with which to play.

More:

State-Level Solar Data Map

National Solar Jobs Census

The Solar Foundation

SolarWakeup Live! Video: Rebuilding Puerto Rico’s Electric Grid with Congresswoman Gonzalez-Colon

In this episode of SolarWakeup Live! I interview Puerto Rico’s only representative in Congress, Congresswoman Gonzalez-Colon about the state of the electric grid in Puerto Rico after the devastation caused by Hurricane Maria. Gonzalez-Colon explains what the future was supposed to be in Puerto Rico with legislation she sponsors as the Speaker of the House in PR before coming to DC.

Gonzalez-Colon outlines her vision for PREPA and how to restore credit to the energy market in Puerto Rico. She has been busy bringing members of the House and Senate to Puerto Rico to visit the devastation and keep the Americans living without power (for over 90 days now) at the front of mind.

You can help as well through the Solar Foundations by visiting solarsaveslives.org

Join us on January 31st in New York and look out for future events across the Country.

SolarWakeup Live! Video: Tax Reform Bill Explained by DC Lawyers from Stoel Rives and Mintz Levin

In this episode of SolarWakeup Live! I talk about the current Tax Reform Bill with Audrey Louison from Mintz and Greg Jenner from Stoel Rives. The tax reform bill was in conference committee at the time of this recording and had several issues that impacted the solar industry. The corporate AMT, a lower corporate tax rate and the BEAT provision. I walk through each of the items with Audrey and Greg, get an explanation (because nobody understood the BEAT provision) and how it impacts solar project financing going forward.

Greg has been around tax law for many years, including as a tax counsel for the senate finance committee when the last major tax reform passed in 1986 and Audrey has completed over 500 project transaction. This bill will have major impacts to the way you present projects to your clients and investors and this episode helps guide you through that process with a bit more knowledge. This podcast was recorded in front of a live audience at SolarWakeup Live DC.

Join us on January 31st in New York and look out for future events across the Country.