As conferences crank back up, the chatter about tax equity is increasing. Below are snippets from two recent renewable energy conferences, and it appears the market is still challenging. Fortunately we have more than enough tax equity capacity, so let us know if you need funding in 2021!
Tax equity stress isn’t going away, yet renewable projects still need investment (via pv magazine usa) The strain on the tax equity market for renewable energy projects is not expected to change any time soon, just change its appearance. That was the view of experts who took part in the American Council On Renewable Energy’s (ACORE) Capital Flows and Tax Equity in a Climate-Focused Economy panel discussion on June 15.
Tax Equity Snapshot from Norton Rose Fulbright. Five prominent renewable energy developers spoke at the CLEANPOWER 2021 conference in early June about the current state of the US tax equity market. Many developers struggled in 2020 to find tax equity, even though market volume reached $17 to $18 billion, up from $12 to $13 billion in 2019. Tax equity is a key tool for financing US renewable energy projects. The US government offers tax credits and accelerated depreciation as an inducement to build new renewable energy facilities, but few developers can use these benefits directly. Tax equity is a form of financing against the tax benefits.