Most investment in solar and wind power involves drawing cash from investors who use those technologies' tax credits. The Inflation Reduction Act removes some barriers and doubts about the tax credits, signaling a rise in their use. But nothing is ever simple, and investors are bringing vital questions about timing...
At a deal level, tax equity never looked easy. At an institutional economy-nudging level, its harder still. This installment sets out some structural blocks and ways over them.
It's not just limited or general. Parties in a tax credit transaction weigh decisions about exposure, timing, and benefit. This story clarifies the stations along the journey.
In 2021, tax equity investments drove one in five dollars of renewable energy investment. This article series aims to explain what exactly tax equity is, its history, and its current impact on the energy transition.
In San Francisco, youth are protesting the climate crisis as pledges emerge in Glasgow. (Photo outside BlackRock's San Francisco office by Peg Hunter, via Flickr Creative Commons.)
A bumper crop of climate pledges and plans land in your inbox, but how many make it to your term sheet? This investigation follows a few global finance pledges, setting them against capital needs and focusing on partnerships and local efforts as units of action.
(Photo by Don and Suzan Weller, via Flickr Creative Commons.) As the sun sets over Waterford, CT, an expert proposes a price floor in wholesale electricity markets.
As New England states progress towards decarbonization goals, the electricity spot market will see offers from solar and wind generators that incur no marginal cost. That can harm reliability and put some operators hastily out of business. To retain existing resources and the stability they bring, we need to set...
(Photo by Oran Viriyincy via Flickr Creative Commons.) Where can the 20th Century grid consistently carry 21st Century energy across regional lines?
To someone facing a wildfire in California or bunking in a shelter after a flood in Louisiana, what does power supply from a far corner of the country have to do with survival? Quite a bit, as this tale of grid interconnection, will show. Connections of supply from one electric...
On an unspoiled site or an unloved one, a renewable-energy installation navigates tricky economics.
Solar and wind projects are essential to the energy evolution, but most of them take up a lot of space. This story looks at the two main sorts of land developers can use and walks through economics, strategies, and public policies that can foster solar and wind while attending to...
(Courtesy Governor Phil Murphy's Flickr account.) A new capacity market framework for PJM could make offshore wind from this segment of New Jersey more competitive more quickly.
Now, to advance the buildout of renewable energy, FERC should set a process and timeframe for adopting a new market structure. That structure should be adaptable and transparent, advance state offshore wind policy goals, meet consumer clean energy and equity goals, and maintain reliability.
