Altus Power, Inc., the premier independent developer, owner and operator of commercial-scale solar facilities, issued a statement in support of the Inflation Reduction Act, recently signed into law by President Biden. Altus expects to utilize many of the provisions included in the new law. In addition, Altus Power believes the law provides significant indirect benefits to its business by incentivizing investment in domestic solar generation and battery storage supply chains, providing the potential for U.S. manufacturing to compete with offshore production.
“We welcome the Act’s focus on domestic clean energy manufacturing and look forward to increased opportunities to purchase components for our solar assets domestically.”
“Our industry can now further strengthen investments in new solar, battery storage and EV charging thanks to the direct and long-term support provided by the Inflation Reduction Act,” commented Lars Norell, Altus Power’ Co-Chief Executive Officer. “We welcome the Act’s focus on domestic clean energy manufacturing and look forward to increased opportunities to purchase components for our solar assets domestically.”
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Gregg Felton, Altus Power’s Co-Chief Executive Officer added, “We believe this law will significantly enhance the economic advantage of our renewable energy solutions for our customers and thereby substantially expand our addressable market opportunity.”
Altus Power highlights the following provisions as most significant to its opportunity set:
- Ten-year extension Investment Tax Credit (ITC) for solar, increased from 26% up to 30% of project costs
- New ten-year ITC for battery storage will accelerate adoption significantly
- Additional 20% ITC available for community solar projects serving at least 50% low-to-moderate income customers
- Additional 10% ITC available for projects built with at least 40% domestic content (rising to 55% starting in 2027)
- Interconnection costs now included in ITC-eligible project basis
Altus Power, based in Stamford, Connecticut, is the premier commercial-scale clean electrification company, serving commercial, industrial, public sector and community solar customers with an end-to-end solution. Altus Power originates, develops, owns and operates locally sited solar generation, energy storage, and EV charging infrastructure across 18 states from Vermont to Hawaii.