Today, the U.S. Departments of Treasury and Energy announced a second round of project applications for the Advanced Energy Project Tax Credit (48C). The Inflation Reduction Act provided 48C with $10 billion—including $4 billion for communities that have recently lost jobs in the coal sector. The $6 billion in tax credits announced today will strengthen the country’s clean technology supply chains and support emission reduction projects in energy-intensive sectors. Applicants can receive an investment tax credit worth up to 30% of a project’s costs if they offer a prevailing wage and employ from apprenticeship workforce pools. Applicants are required to submit a workforce and community engagement plan detailing how they intend to partner with key community and labor stakeholders and share how the proposed project will create and retain high-quality, good-paying jobs.
More information about the 48C tax credit can be found in this blog post.
Following the announcement, the BlueGreen Alliance issued a statement from Executive Director Jason Walsh:
“President Biden is continuing to deliver on his promise to revitalize U.S. manufacturing to ensure we’re building our clean energy future here in the United States. The 48C tax credit enables and incentivizes manufacturers in the United States to invest in clean technology to drive down emissions in critical sectors like electric vehicles, wind, solar, power grids, batteries, aluminum, and more. And billions of dollars will go toward manufacturing investments that will help revitalize our nation’s coal communities.
“We look forward to the second round of applications and encourage projects to be transparent with community partners as they develop their workforce and community engagement plans.”
