FHREEC is honored to be a partner with a coalition of community-based organizations. We are coordinating with the community organizations promoting energy equity in disadvantaged communities. Together we are applying for funding for equitable distributed solar development.
Solar and Energy in the Inflation Reduction Act
9 August 2022
Aug 8, 2022 – Science Friday on Friday described the gains anticipated in this new Climate Change legislation:
Residential Tax Credit Changes
Credit for Residential Clean Energy (25D)
Extends credit through 2034 for residential solar, wind, geothermal, and biomass fuel.
Maintains the previous credit rate but adjusts the project dates. Applies a 30% credit for projects started between 2022 and 2032. Credit decreases to 26% for projects started in 2033 and 22% for projects started in 2034.
Expands eligibility to battery storage technology.
Credit for Energy Efficiency Home Improvements (25C)8
Extends credit for energy efficiency home improvements through 2032.
Increases credit from 10% to 30%.
Replaces lifetime cap on credits with a $1,200 annual credit limit, including $600 for windows and $500 for doors. Increases limit to $2,000 for heat pumps and biomass stoves. Removes eligibility on roofs.
Updates language to reflect advances in energy efficiency.
Expands credit to cover the cost of home energy audits up to $150 and electrical panel upgrades up to $600.