DOE Announces Over $4B in Energy Transition Project Tax Credit and Grant Programs
The U.S. Department of Energy (DOE), alongside the Internal Revenue Service (IRS) and Department of the Treasury, has announced plans to implement programs funded by the Inflation Reduction Act and the Bipartisan Infrastructure Law: the Low-Income Communities Bonus Credit Program (48(e)), the Qualifying Advanced Energy Project Credit (48C)), and the Advanced Energy Manufacturing and Recycling Grant Program. Together, these programs will make available more than $4 billion in federal tax credits and grants for energy transition projects in an effort to “accelerate domestic clean energy manufacturing and ensure traditionally underserved communities benefit from clean energy technologies.”
U.S. Senate Committee on Energy and Natural Resources Holds Hearing on Department of Energy IIJA Implementation
On February 2, 2023, the U.S. Senate Committee on Energy and Natural Resources convened a full committee hearing to examine the U.S. Department of Energy (DOE) implementation of the Infrastructure Investment and Jobs Act (IIJA). The sole witness during the hearing was David Turk, DOE Deputy Secretary. During his remarks, Deputy Secretary Turk noted that the IIJA provided more than $62 billion in funding to DOE and requires DOE to develop 60 new programs and expand funding for 12 existing programs. Deputy Secretary Turks stated that as of January 30, 2023, DOE had solicited 50 Requests for Information for public input on IIJA program design, released 38 Funding Opportunity Announcements worth more than $37 billion in initial investments for IIJA programs, conditionally awarded $1.1 billion in zero-emission energy generation credits, and made available $4.25 billion in formula funding for energy efficiency improvements to state and local governments and tribal nations. With respect to electric transmission, the DOE Grid Deployment Office announced its first Request for Proposals regarding the Transmission Facilitation Program, a $2.5 billion revolving fund program that will help develop new large-scale transmission lines and upgrade existing transmission.
