TORONTO and KNOXVILLE, Tennessee, Aug. 17, 2022 (GLOBE NEWSWIRE) -- Solar Alliance Energy Inc. (‘Solar Alliance’ or the ‘Company’) (TSX-V: SOLR, OTCQB: SAENF) is pleased to provide an update on the Inflation Reduction Act (“IRA”), which was signed into law yesterday by U.S. President Joe Biden.
“The Inflation Reduction Act is the largest climate bill in U.S. history and provides substantial long-term support to the solar and energy storage industry,” said CEO Myke Clark. “For Solar Alliance and our customers, the new legislation provides significant savings on solar systems through increased tax credits that can reach as high as 60% of a project’s capital costs. As a company that is 100% focused on the U.S. solar industry, Solar Alliance is well positioned to continue our growth in the commercial and utility solar sector.”
The climate initiative includes long-term solar and storage tax incentives, investments in domestic solar manufacturing and other critical provisions that will help decarbonize the electric grid with significant clean energy deployment. Specifically:
- The Investment Tax Credit (“ITC”) is extended to 2033 and raised to 30% from the current 26%. The ITC is a dollar-for-dollar credit against a company’s tax liability, reducing the cost of solar systems.
- There are additional investment tax credits for U.S. content, project location and low-income support that can increase the ITC to 60% for eligible projects.
- Stand-alone energy storage also becomes eligible for this credit.
- The ITC becomes available for costs of interconnection for projects with a net output of less
than 5 MW. The majority of Solar Alliance’s solar system sales, and projects we own, are below this threshold and will benefit from this inclusion. - Project owners will be allowed to sell most energy-related tax credits to other companies without having to resort to complicated tax equity structures. For the type of projects Solar Alliance is developing to own and operate, this provision could reduce transaction costs and make the process of monetizing tax credits much more streamlined.
“This climate initiative is aimed at reducing greenhouse gas emissions by 40 percent below 2005 levels by 2030 through a series of initiatives that would directly benefit solar consumers. This legislation aligns perfectly with our growth strategy and will help support jobs and clean energy deployment in the U.S.,” concluded Clark.
Myke Clark, CEO
| For more information: |
Solar Alliance Sales (865) 309-4674 info@solaralliance.com Investor Relations Myke Clark, CEO 416-848-7744 mclark@solaralliance.com |
About Solar Alliance Energy Inc. (www.solaralliance.com)
Solar Alliance is an energy solutions provider focused on commercial and industrial solar installations. The Company operates in Tennessee, Kentucky, North/South Carolina and Illinois and has an expanding pipeline of solar projects in the United States. Since it was founded in 2003, the Company has developed $1 billion of renewable energy projects that provide enough electricity to power 150,000 homes. Our passion is improving life through ingenuity, simplicity and freedom of choice. Solar Alliance reduces or eliminates customers' vulnerability to rising energy costs, offers an environmentally friendly source of electricity generation, and provides affordable, turnkey clean energy solutions.
Statements in this news release, other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute Forward-looking statements. The words “would”, “will”, “expected” and “estimated” or other similar words and phrases are intended to identify forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, level of activity, performance or achievements to be materially different than those expressed or implied by such forward-looking information. Such factors include but are not limited to: uncertainties related to the ability to raise sufficient capital, changes in economic conditions or financial markets, litigation, legislative or other judicial, regulatory and political competitive developments and technological or operational difficulties. Consequently, actual results may vary materially from those described in the forward-looking statements.
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