Starting today, eligible applicants can participate in this groundbreaking program through the program’s new applicant portal. DOE is accepting applications for the initial application window over the next 30-days for the 2023 program year. After the initial 30-day application window closes, applications for 2023 will be considered on a rolling basis.
The Low-Income Communities Bonus Credit Program provides a 10 or 20 percentage point credit increase to the investment tax credit for qualified solar or wind energy facilities that are less than five megawatts (AC). In combination with the Section 48 Investment Tax Credit, eligible projects can increase their tax credits up to 50%.
The program allows for up to 1.8 gigawatts of eligible solar and wind capacity to be allocated in credits each year. Treasury and the IRS established the program under section 48(e) to promote cost-saving clean energy investments in low-income communities, on Indian land, as part of affordable housing developments, and benefitting low-income households.
Projects that meet the DOE requirements should apply for the Credit Program here. Submissions that meet DOE requirements could be rewarded the Bonus Credits as soon as November 20th, 2023.