Combining the Clean Electricity Investment Credit (CEIC) with other federal or state incentives for energy storage involves careful consideration of specific rules and restrictions.
Federal Incentives
- CEIC: This is a new, tech-neutral investment tax credit that replaces older credits for projects placed in service after December 31, 2024. It offers up to 50% of the project cost under certain conditions, such as prevailing wages or domestic content requirements.
- Stacking with Other Federal Incentives: Generally, federal incentives like the Home Efficiency Rebates and Home Electrification and Appliance Rebates cannot be combined for the same single upgrade. However, they can be used for different projects or upgrades within the same property.
State Incentives
- Combining with State Incentives: Most state incentives, such as California’s Self-Generation Incentive Program (SGIP) or Connecticut’s Energy Storage Solutions, can potentially be combined with federal tax credits like the CEIC. However, you must ensure that the total rebated value does not exceed the project cost.
- Specific State Programs:
- California SGIP: Offers up-front rebates for residential and performance-based incentives for non-residential customers.
- Connecticut Energy Storage Solutions: Combines up-front rebates with performance incentives, incorporating equity provisions.
Key Considerations:
- Eligibility: Determine if your project meets the eligibility criteria for both federal and state incentives.
- Stacking Rules: Ensure that combining incentives does not violate any rules or exceed total project costs.
- Consultation: It is advisable to consult with a tax advisor to ensure compliance with all relevant regulations and to maximize available incentives.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/can-the-ceic-be-combined-with-other-federal-or-state-incentives-for-energy-storage/
