OPPORTUNITIES IN ILLINOIS: Inflation Reduction Act & Climate and Equitable Jobs Act
Details
Description
The Inflation Reduction Act of 2022 (IRA) is the largest clean energy initiative in U.S. history. Unique aspects such as the expansion of Section 45 and Section 48 tax credit programs and the “transferability” clause mean there are significant opportunities for manufacturers. For the first time, manufacturers can obtain tax credits that can be transferred to an unrelated party for qualifying clean energy or efficiency projects, if the credits are unable to be used internally. These tax credits can total as much as 50% or more of the qualifying project costs. The Climate and Equitable Jobs Act (CEJA) is comprehensive energy legislation that incentivizes renewable energy development, accelerates electric vehicle (EV) adoption, and expands charging station infrastructure, creates statewide clean energy workforce training programs to ensure our workforce is prepared for the jobs of the future; and equitably supports communities facing energy transitions.
Takeaways:
- What is the Inflation Reduction Act and how does it impact manufacturers
- How to maximize credit value – what are bonus credit adders: domestic content, energy communities, prevailing wage & apprenticeship
- Why complying with prevailing wage and apprenticeship regulations under the IRA is so impactful but also complex
- How are middle market manufacturers impacted? We’ll share some real-world examples.
- How CEJA and Reimaging Electric Vehicles Tax Credits can dovetail w/IRA for Illinois Manufacturers
- Next steps manufacturers should take to fully leverage opportunities within the IRA