Starting at 9:00 am ET on May 28, 2024, you can submit applications for the U.S. Department of Energy’s Low-Income Communities Bonus Credit Program. This program offers extra financial incentives for certain solar and wind projects.
Here’s how it works:
- Baseline Credit: All qualifying solar and wind facilities get a 30% federal Investment Tax Credit.
- Bonus Credit: You can get an additional 10% or 20% bonus on top of that baseline credit.
- 10% Increase: For projects in low-income communities or on Tribal land.
- 20% Increase: For projects in qualified low-income residential buildings or low-income economic benefit projects.
- Eligibility: Your solar or wind facility must have a maximum net output of less than five megawatts (AC).
To take advantage of this bonus, apply before your facility is up and running. If you’re planning a solar project in 2024, submit your application before construction begins!
Application and Review Process
- Initial Application Window closes on June 27, 2024, at 11:59 pm ET.
- Following the 30-day period, applications will continue to be accepted on a rolling basis. DOE will continue to review applications and provide recommendations to the IRS in the order they are received.
- The DOE will review applications and recommend projects to the IRS. The IRS will allocate credits for up to 1.8 gigawatts of eligible solar and wind projects annually.
For more details and to apply, visit the DOE program homepage.
Additional Resources
Use the custom map to check if your solar project qualifies for other incentives like the Energy Community Tax Credit Bonus or the Appalachian Solar Finance Fund. Just enter your location to see what benefits you might be eligible for! The Appalachian Solar Finance Fund offers financial and technical support for solar projects in coal-impacted areas of Central Appalachia. For more information and to apply, visit solarfinancefund.org.