Commercial, Solar - September 8, 2022
Three Solar Projects in NY and Massachusetts Launched
Three solar projects produced a total of 16,645,000 kWh of solar energy and reduced GHG emissions by 10,263 tons during their first year of operation.
These solar projects are part of the Fund 6 Portfolio. Two New York community solar projects (the 5 MW Rock Island Road solar project in Gouverneur, NY and the 5.7 MW Bullis Road solar project in Marilla, NY) were completed in the summer of 2022. The third project, a nearly 1 MW qualifying facility project in Bourne, Massachusetts, was completed in December 2021.
Renewable Properties, a developer, owner, and investor in small-scale utility and community solar projects, completed tax equity funding for 11.6 MW of solar projects with KeyState Renewable’s SOLCAP solar tax equity fund for community and regional bank investors.
These projects received tax equity funding, which is a clean energy partner-investor relationship that has enabled the energy transition in the U.S. Many of the incentives in the recently passed Inflation Reduction Act (IRA) utilize tax equity to enable renewable energy development.
The recently passed IRA has provisions that will entice large numbers of mid-size businesses and community banks to deploy capital into renewable energy projects across the U.S. It extends solar and storage investment tax credits (ITCs) for at least 10 more years and retroactively increases the ITC from 26% to 30%, effective Jan. 1, 2022. This extension and expansion of ITCs will result in a significant increase in renewable energy projects being developed and constructed over the next decade.
“Great partners like SOLCAP are imperative for the solar industry to thrive,” said Allan Riska, Chief Investment Officer for Renewable Properties in a statement. “Without tax equity investors, we would be further from accomplishing U.S. climate emission reduction targets. With so many tax equity-based incentives available to investors today, finding consistent tax equity partners can be challenging. That’s why it’s crucial to have strong investor partners like SOLCAP, which allows us to responsibly develop and own projects. Having a long-term and reliable partner is critical to building out more green infrastructure. We look forward to continuing our successful relationship with SOLCAP.”