Renewable Energy Tax Credit for Manufacturers (Personal) (Arizona)
Last modified on February 12, 2015.
Financial Incentive Program
|Name||Renewable Energy Tax Credit for Manufacturers (Personal)|
|Incentive Type||Personal Tax Credit|
|Applicable Sector||Industrial, Manufacturers|
|Eligible Technologies||Solar Thermal Electric, Photovoltaics, Landfill Gas, Wind, Biomass, Anaerobic Digestion, Fuel Cells using Renewable Fuels|
|Energy Category||Renewable Energy Incentive Programs|
|Amount||1 million per year for five years for each renewable energy facility|
|Carryover Provisions||Excess credit may be carried forward for up to 5 years|
|Eligible System Size|| Systems must be at least 20 MW or a typical annual generation of at least 40,000 MWh; |
To qualify for a credit, the taxpayer must make a minimum investment of 300 million in new renewable energy facilities
|Equipment Requirements||At least 90% of the energy produced by the system must be used for self-consumption|
|Maximum Incentive|| 5 million per taxpayer per year;|
Aggregate cap of 10 million per year for all taxpayers combined
|Program Budget||$10 million per year|
|References||DSIREDatabase of State Incentives for Renewables and Efficiency|
SB 1484 of 2014 provides a tax credit for new renewable energy systems that produce energy for self-consumption and are used primarily for manufacturing. Eligible systems must have a capacity of at least 20 megawatts (MW) or have a typical annual generation of at least 40,000 megawatt-hours (MWh). In order to qualify for a tax credit, the taxpayer must invest at least $300 million in new renewable energy facilities. The tax credit is worth $1 million per year for five years for each facility up to $5 million per taxpayer per year.
Taxpayers must first apply to the Department of Revenue on a form prescribed by the Department. The Department will preapprove taxpayers on a first come, first served basis until it has preapproved a total of $10 million credits in each year. Program guidelines and application for preapproval of the credit are available here.
For the purposes of this tax credit, renewable energy includes a variety of biomass resources, solar thermal electric, photovolatics, and wind.
|Contact Name||Darlene Teller|
|Department||Arizona Department of Revenue|
|Division||Office of Economic Research & Analysis|
|Address||1600 W. Monroe|
Authorities (Please contact the if there are any file problems.)
|Authority 1:||SB 1484|
- Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.