NON-PROFITS

The IRA expands opportunities for non-profits, churches, rural electric cooperatives, and other tax-exempt entities to take advantage of cost-saving tax credits to generate and store clean energy, receive financial assistance, and to receive grants.

NON-PROFITS

The IRA expands opportunities for non-profits, churches, rural electric cooperatives, and other tax-exempt entities to take advantage of cost-saving tax credits to generate and store clean energy, receive financial assistance, and to receive grants.

Available Programs & Grants

Grants & Financial assistance

Environmental and Climate Justice Block Grants

3-year grants are available for projects related to climate change and air pollution, including air pollution monitoring, extreme heat risk mitigation, resiliency and adaptation, indoor pollution reduction, and community engagement.
Key Dates
Funds Available
Responsible Agency
Additional Information

USDA Assistance for Rural Electric Cooperatives

Financial assistance including loans to Rural Electric Cooperatives to achieve the greatest reduction of greenhouse gas emissions. Funds can be used to purchase of renewable energy, renewable energy systems, zero-emission systems, and carbon capture and storage systems, to deploy such systems, or to make energy efficiency improvements to electric generation and transmission systems.
Key Dates
Funds Available
Responsible Agency
Additional Information

Renewable Energy

Investment Tax Credit for renewable generation (Before 2025)

30% investment tax credit for solar, small wind, geothermal, fuel cell, microturbine, combined heat and power, waste energy recovery, energy storage technology, and biogas constructed before January 1, 2025.  
Key Dates
Funds Available
Responsible Agency
Additional Information

Production Tax Credit for renewable generation (Before 2025)

Production tax credit of 1.5 cents/kilowatt hour (inflation adjusted to 2.6 cents / kwh) for solar, geothermal, wind, closed- and open-loop biomass, landfill gas, municipal solid waste, hydropower, and marine and hydrokinetic facilities.
Key Dates
Funds Available
Responsible Agency
Additional Information

Emissions-based Investment Tax Credit (2025 and after)

30% technology neutral investment tax credit replaces Section 48 with an emissions-based investment tax credit that is neutral and flexible between clean electricity technologies. Taxpayers choose between a PTC (45Y) and an ITC (48E). 
Key Dates
Funds Available
Responsible Agency
Additional Information

Emissions-based Production Tax Credit (2025 and after)

Technology neutral production tax credit replaces Section 45 with an emissions-based production tax credit that is neutral and flexible between clean electricity technologies. Credit of 1.5 cents/kwh (inflation adjusted projected at 2.8 cents/kwh). Taxpayers choose between a PTC (45Y) and an ITC (48E).
Key Dates
Funds Available
Responsible Agency
Additional Information

Bonus credits for investment tax credits and production tax credits

Under the Inflation Reduction Act, ITC and PTC projects may be eligible for “adder” or bonus credits for projects meeting certain requirements. See additional details for criteria.
Key Dates
Responsible Agency
Additional Information

Tools & Resources

Direct Payment Available in 2023

Starting in 2023, states, schools, and local governments can receive direct payment of investment tax credits and production tax credits for solar, small wind, geothermal, fuel cell, microturbine, combined heat and power, waste energy recovery, energy storage technology, and biogas.
IRS Guidance, Elective Pay and Transferability

Investment Tax Credits and Production Tax Credits

Under the IRA, owners of renewable energy projects will be able to choose between an Investment Tax Credit (ITC) or Production Tax credit (PTC). An ITC reduces the cost of installing clean technologies, while PTCs credit project owners for the production of their clean technologies. Stand-alone storage is only eligible for the ITC. For greater detail on the timelines and credit amounts, see the linked tables:
ITC & PTC TABLES
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Disclaimer: Nothing in this summary should be interpreted as tax or legal advice.