ITC (Investment Tax Credit)
The Investment Tax Credit (ITC) is one of the most important federal policy mechanisms to support the deployment of solar energy and Battery Energy Storage Systems (BESS) in the United States. Under the Inflation Reduction Act (IRA), the ITC provides a tax credit for energy storage installations on commercial properties.
💡 Key Benefits of the ITC
- 30% Base Credit: The IRA restored the base ITC to 30% for commercial projects that meet labor standards or are under 1 MW.
- Standalone Storage Eligibility: Standalone Battery Energy Storage Systems (BESS) with a capacity of 5 kWh or more are now fully eligible for the 30% ITC.
- Bonus Adders: Additional 10% credits are available for Domestic Content, Energy Communities, and Low-Income Communities.
📽️ Video Overview
Learn more about how the Investment Tax Credit applies to commercial energy projects:
(Using a secure online video link prevents compilation issues and allows immediate sample playback in the Wiki).
📍 Qualifying Energy Communities Map
Many projects qualifying for the ITC Energy Community bonus are located in specific designated regions. Explore our regional project development map below: