Leaders from rural electric cooperatives in southwest Colorado will convene this week for a pivotal virtual roundtable discussion on the significant positive impacts the Inflation Reduction Act (IRA) has had and will continue to have on the state.
“The tax credits and direct payments has given rural electric cooperatives the financial mechanisms needed to be able to invest in clean energy projects that were previously out of reach," said Rachel Landis, La Plata Electric Association Co-op Board Member. "Through tax credits, grant programs, and forgivable loans, we have been able to build out projects that keep energy costs affordable for our members. This is a win-win for our community and the environment.”Details for the Roundtable:
Who: Katie Stewart, Facilitator, Rocky Mountain Values, Corey Robinson, Empire Electric Co-op Board Member, and Rachel Landis, La Plata Electric Association Co-op Board Member
What: Virtual Roundtable on the significant positive impacts the Inflation Reduction Act (IRA)
Where: ZOOM LINK
When: Thursday, August 29, 2024 @ 2pm MT
Key impactsof the Inflation Reduction Act on Colorado’s Rural Electric Co-Ops:
The Inflation Reduction Act, signed into law by the Biden-Harris Administration, represents a landmark achievement in the fight against climate change, delivering unprecedented investments in clean energy and infrastructure across the nation. For Colorado's rural electric co-ops, the IRA has been a game-changer, providing crucial tax credits that will enable these co-ops to transition to more sustainable energy sources while keeping costs low for the people they serve.
Direct Payment of Tax Credits: Under the IRA, rural electric cooperatives, which are tax-exempt entities, can now receive key tax credits as direct payments. This provision has allowed Colorado’s co-ops to access much-needed financial resources without the complications of traditional tax credits. These funds are being reinvested into local communities, driving the development of renewable energy projects and modernizing energy infrastructure.
Clean Energy Investment Tax Credits (ITC): The IRA has expanded and extended the Investment Tax Credit, offering up to a 30% credit for qualifying investments in renewable energy projects such as wind, solar, and energy storage. For Colorado’s co-ops, this has meant greater financial incentives to build and expand clean energy facilities, helping to reduce reliance on fossil fuels and lower greenhouse gas emissions.
Energy Community and Low-Income Community Bonuses: The IRA also provides additional bonuses for projects located in energy communities and low-income areas. These bonuses have empowered Colorado’s rural co-ops to prioritize clean energy projects in communities that have historically been dependent on fossil fuel jobs or have faced economic challenges. As a result, these communities are seeing new opportunities for economic growth and job creation through clean energy development.
Support for Workforce Development: The IRA encourages clean energy project developers to meet strong labor standards, which has led to the creation of high-quality jobs in the clean energy sector. Colorado’s co-ops are now better positioned to support local workforce development, ensuring that the benefits of clean energy investments are felt broadly across the state.
Comments