Deputy Secretary of the Treasury Wally Adeyemo led a roundtable discussion on April 27 with nearly 40 small climate businesses and nonprofit developers in the clean energy industry to discuss the Low-Income Communities Bonus Credit Program. The program aims to incentivize investment in underserved communities and ensure that all Americans benefit from the growth of the clean energy economy.
Assistant Secretary for Tax Policy Lily Batchelder, Chief Inflation Reduction Act Implementation Officer Laurel Blatchford, Counselor for Racial Equity Janis Bowdler, and staff from the Treasury Climate Hub, Office of Tax Policy, and Department of Energy also participated in the conversation.
The competitive bonus credit, designed as a boost on top of the existing 30% Investment Tax Credit, will make the transition to wind and solar energy more affordable for families and communities throughout the country. This program is expected to support thousands of new projects per year.
During the roundtable, Treasury Department officials highlighted the key goals of the program, such as "increasing the adoption of and access to renewable energy in low-income and tribal communities; encouraging new market participants in the clean energy economy; and providing social and economic benefits to communities that have often been overlooked and underinvested in," said Deputy Secretary Adeyemo. Officials also discussed how the program would fuel economic development in these communities by supporting local small businesses and nonprofits.
The discussion was part of an ongoing series of roundtables held by the Treasury Department since the Inflation Reduction Act was passed in August. In addition to hearing from clean energy businesses and nonprofits, the Department has convened roundtables with environmental justice advocates, small business owners and advocates, labor leaders, climate change organizations, renewable energy investors, and civil rights leaders to gather input and foster collaboration in addressing the economic and social challenges faced by underserved communities in the clean energy transition.
The Low-Income Communities Bonus Credit Program is expected to play a crucial role in fostering equitable growth in the clean energy economy and promoting renewable energy adoption in underserved areas across the nation.