2017 State Legislative Recap
Since inception, ISETA has advocated for a business-friendly regulatory and policy environment to get the solar industry off the ground in Iowa. Early policy successes include the creation of an upfront solar tax incentive in 2012, advocating for continued use and enhancement of a state production tax credit, key involvement in regulatory issues that affect net metering, a big "win" on the legality of power purchase agreements, and more that better enables Iowans to invest in solar systems.
In 2017, the state's budget troubles affected all areas of state government. Legislators from both parties have called for a review of the state's tax credit programs. Several items discussed that would affect solar include:
Solar Investment Tax Credit - As part of broader tax credit reform efforts in the House, the Solar ITC was at risk of being reduced. Working with ally organizations, ISETA and partner organizations were able to preserve the program at the full $5 million level. This incentive has driven 2,524 projects leveraging $12.2 million in private investment, benefiting farmers and businesses in 97 of Iowa's 99 counties.
476c Renewable Energy Tax Credits - The legislature chose to allow the 476c renewable energy tax credits to expire at the end of this year instead of extending the program. This program supports mid-size solar projects, an area with a lot of growth potential in Iowa. ISETA needs your help to work in the interim to showcase legislators the importance of extending 476c or creating a similar production tax credit that will spur additional economic development projects.
Iowa Energy Center - The legislature put a five-year sunset on the Iowa Energy Center, and also moved it from Iowa State University to the Iowa Economic Development Authority.