In a significant move towards fostering a sustainable energy future, Advanced Power has announced its latest investment in renewable energy investment tax credits (ITC). This strategic investment is fueled by the company’s dedication to advancing clean and reliable energy solutions and aligns with its vision for a sustainable future.
CEO Tom Spang expressed the company’s commitment, stating, “Advancing a sustainable energy future drives our actions. We are pleased to close this latest transaction, which supports our vision of a clean, reliable energy future.”
The purchase of renewable energy investment tax credits by Advanced Power has been made possible through the 2022 Inflation Reduction Act (IRA). This legislative initiative facilitates the transfer of renewable energy tax credits and aims to accelerate the transition to a clean energy economy while promoting the increased deployment of new, clean electricity resources. Section 6418 of the Internal Revenue Code specifically enables the transfer (sale) of certain renewable energy tax credits from project developers to qualified third parties.
“Advanced Power is a developer, owner, and asset manager of modern power infrastructure and has now made a tax equity investment and completed a tax credit transfer transaction. We are positioned to execute similar transactions soon,” added Spang.
The opportunity for this strategic move was originated and facilitated by Reunion, a technology-enabled finance company specializing in guiding corporate tax teams through clean energy tax credit transactions.
Beyond its recent tax credit acquisition, Advanced Power is strategically focusing on furthering renewable energy development in the United States. The company manages all aspects of an energy project’s life cycle, including development, construction, financial structuring, and operations.
With a robust renewables pipeline spanning the Desert Southwest, ERCOT, PJM, and MISO, Advanced Power has several late-stage projects in progress:
- Eldora Energy – A 240 MWdc solar project accompanied by an additional 200MW/400MWh battery storage facility.
- Alina Energy – A 220 MWdc solar project with an additional 200MW/400MWh battery storage facility.
- Elio Energy – A 300MW/600MWh battery storage facility.
- Rock Rose Energy – A 200MW/400MWh battery storage facility.
