Insights
What the 50% ITC means for project returns
How the federal Investment Tax Credit shapes the economics of American-made clean-energy projects.
Insights · June 2026 · 4 min read
The Investment Tax Credit (ITC) is one of the most powerful levers in clean-energy project finance, and a core reason American-made storage, solar, ORC, and SMR projects can pencil out for investors today.
Under current federal policy, qualifying projects can claim an ITC of 30-50% of eligible capital costs, with our two flagship BESS projects targeting the 50% tier. Paired with 100% bonus accelerated depreciation, the credit materially improves first-year economics and shortens the path to positive cash flow.
Because the credit is earned on capital deployed, not on speculative output, it rewards exactly what we do: develop, build, own, and operate real American infrastructure. Combined with long-term tolling, merchant, and PPA offtake, the result is a contracted, tax-advantaged return profile built for institutional capital.
Examples of potential benefits of investing in renewable energy. Illustrative and forward-looking; not tax or investment advice. Tax-credit treatment is project-dependent and subject to change. Figures as of June 2026. Investors should contact their personal tax advisors and review the tax aspects described in the Confidential Information Memorandum. IRS Circular 230 Notice: The statements contained herein are not intended to and do not constitute an opinion as to any tax or other matter. Any statement contained in this communication (including any attachments) concerning U.S. tax matters is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein.