Our IRA video series dives into the details of the recent legislation to help you understand your options.
The Inflation Reduction Act creates significant opportunities for building owners to ready their operations for long-term resiliency and eliminate deferred maintenance, realize cost savings, accelerate decarbonization and reach equitable outcomes for generations to come.
Megan Owen, Vice President of Sales and Marketing at McKinstry, walks through the Inflation Reduction Act and Investment Tax Credit’s impact on building owners:
Why is the Inflation Reduction Act important for building owners?
The Inflation Reduction act is a once-in-a-generation opportunity to innovate waste and climate harm out of the built environment. It opens the door for building owners to extend their budgets, meet clean energy needs faster and invest in projects that feature attractive economic returns.
What is the Investment Tax Credit (ITC) and why does it matter? Who is eligible?
The Investment Tax Credit is a dollar-for-dollar reduction on your tax bill. It can be applied to energy projects, increases project feasibility, and ensures better economics. These savings can be reinvested in other capital goals.
Though the ITC cannot apply to tax exempt entities, the Direct Pay option is a game changer as it opens the door for state and local governments, state-funded higher education institutions, public K-12 districts and electric co-ops providing rural energy to benefit from an opportunity not previously available to them.
What technologies and costs are eligible?
Solutions like battery and thermal energy storage, geothermal systems, solar, biogas, wastewater heat recovery, fuel cells, microgrid controllers and combined heat & power can now be built into solutions tailored to each client’s needs and goals. Project costs like development, engineering, labor, equipment, construction and upgrades are also eligible under the ITC.
For many, the Inflation Reduction Act is empowering because cost is no longer a barrier to entering into energy transition work. Making the most of the legislation and its benefits requires deep and robust planning, evaluation, goal setting and expert guidance. McKinstry is honored to usher building owners to make the most of this game-changing opportunity. The time is now to unite and leverage our collective knowledge, innovative thinking and desire for change to lead the way with bold action that has a real and lasting impact on our climate, our communities and our people.
For more information and resources, please visit ourIRA blogor contact us below.
Interested in Learning More?
Please complete the required fields below to learn more about how McKinstry can help your organization achieve its sustainability goals.
Financial Disclaimer: McKinstry is not engaged in providing legal, tax or financial advice. The information provided herein is intended only to assist you in your decision-making and is broad in scope. Accordingly, before making any final decisions you should consider obtaining additional information and advice from your accountant or other financial advisers who are fully aware of your specific circumstances.