Renewable Energy World’s latest podcast episode of Factor This! details why a proposed ruling from banking authorities to take effect in 2025 could bring serious problems for the tax equity market and renewables in the US. Bottom line, it might result in the largest banks leaving the tax equity market due to unfavorable capital requirements being applied to large banking orgs and ones with significant trading activities. These requirements would quadruple the capital requirement for these banks, making traditional tax equity prohibitively costly for them. The podcast/article also explores possible alternatives for sponsors of clean energy.
The tax equity rule with serious consequences for clean energy
