U.S. solar developers didn’t account for COVID-19 in their meticulous plans for extending their ITC eligibility.
Solar developers working in the U.S. have spent years refining their plans to secure the federal Investment Tax Credit for as much of their pipeline as possible by “safe-harboring” projects in advance of the step-down taking place. As long as developers meet certain criteria, projects brought online after the step-down begins can still secure a 30 percent tax credit.
But even the most carefully laid plans didn’t account for COVID-19. The disease’s spread has squeezed the global economy and brought disruptions to supply chains, including for the solar industry.