Hydropower Industry Presses US Officials for Tax Credit Leeway

The Biden administration must promptly issue tax guidance that provides flexibility for domestic content rules to keep hydropower dams operating to meet US climate goals, industry leaders said Thursday.

“The money’s sitting on the sidelines, the jobs are on the sidelines,” said Malcolm Woolf, president and CEO of the National Hydropower Association. “Projects have just been kind of frozen until we can figure this out.”

Congress in the Inflation Reduction Act of 2022 established an optional tax credit bonus for clean energy producers who can prove that all of their iron and steel, and 40% of the components ...