GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 2015

S                                                                                                                                                    D

SENATE DRS25188-MC-120  (03/05)

 

 

 

Short Title:        Energy Investment Act.		(Public)
Sponsors:	Senator Tarte (Primary Sponsor).
Referred to:

 

A BILL TO BE ENTITLED

AN ACT to enact the energy investment act.

Whereas, the General Assembly finds that a balanced and diverse energy portfolio is in the best interest of North Carolina citizens and ratepayers; and

Whereas, renewable energy development has generated over two billion six hundred million dollars ($2,600,000,000) in private investment across North Carolina, the majority of which was in development tier one and two areas; and

Whereas, North Carolina has a strong and growing renewable energy workforce; Now, therefore,

The General Assembly of North Carolina enacts:

SECTION 1.  G.S. 105‑129.16A reads as rewritten:

"§ 105‑129.16A.  Credit for investing in renewable energy property.

(a)        Credit. – If a taxpayer that has constructed, purchased, or leased renewable energy property places it in service in this State during the taxable year, the taxpayer is allowed a credit equal to thirty‑five percent (35%) of the cost of the property. In the case of renewable energy property that serves a nonbusiness purpose, the credit must be taken for the taxable year in which the property is placed in service. For all other renewable energy property, the entire credit may not be taken for the taxable year in which the property is placed in service but must be taken in five equal installments beginning with the taxable year in which the property is placed in service. Upon request of a taxpayer that leases renewable energy property, the lessor of the property must give the taxpayer a statement that describes the renewable energy property and states the cost of the property. No credit is allowed under this section to the extent the cost of the renewable energy property was provided by public funds. For the purposes of this section, "public funds" does not include grants made under section 1603 of the American Recovery and Reinvestment Tax Act of 2009.

…

(e)        Sunset. – This section is repealed effective for renewable energy property placed into service on or after January 1, 2016.2021."

SECTION 2.  G.S. 105‑129.15 reads as rewritten:

"§ 105‑129.15.  Definitions.

The following definitions apply in this Article:

…

(7)        Renewable energy property. – Any of the following machinery and equipment or real property:

…

e.         Solar energy equipment that uses solar radiation as a substitute for traditional energy (i) for water heating, active space heating and cooling, passive heating, daylighting, generating electricity, distillation, desalination, detoxification, or the production of industrial or commercial process heat.heat or (ii) for generating electricity if all the equipment in the system has an aggregate generation capacity of less than one megawatt. The term also includes related devices necessary for collecting, storing, exchanging, conditioning, or converting solar energy to other useful forms of energy.

f.          Wind equipment required to capture and convert wind energy into electricity or mechanical power, and related devices for converting, conditioning, and storing the electricity produced or relaying the electricity by cable from the turbine motor to the power grid.

(8)        Renewable fuel. – Either of the following:

a.         Biodiesel, as defined in G.S. 105‑449.60.

b.         Ethanol either unmixed or in mixtures with gasoline that are seventy percent (70%) or more ethanol by volume."

SECTION 3.  Section 2 of this act is effective for property placed in service for taxable years beginning on or after January 1, 2018. The remainder of this act is effective when it becomes law.