Energy Generation Project Finance

The Renewable Energy Investment Tax Credit (ITC) permits project owners or third-party investors to receive a credit against Federal income taxes for the installation of solar and fuel cell power generation equipment. The ITC totals 30% of the cost of renewable energy equipment. For projects that are placed in service before December 31, 2009, bonus depreciation of 50% may be claimed and the project may elect to receive a direct grant in lieu of the tax credits from the US Department of Energy. Also, for projects that are placed in service before December 31, 2010, renewable energy projects that would otherwise qualify for the Federal Renewable Energy Production Tax Credit (PTC) may elect to take the ITC or the grant. Eligible PTC projects include wind, geothermal and biomass.

UFA provides investment capital for renewable energy projects that qualify for ITC, PTC and various state tax credits. Since 2008, UFA has provided $17.3 million of equity capital for energy projects generating nearly nine megawatts of clean energy throughout the United States.

Click here for more information on ITCs (PDF)

Advanced Energy Manufacturing Facility Finance

The Qualifying Advanced Energy Project Credit (MTC) provides a credit against Federal income taxes for investment in renewable energy manufacturing facilities. The MTC totals 30% of the basis in property that re-equips, expands or establishes a manufacturing facility that produces renewable energy property.

UFA provides equity investments for manufacturing facilities that qualify for the MTC. The MTC program was created by the American Recovery and Reinvestment Act and investments are expected to begin in April, 2010.

Click here for more information on MTCs (PDF)