Here's a link to REIA-NM's fact sheet for HB 11 - Energy Storage Tax Credit. Please share.
HOUSE BILL 11 - ENERGY STORAGE SYSTEM TAX CREDIT
The Renewable Energy Industries Association of New Mexico (REIA) is supporting House Bill 11, sponsored by Reps. Sariñana and Dixon and Sen. Stewart, that proposes a tax credit for New Mexicans who invest in energy storage for their homes and/or businesses.
The legislation provides a 40 percent tax credit for purchase and installation of an energy storage system, up to $5,000, with a total appropriation of $1 million for credits over two years, starting in 2023.
Why is there a need for energy storage tax credit legislation?
• House Bill 11 kickstarts the energy storage market in New Mexico by targeting early adopters.
• New Mexico’s national laboratories lead in this technology development. • Multiple studies indicate that both solar and storage will be the largest job creators in the energy industry in the near future.
• Building a storage market will have positive economic development impacts through the purchases of supplies and equipment from local businesses and hiring of local labor. • This credit is seen as initial pilot program that can grow in the future as storage technology improves, making it accessible to even more households.
What is the status of storage systems in New Mexico?
There are over 35,000 customer sited solar systems installed in New Mexico and very few of these are installed with energy storage. As a result, when a solar system generates more energy than is being consumed at the place of installation, the excess energy is sent back to the grid. Adding energy storage at a site enables the capture of that energy as it is produced so that it can be used at a future time. This is more beneficial to the customer and the electric grid.
How does passing this legislation benefit New Mexico?
Provides needed resiliency to homes and businesses in case of a grid outage and potentially saves lives.
Contributes to economic development in the state through greater purchases of supplies, equipment, and services from local businesses and the hiring of more labor by local solar integration companies.
Energy storage will contribute to a more balanced, decentralized, and reliable electrical grid helping to defer grid infrastructure upgrades that are ultimately paid by utility customers. Incentivizes private investment in energy storage systems and related technologies, allowing New Mexico to become a leader in this rapidly growing industry.
Coordination of the tax credit program by Energy Minerals and Natural Resources Dept. (EMNRD) will facilitate data collection and enable a better understanding of potential value stacking of energy storage performance features.
The Renewable Energy Industries Association of New Mexico (REIA) is a non-profit organization representing more than 40 companies that provide residential, commercial and government solar services. REIA advocates for the technology, financial incentive programs, public interest, and environmental policies that support continued growth in the renewable energy industry. This synergy creates more jobs, and a stronger, healthier economic future for New Mexico.
For more information, contact REIA Executive Director Jim DesJardins
at 505-503-1000 or email@example.com.