One of the most important steps utilizing additional renewables is the ability to store that energy for when it’s needed the most.
By using advanced energy storage, our energy sector can decouple energy generation with its time of use.
This simple feature creates a truly competitive renewables industry.
Although it is unclear when grid-scale energy storage will be available, Colorado’s own U.S. Sen.
Cory Gardner has introduced the Energy Storage Tax Incentive and Deployment Act (S.1142), which will harness the financing power of the 30 percent Investment Tax Credit (ITC) that has already successfully jumpstarted the national solar power industry.
We should pivot the success of the ITC to encompass advanced energy storage technology — and by doing so, we will effectively strengthen our domestic energy sector as a whole.
Energy storage is a technology-neutral approach, meaning that it is a useful tool regardless of the power source.
From wind and solar to natural gas and biofuel, all sources of energy will benefit from better energy storage on the market.
S.1142 does not modify the expiration of existing tax incentives; it adds energy storage as an eligible tax credit while also specifying that energy storage technologies can draw from across electric grid technologies.
Doing so will enhance grid efficiency and resilience while creating more jobs and capital formation.
Congress estimates that an energy storage ITC would be much lower in cost than many other tax incentives.
And an energy storage ITC would pay for itself through the vastly improved energy efficiency that it would bring to the industry.