HF 221 Solar Tax Credit Update

Last week, the much-anticipated solar tax credit bill was introduced to the Ways and Means Committee by Representative Klein.

Here are the benefits of HF 221:
Pay down the huge waitlist for Iowa’s Solar Credit

• Importantly, many local and new solar owners are waiting until 2023 for their Iowa Solar Credit. Iowans waiting for their promised credit need it now as they are recovering from the economic downturn. Also, a  diminished waitlist would free up credit, stimulating new investment. A $7 million allocation in 2021 should be made to pay down the years-long backlog of farmers, small businesses, and homeowners who have already purchased solar energy systems and have been waiting to receive their credit.

Increase the solar credit’s cap from $5 million to $10 million

• This would create local solar industry jobs and give certainty to Clayton County residents looking at future solar ownership to benefit their bottom line. Spending less on energy bills is a way to create much-needed local wealth retention.

De-couple Iowa’s credit from the federal credit

• Currently, Iowa’s solar credit is linked to the federal program and runs at 50% of the level set by federal policy. Iowa needs to stop the yo-yo effect of Washington’s policy and independently control our homegrown clean energy industry.

HF 221 BILL

Solar ITC Energy Fact Sheet, Unbranded – 2021

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