The Department of the Treasury and the Internal Revenue Service have provided new guidance to establish a program to provide solar and wind power to certain low-income areas under the Inflation Reduction Act.

Notice 2023-17 (.pdf) establishes the Low-Income Communities Bonus Credit Program and provides initial guidance for potential applicants for allocations of calendar year 2023 capacity limitation.

This initial guidance provides the general eligibility requirements, a description of the four statutory facility categories for which an eligible facility may request an allocation, amounts of capacity limitation reserved for each facility category, a general description of the program design and goals, the application review process, and the proposed timeline for opening two 60-day application periods in 2023 based on project categories.