The Treasury Department and the IRS on Wednesday published the first Annual Table that provides greenhouse gas emissions rates for certain types or categories of facilities that are eligible for the Clean Electricity Production Tax Credit and the Clean Electricity Investment Tax Credit—known as the “technology-neutral credits”—in tax code sections 45Y and 48E.
The tax credits are intended to encourage more investments in clean energy systems over the next few years.
The Annual Table, included in IRS Revenue Procedure 2025-14 which was released on Jan. 15, confirms that certain clean electricity facilities qualify categorically for the credits—including geothermal, nuclear fission, nuclear fusion, wind, solar, hydropower, marine and hydrokinetic, and certain waste energy recovery property facilities—consistent with the final rules released by Treasury and the IRS earlier this month.
Taxpayers with types or categories of facilities that aren’t described in the Annual Table will be able to request a provisional emissions rate (PER) for those facilities, Treasury said. Those PER requests will be evaluated by the National Laboratories consistent with the final rules. For example, a combustion and gasification facility would require a lifecycle emissions analysis consistent with the statute and the final rules, whereas a non-combustion and gasification facility, such as a fuel cell that exclusively utilizes electrolytic hydrogen, would require a technical and engineering assessment of the fundamental energy transformation into electricity and wouldn’t have to undergo a full lifecycle emissions analysis.
The National Labs are already working on such an assessment for fuel cells utilizing electrolytic hydrogen, which the Energy Department expects will be complete in the coming weeks. This assessment will accelerate the PER request process for such fuel cells, Treasury said.
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