ENERGY

Clean Renewable Energy Bonds (CREBs)

Department & Agency:

Department of Treasury, Internal Revenue Service

Agency Contact:

Internal Revenue Service, CREB Program

http://www.irs.gov/irb/2007-14_IRB/ar17.html

Stimulus Funding:

Approximately $533 million is available to state, local and tribal governments.

Eligibility and Type: 

The $1.6 billion authorized for Clean Renewable Energy Bonds (CREBs) is to be divided by thirds, with one-third being available to state, local and tribal governments for qualifying projects, one-third to public power providers for qualifying projects, and one-third to electric cooperatives for qualifying projects. A total of approximately $533 million is available to state, local and tribal governments.

Program Description: 

In Section 1111, the Act raises the national limitation for clean renewable energy bonds (CREBs) to finance facilities that generate electricity from wind, closed-loop biomass, open-loop biomass, geothermal, small irrigation, hydropower, landfill gas, marine renewable, and trash combustion facilities.

General Provisions:

Section 54(a) provides that a taxpayer that holds a CREB on one or more credit allowance dates of the bond occurring during any taxable year is allowed as a nonrefundable credit against Federal income tax for the taxable year an amount equal to the sum of the credits determined under section 54(b) with respect to such dates.

Technical Assistance:

Internal Revenue Service, CREB Program

http://www.irs.gov/irb/2007-14_IRB/ar17.html

See also information at the Department of Energy’s Energy Efficiency and Renewable Energy site,

http://apps1.eere.energy.gov/news/news_detail.cfm/news_id=11575