Notice2022-07967
Credit for Renewable Electricity Production and Publication of Inflation Adjustment Factor and Reference Price for Calendar Year 2022
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
April 14, 2022
Issuing agencies
Treasury DepartmentInternal Revenue Service
Abstract
The 2022 inflation adjustment factor and reference price are used in determining the availability of the credit for renewable electricity production. For calendar year 2022, the credit period for refined coal production and Indian coal production expired.
Full Text
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<title>Federal Register, Volume 87 Issue 72 (Thursday, April 14, 2022)</title>
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[Federal Register Volume 87, Number 72 (Thursday, April 14, 2022)]
[Notices]
[Page 22286]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-07967]
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DEPARTMENT OF THE TREASURY
Internal Revenue Service
Credit for Renewable Electricity Production and Publication of
Inflation Adjustment Factor and Reference Price for Calendar Year 2022
AGENCY: Internal Revenue Service (IRS), Treasury.
ACTION: Notice of publication.
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SUMMARY: The 2022 inflation adjustment factor and reference price are
used in determining the availability of the credit for renewable
electricity production. For calendar year 2022, the credit period for
refined coal production and Indian coal production expired.
FOR FURTHER INFORMATION CONTACT: Charles Hyde, CC:PSI:6, Internal
Revenue Service, 1111 Constitution Avenue NW, Washington, DC 20224,
(202) 317-6853 (not a toll-free number).
SUPPLEMENTARY INFORMATION: The 2022 inflation adjustment factor and
reference price apply to calendar year 2022 sales of kilowatt hours of
electricity produced in the United States or a possession thereof from
qualified energy resources.
Inflation Adjustment Factor: The inflation adjustment factor for
calendar year 2022 for qualified energy resources is 1.8012.
Reference Price: The reference price for calendar year 2022 for
facilities producing electricity from wind is 4.09 cents per kilowatt
hour. The reference prices for facilities producing electricity from
closed-loop biomass, open-loop biomass, geothermal energy, municipal
solid waste, qualified hydropower production, and marine and
hydrokinetic renewable energy have not been determined for calendar
year 2022.
Phaseout Calculation: Because the 2022 reference price for
electricity produced from wind (4.09 cents per kilowatt hour) does not
exceed 8 cents multiplied by the inflation adjustment factor (1.8012),
the phaseout of the credit provided in section 45(b)(1) does not apply
to such electricity sold during calendar year 2022. For electricity
produced from closed-loop biomass, open-loop biomass, geothermal
energy, municipal solid waste, qualified hydropower production, and
marine and hydrokinetic renewable energy, the phaseout of the credit
provided in section 45(b)(1) does not apply to such electricity sold
during calendar year 2022.
Credit Amount by Qualified Energy Resource and Facility: As
required by section 45(b)(2), the 1.5 cent amount in section 45(a)(1)
is adjusted by multiplying such amount by the inflation adjustment
factor for the calendar year in which the sale occurs. If any amount as
increased under the preceding sentence is not a multiple of 0.1 cent,
such amount is rounded to the nearest multiple of 0.1 cent. In the case
of electricity produced in open-loop biomass facilities, landfill gas
facilities, trash facilities, qualified hydropower facilities, and
marine and hydrokinetic renewable energy facilities, section
45(b)(4)(A) requires the amount in effect under section 45(a)(1)
(before rounding to the nearest 0.1 cent) to be reduced by one-half.
Under the calculation required by section 45(b)(2), the credit for
renewable electricity production for calendar year 2022 under section
45(a) is 2.7 cents per kilowatt hour on the sale of electricity
produced from the qualified energy resources of wind, closed-loop
biomass, and geothermal energy, and 1.4 cents per kilowatt hour on the
sale of electricity produced in open-loop biomass facilities, landfill
gas facilities, trash facilities, qualified hydropower facilities, and
marine and hydrokinetic renewable energy facilities.
(Authority: 45(e)(2)(A) (26 U.S.C. 45(e)(2)(A)) of the Internal
Revenue Code.)
Christopher T. Kelley,
Special Counsel to the Associate Chief Counsel, (Passthroughs and
Special Industries).
[FR Doc. 2022-07967 Filed 4-13-22; 8:45 am]
BILLING CODE 4830-01-P
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