Unlock the Value of Your Transferable Renewable Energy Tax Credits

Edge is a risk finance consultancy that helps identify, quantify, qualify, and monetize your investment and production tax credits (ITCs/PTCs), so you can capture additional value from your standard business activities.

The Inflation Reduction Act (IRA) has unlocked the value of billions of dollars’ worth of renewable/clean energy tax credits for projects across the sustainability sector. But the problem for most developers is figuring out how to capture the value of the credits their companies are generating. Our team of experts leads clients through the four-step process of capturing the monetary value of the ITCs and PTCs:

• Identifying

• Quantifying

• Qualifying

• Monetizing

Whether it’s through the sale and transfer of credits, or short-term financing against the future value of credits, we’ll help you secure maximum value for your clean energy tax credits.

Question: Is the Edge process right for your company?

• Are you generating eligible Renewable/Clean Energy Tax Credits, but are unable to use them?

• Does/will your company be doing things that generate credits once your project is up and running?

• Do you want to sell/transfer your renewable tax credits?

What our clients are saying…

All developers face the same 10 problems:

1. Navigating the regulatory environment

2. Uncertainty about which renewable/clean energy credits they qualify for

3. Finding a market for renewable/clean energy tax credits

4. Determining the value of their renewable/clean energy tax credits

5. Lack of expertise and internal resources

6. Sector-specific challenges

7. Transferability restrictions

8. Tax credit investor confidence

9. Competition for credits

10. Tax liability limitations

But the 3 main obstacles to monetizing renewable/Clean Energy Tax Credits are:

1. Understanding which credits your company qualifies for

   • Things like your sector, business activities, supply agreements, employment arrangements, etc. can all have an impact on the types of credits your company qualifies for and what the value of those credits will be. It’s not easy to figure out which credits you’re eligible for (and how much they could be worth).

2. Knowing how to monetize your credits

   • Even after you understand which credits you’re generating and how much they’re worth, the process of monetizing them is complicated. You’ll need accounting opinions, legal opinions, potential investors/buyers, etc. The process can be difficult to navigate alone.

3. Lack of developer bandwidth

   • You’re running a company. You don’t have the bandwidth to figure out the process of monetizing your clean energy tax credits in addition to the 100 other things you’re responsible for on a daily basis.

Obtain Maximum Value for Your Transferable Investment and Production (ITCs/PTCs) Tax Credits

The biggest mistake developers make when it comes to monetizing renewable energy tax credits? Leaving money on the table by not getting the full value of the credits their companies are generating.

They’re either not aware of the credits their companies are eligible for, or they don’t know the steps to take to monetize their credits. Either way, they’re missing an opportunity.

By understanding which credits you’re generating and exactly how to monetize them, you’ll capitalize on the full value of your normal business activities.

Here’s how the Edge process works:

We help you get maximum value from your Renewable/Clean Energy Tax Credits.

Upon engaging, our team of experts will lead you through each step of the tax credit monetization process:

1. In-depth review of company business activities

2. Identification of eligible credits

3. Quantifying the value of eligible credits with our tax credit accounting experts

4. Qualifying credits (and the value of credits) with our legal experts

5. Strategic approach (based on your company’s requirements) to monetizing credits

Once we’ve completed our five-step process, we’ll move to the monetization stage, which includes:

• Taking your credits to identified tax credit investor/buyer market(s)

• Helping you negotiate the terms of a funding, depending on your desired outcome

• Assisting with the close of the monetization transaction

Frequently Asked Questions (FAQ):

• What types of renewable/clean energy tax credits are available to eligible projects?

  • Alternative fuel refueling property

  • Renewable energy production credit (PTC)

  • Carbon capture credit

  • Zero-emission nuclear power production credit

  • Clean hydrogen production credit

  • Advanced manufacturing production credit

  • Clean electricity production credit

  • Clean fuel production credit

  • Energy investment tax credit (ITC)

  • Qualifying advanced energy project credit

  • Clean electricity investment credit

• How long does it take to monetize clean energy tax credits?

  • The timeline varies depending on your project’s complexity and the market for the type of credits a project is generating. However, our goal is to expedite the process as efficiently as possible. We typically aim for a 60-90 day process from start to finish.

• Are there upfront fees associated with your services?

  • Yes, our firm charges a fee for our services, which may vary based on the project’s scope and complexity. We provide transparent pricing upfront following our team’s initial review of project status and related materials.

• Can small projects benefit from clean energy tax credits?

  • Yes, projects of all sizes can benefit from clean energy tax credits. Our firm works with projects of various scales to maximize their potential benefits.

• How do you find buyers for the tax credits?

  • We leverage our extensive network of investors and industry experts to identify and connect with potential buyers for your clean energy tax credits.

• What is involved in the tax credit transfer process?

  • The renewable clean energy tax credit transfer process involves verify the project’s eligibility, agreeing on a transfer price, and completing the necessary legal and financial paperwork. Our firm helps you navigate each step to ensure a smooth transfer.

• What are the benefits of monetizing renewable/clean energy tax credits?

  • Monetizing your credits provides your company with additional capital (from your normal business activities) that can be reinvested into the project. Or used for other purposes. Either way, your business will reap the full financial benefit of the activities you’re already doing.