Summary:

 House Bill 211 (HB 211) modifies the New Solar Market Development Income Tax Credit by expanding eligibility, increasing the tax credit for solar systems with energy storage, and introducing a corporate income tax credit for businesses installing solar systems. The bill extends the program through December 31, 2031. 

Legislation Overview:

 House Bill 211 (HB 211) amends the New Solar Market Development Income Tax Credit to include a twenty percent tax credit for photovoltaic systems with at least fifteen kilowatt-hours of energy storage capacity. The standard credit remains at ten percent for other qualifying solar installations. The maximum credit increases from $6,000 to $12,000 per property for systems with qualifying storage.

The bill establishes a corporate income tax credit for businesses and agricultural enterprises installing solar systems. Taxpayers must apply for eligibility certification from the Energy, Minerals, and Natural Resources Department (EMNRD). The aggregate cap for all tax credits remains at $30,000,000 per year.

Implications
HB 211 is expected to increase participation in the solar tax credit program, particularly for installations incorporating energy storage. The expansion may accelerate solar adoption but will reduce state income tax revenues. The EMNRD will need to manage increased applications and ensure compliance with technical requirements. 

Current Law:

 Existing law provides a 10% tax credit for qualifying solar installations, capped at $6,000 per property. There is no separate credit for systems with energy storage or for businesses installing solar systems. HB 211 introduces these changes and extends the program’s expiration date.