The Creating Helpful Incentives to Produce Semiconductors (CHIPS) and Science Act of 2022 (the “CHIPS Act”) was signed into law by President Biden on August 9, 2022. Bowles Rice attorney Marc Mignault lays out the advanced nuclear energy technologies provisions it includes.
Under the Inflation Reduction Act (IRA), touted and proposed by U.S. Senator Joe Manchin (D-W.Va.), the government would provide much needed and sought-after relief and incentives for nuclear energy.
Existing Nuclear Power Plant Production Tax Credit
The IRA’s Nuclear Production Credit for existing nuclear plants would be included in IRS Tax Code 45U. The credit for existing nuclear plants starts with 3 cents ($0.03) multiplied by the kilowatt hours of electricity produced and sold by the plant. This credit is reduced if the 0.03 x kWh exceeds the “reduction amount” which is ...
Across the world many nations are looking to nuclear energy as a way to ensure energy security, lower energy prices, and decarbonize. Nuclear energy can be the key to energy security, and Appalachia can lead the way, remaining a vital part of America’s energy independence.