Startup aims to help climate companies unlock billions in Inflation Reduction Act tax credits
Summary
"We advise on a large portion of deals in the market, and all the players are discussing transferability as part of their transactions," said Sam Kamyans, a Crux investor and partner at law firm Allen & Overy. "Tax equity has been the fuel of the renewable energy boom for decades, and its about to be put on steroids with the IRA," Kiran Bhatraju, the CEO of Arcadia, which manages over a gigawatt of community solar projects, told CNBC. How Crux aims to help climate finance Even though the IRA allows tax credits to be bought and sold to unrelated parties, the market is still largely operating manually — which means slowly and without much transparency. Bringing transparency and ease to the opaque sector will make tax equity a more accessible source of income for smaller developers building community solar projects, Bhatarju says. In fact, for five years, companies in three particular categories — hydrogen, carbon capture and advanced manufacturing — that are eligible for IRA credits can get money directly from the government.