At a May 28, 2026 public hearing, fuel producers, agricultural stakeholders, and environmental credit companies testified before the U.S. Department of the Treasury (Treasury) and the Internal Revenue Service (IRS), calling for targeted fixes to proposed regulations affecting clean fuel production tax credit under Section 45Z of the Internal Revenue Code of 1986 (Section 45Z Credit).
Plug-in solar systems (also known as balcony solar or apartment solar) have been legalized by seven states this year. This opens up new markets to the sellers of small solar panels, microinverters, and their related equipment. Companies that look to take advantage of this opportunity should be mindful up front of the tax obligations that come with expansion into new states. This is an area where a little up-front work can reduce risk on the back end. But even where mistakes have been made, quick attention to them can reduce liability.
For years, the Investment Tax Credit (ITC) under Section 48 and the Production Tax Credit (PTC) under Section 45 of the Internal Revenue Code provided the federal tax incentive foundation for biogas electricity projects.
Texas presently sits at the center of the U.S. energy‑and‑digital‑infrastructure boom. As hyperscalers, AI platforms, crypto-currency miners, and cloud providers accelerate their build‑out of data‑center campuses, the demand for power in the Lone Star State has never been higher.
Overview of Feedstock Supply Agreements
Digesters, which convert organic feedstock into raw biogas for upgrading into renewable natural gas (RNG), depend on the quality and quantity of available feedstock for successful operation. A reliable and financeable feedstock supply agreement is therefore essential to the success of any digester-based RNG project. These contracts govern the relationship between the suppliers of feedstock and project owners and operators, making them essential to the success of any RNG project and a primary diligence item in any digester financing or investment transaction.
At the Federal Energy Regulatory Commission’s (“FERC” or the “Commission”) monthly open meeting on February 19, 2026, the Commission reaffirmed that it will not reinstate its ban on gas pipeline work during appeals.
The Internal Revenue Service (the “IRS” or “Service”) recently released detailed guidance concerning the classification and treatment of Prohibited Foreign Entities (“PFEs”) as well as the application of the related Foreign Entity of Concern (“FEOC”) restrictions that were created in the One Big Beautiful Bill Act (“OBBBA” or “Bill”).
Enacted by the Inflation Reduction Act and recently amended by the One Big Beautiful Bill Act (“OBBBA”), Section 45Z of the Internal Revenue Code offers a tax credit for the domestic production and sale of certain low-emission transportation fuels (“45Z Credit”). The 45Z Credit is worth $0.20 (or $1.00 for producers meeting prevailing wage and apprenticeship requirements) per gallon of renewable diesel, sustainable aviation fuel (“SAF”), renewable natural gas (“RNG”), and certain other low-carbon fuels produced domestically and sold.
In recent years, the U.S. government has become increasingly concerned about foreign ownership of agricultural land. According to the most recent U.S. Department of Agriculture (USDA) report, foreign owners (primarily Canadian) hold an interest in nearly 45 million acres of U.S. agricultural land.
Solar developers contend with a wide array of challenges, from competing for viable project sites to combatting disinformation surrounding the expansion of clean energy development. With demand for energy rapidly growing across the nation, considering a full suite of project designs allows developers to put their best foot forward when collaborating with local stakeholders.