Renewable energy credit buyers and sellers are diving into a burgeoning transfer market created by the Democrats’ 2022 tax-and-climate law, even as they eye a looming Republican-led surgical strike against the popular incentives.
The Inflation Reduction Act created a process that allowed a slew of clean energy and energy-efficiency credits to be bought and sold by other taxpayers looking to offset their tax bills. The market ballooned from an estimated $9 billion in 2023 to a forecasted $25 billion by the end of 2024, according to energy transfer platform Crux.
IRS rules require tax credits to be bought ...