Section 1 Short title
This Act may be cited as the “Energy Storage Tax Incentive and Deployment Act of 2017”.
Energy Storage Tax Incentive and Deployment Act of 2017
A BILL
To amend the Internal Revenue Code of 1986 to provide tax credits for energy storage technologies, and for other purposes.
Sec. 2 Energy credit for energy storage technologies
In general— Subclause (II) of section 48(a)(2)(A)(i) of the Internal Revenue Code of 1986 is amended by striking “paragraph (3)(A)(i)” and inserting “clause (i) or (viii) of paragraph (3)(A)”.
Energy storage technologies— Subparagraph (A) of section 48(a)(3) of the Internal Revenue Code of 1986 is amended by striking “or” at the end of clause (vi), by adding “or” at the end of clause (vii), and by adding at the end the following new clause:
“(viii) equipment which receives, stores, and delivers energy using batteries, compressed air, pumped hydropower, hydrogen storage (including hydrolysis), thermal energy storage, regenerative fuel cells, flywheels, capacitors, superconducting magnets, or other technologies identified by the Secretary in consultation with the Secretary of Energy, and which has a capacity of not less than 5 kilowatt hours,”
by striking “energy” in the heading and inserting “and energy storage”; and
by striking “paragraph (3)(A)(i)” both places it appears and inserting “clause (i) or (viii) of paragraph (3)(A)”.
Effective date— The amendments made by this section shall apply to property placed in service after December 31, 2016.
Sec. 3 Residential energy efficient property credit for battery storage technology
In general— Subsection (a) of section 25D of the Internal Revenue Code of 1986 is amended by striking “and” at the end of paragraph (4), by striking the period at the end of paragraph (5) and inserting “, and”, and by adding at the end the following new paragraph:
“(6) the applicable percentage of the qualified battery storage technology expenditures made by the taxpayer during such year.”
Qualified battery storage technology expenditure— Subsection (d) of section 25D of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:
“(6) Qualified battery storage technology expenditure—The term qualified battery storage technology expenditure means an expenditure for battery storage technology which—
“(A) is installed on or in connection with a dwelling unit located in the United States and used as a residence by the taxpayer, and
“(B) has a capacity of not less than 3 kilowatt hours.”
Applicable percentage— Subsection (g) of section 25D of the Internal Revenue Code of 1986 is amended by striking “(1) and (2)” and inserting “(1), (2), and (6)”.
Effective date— The amendments made by this section shall apply to expenditures paid or incurred in taxable years beginning after December 31, 2016.