What the Federal ITC Extension Means for the US Energy Storage Market

Some analysts expect energy storage deployments to reach ~1.7 GWh by 2020

Some analysts expect energy storage deployments to reach ~1.7 GWh by 2020

GTM Research expects an additional half a gigawatt of storage paired with renewables between 2016 and 2020. Though storage alone doesn’t qualify for the federal Incentive Tax Credit (ITC), if installed with solar PV or wind, energy storage systems historically have been able to claim tax credits, as long as they meet certain requirements. Both the Department of the Treasury and the IRS are deliberating over whether storage should automatically qualify for the ITC. If renewables-paired storage does become explicitly eligible, there is an even more significant upside for projected deployment in the coming years.

Read: What the Federal ITC Extension Means for the US Energy Storage Market