&EPA
United States
Environmental Protection
Agency
State Incentives for Achieving Clean and Renewable Energy
Development on Contaminated Lands
The development of clean and renewable energy on formerly used land offers many economic and environmental benefits. Combining clean and
renewable energy and contaminated land cleanup incentives can allow investors and communities to create economically viable clean and renewable energy redevelopme
projects. This document provides information about incentives in your state that can be leveraged for clean and renewable energy and development of contaminated land.
Incentives for Clean and Renewable Energy
Funding (grants, loans, bonds, etc.)
Biomass Energy Program
www. adeca.state. al. us/C 16/Biomass %20Energy%20Program/default. aspx
Provides up to $75,000 in interest subsidy payments to help defray the
interest expense on loans to install approved biomass projects. Sponsored
by the Alabama Department of Economic and Community Affairs (ADECA).
The program provides funding and technical assistance for industrial,
commercial, and institutional facilities looking to install biomass energy
systems. Landfill gas (LFG) projects are also eligible for funding
consideration. Participants obtain loans from commercial lending
institutions and submit repayment data to ADECA for interest payment
assistance. Note: interest rates on these loans should be no greater than
2% above the prime rate.
Green Power Switch Generation Partners Program
www.tva.com/greenpowerswitch/partners/
Offers purchase of solar photovoltaic-generated electricity from commercial
energy producers, at a rate of $0.20 per kWh, for a duration of 10 years.
Although the maximum output for commercial generation systems remains
at 50 kW, larger systems may be permitted with mutual agreement of the
purchaser, Tennessee Valley Authority (TVA), on a case-by-case basis. A
list of participating Alabama power distributors can be found at:
www.tva.com/greenpowerswitch/partners/distributors.htm.
Quick Facts
Public Benefit Fund (PBF)
Renewable Portfolio Standard
Net Metering
Interconnection Standards
YesD No0
YesD No0
YesD No0
Yes D No 0
Electric Power Industry Generation by
Primary Energy Source (EIA, 2006)
Petroleum-Fired 0.1% Nuclear 22.6%
Natural Gas-Fired 13.8% Hydroelectric 5.1%
Coal-Fired 55.4% Other Renewables 2.8%
Points of Contact
Biomass Energy Program
Alabama Department of Economic and Community Affairs
www.adeca.alabama.gov
Clarence Mann, clarence.mann@adeca.alabama.gov, (334) 242-5330
Green Power Switch Generation Partners Program
Refer to www.tva.com/greenpowerswitch/partners/distributors.htm for a
list of participating power distributors in Alabama. Once a distributor has
been identified, call the TVA at (865) 632-2101 to be connected to the
appropriate facility, or email tvainfo@tva.com.
Information current as of November 2008; please refer to www.dsireusa.org and the state Web sites
provided, or contact the points of contact identified above for more up to date information.
Alabama Incentives for Clean and Renewable Energy - Page '
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Incentives for Development of Contaminated Land
Funding (grants, loans, bonds, etc.)
Alabama Department of Environmental Management (ADEM)
Land Recycling Revolving Fund (RLF) Program
http://216.226.179.150/LandDivision/Brownfields/redevelopment_home.htm
Offers low interest loans, on an amount-requested basis, to governmental
entities and nonprofit organizations on a competitive basis for the
remediation of contaminated sites. To be eligible, applicants must own the
properties. The negotiated loans generally have a 10-year payback period.
The potential creation of jobs, potential benefit to the communities, and
plans for sustainable redevelopment also will be taken into consideration in
determining loan recipients. This program was initially funded by a $1
million EPA Brownfields RLF grant.
Tax Incentives (abatements, credits, etc.)
Alabama Department of Revenue—Income Tax Capital Credit
http://ador.alabama.gov/Taxincentives/capcrsummary.htm
Offers a credit of 5% of the capital costs of a qualifying project, to be
applied to the Alabama income tax liability generated by the project
income, each year for 20 years. A project consists of new investment at a
new site in Alabama, or new investment that will expand the capacity and
number of employees at an existing facility. Capital cost requirement under
this credit is not less than $2 million for new, expansion, and headquarters
facility projects. Facilities must also have at least 20 employees.
Alabama Department of Revenue-
Tax Incentive Reform Act of 1992 Abatements
www. ador.state, al. us/Taxincentives/abatecover. htm
Offers potential abatements on taxes that include: state sales and use
taxes; non-educational county and city sales and use taxes; non-
educational state, county, and city property taxes, for up to 10 years; and
mortgage and recording taxes. To receive an abatement for any or all of
these taxes, a business must meet certain qualifications and follow certain
procedures, as determined by laws and regulations defined in an
"Abatement Booklet" published by the Alabama Department of Revenue.
Limitations on Liability
Brownfields Redevelopment and Voluntary Cleanup Program -
Letter of Concurrence
http://216.226.179.150/LandDivision/LandDivisionPP.htm
Offers a "Letter of Concurrence" from ADEM to VCP participants once it is
proven that all requirements of an approved cleanup plan are complete.
These letters provide limited liability protection for owners and operators
and broad liability protection for prospective purchasers, lenders, and non-
responsible parties. Conditional Letters of Concurrence may be awarded if
temporary institutional controls are in place on a property.
Quick Facts
Limitations on Liability
Yes 0 No D
356
Number of State-Tracked Contaminated Properties:
Includes RCRA and VCP sites
Number of EPA CERCLIS Sites: 309
Sites identified for potential investigation under the federal Superfund Program
Number of EPA Brownfields Properties: 85
Properties being funded or addressed under the EPA Brownfields Program
There may be some overlap among the categories listed and sites listed may not
represent all potentially contaminated sites in Alabama.
Information current as of November 2008; please refer to
www.epa.gov/brownfields/pubs/st_res_prog_report.htm and the state Web sites provided,
or contact the points of contact identified above for more up to date information.
Points of Contact
ADEM RLF Program, Brownfields Redevelopment and Voluntary
Cleanup Program Letter of Concurrence
ADEM Brownfields Program, Land Division Program
http://216.226.179.150/LandDMsion/Brownfields/index.htm
http://216.226.179.150/LandDivision/LandDivisionPP.htm
Larry Morris, lan@adem.state.al.us, (334) 279-3053
Income Tax Capital Credit
Alabama Department of Revenue
Kelly Graham, kelly.graham@revenue.alabama.gov, (334) 242-1175
Tax Incentive Reform Act of 1992 Abatements
Alabama Department of Revenue
Angela Till, angela.till@revenue.alabama.gov, (334) 242-1175
Alabama Incentives for Development of Contaminated Land - Page 2
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