The Liberals’ 2023 budget includes a 15 percent refundable tax credit for companies that invest in “clean electricity,” which the Parliamentary Budget Officer (PBO) estimates will reduce federal revenues by $6 billion over four years.
A report published on June 29 states the Investment Tax Credit for Clean Electricity will be available for both taxable and non-taxable entities, including public utilities, as of the day of Budget 2024 for any projects that did not begin construction prior to the day of Budget 2023.
The credit will not be available after 2034, according to the Legislative Costing Note. The credit will apply to “eligible investments in non-emitting electricity generating systems, abated natural gas-fired electricity generation, stationary electricity storage systems and equipment for the transmission of electricity between provinces and territories.”…