Newsletter: State of IRA Tax Credits, Hydrogen Convening and More

Welcome to the weekly newsletter of the Michigan Energy Innovation Business Council (Michigan EIBC), the business voice for advanced energy in Michigan. Here’s what’s new this week:

 

The Future of IRA Provisions Is Under Close Scrutiny

“Uncertainty” has been the go-to term describing the early weeks of the Trump administration and the new U.S. Congress and its approach to the tax credits and grants put in place by the Inflation Reduction Act. To try to clear things up about what portions of the IRA are actually at risk, Michigan EIBC member Potomac Law Group recently published a note, “Renewable Energy Tax Incentives: Opportunities and Risks in 2025.”

The note goes down the line of IRA provisions and assesses their likelihood of being potentially repealed by Congress. Many provisions have a good chance of survival, Potomac Law Group notes:

Even though Republicans will control both houses of Congress, it would seem unlikely that all the provisions of the IRA would be repealed, since many Republican districts have benefited significantly from IRA renewable energy projects. The reality is that there is considerable Republican support for many of the current renewable energy tax incentives, including carbon capture, biofuels, hydrogen, and nuclear energy.

One area of particular concern is the provision allowing direct pay of energy tax credits for certain tax-exempt entities. According to the Potomac Law Group:

In assessing whether this monetization technique will survive, it is necessary to consider whether some of the credits available for this tool will survive in 2025, and then whether the basic direct pay rules will be modified. It could be argued that making changes to the specific credits themselves rather than the monetization rules is the most effective way to enact policy changes or raise revenue to offset other tax changes. It cannot be ruled out, however, that the need for revenue could result in repeal of this monetization tool or limitations on its use.

Read much more here.


Role of Clean Hydrogen Subject of Upcoming Public Convening

Opportunities in Michigan around hydrogen as a decarbonization tool are vast. The Midwest Alliance for Clean Hydrogen (MachH2), which is trying to build a “clean hydrogen hub” focused on hydrogen for vehicles, has received federal funding. Hydrogen as a clean industrial fuel has also garnered attention, exemplified by a plan from Michigan EIBC member 5 Lakes Energy to decarbonize the Dearborn Steel Works.

On March 4, these and other potential roles for hydrogen will be explored at a public convening Michigan EIBC is holding at member Michigan CAT’s facility in Lansing. The event will include networking/lunch, a presentation from Kevin Mehren, Deputy Infrastructure Officer, Michigan Infrastructure Office, a panel discussion with industry experts and an optional tour of the Michigan CAT facility. Register now!

The panel will be moderated by Michigan EIBC President Laura Sherman and consist of:

  • Dr. André Boehman, Professor of Mechanical Engineering, University of Michigan
  • Niko Landin, Development Program Senior Associate Engineer, Caterpillar Inc.
  • Reuben Sarkar, President & CEO, American Center for Mobility

Register for 13th Annual Michigan Energy Innovators Conference

Join us for our most popular event of the year! Register now for Michigan EIBC’s annual conference, to be held in East Lansing on April 2. This year’s keynote speaker will be Lt. Governor Garlin Gilchrist II.

More details about speakers and panels are available on the conference website. Sponsorship opportunities are available now! Contact Brianna (brianna@mieibc.org) for more information.

ANNOUNCING BREAKOUT PANEL

Thank you to our sponsors!
 

TERAWATT 




MEGAWATT

KILOWATT

the WATT



Renewing Member

Energy Sciences

Founded in 2008, Energy Sciences is an established and trusted resource that provides tailored energy consulting services and solutions with pride and integrity. A certified Women’s Business Enterprise headquartered in Berkley, Michigan, the Energy Sciences mission has a broad reach throughout the Midwest and beyond; we practice and promote sustainability and strive to be socially responsible for the benefit of our planet and its inhabitants. Working closely alongside building owners, facilities managers, contractors, and service providers, our diverse and highly skilled team provide a full spectrum of consulting and turnkey services to ensure the most impactful and sustainable outcomes. Energy Sciences’ additional service offerings include utility partnerships to design and implement incentive programs to lower commercial and industrial facilities’ energy usage, including full-time professional sales and engineering solutions for customers seeking embedded energy efficiency expertise. Energy Sciences has planned, designed, and deployed innovative utility energy efficiency and demand-side management programs, pilots, and research initiatives (e.g., demonstration studies) across commercial, industrial, and agricultural sectors for numerous Program Administrators, including ComEd, DTE Energy, Consumers Energy, Ameren Illinois, Indiana Michigan Power, Nicor Gas and Public Service Company of Oklahoma. Energy Sciences provides a wide range of services, from outreach and marketing, program management to engineering support and inspections.  



Michigan Energy News

  • “What happened in Fremont is exactly the sort of mire the state was hoping to prevent when it passed siting reforms in November 2023, creating an alternative pathway for zoning applications,” former Fremont Township Treasurer Patti Shinn writes in Bridge Michigan.
  • Consumers Energy has proposed a specific rate contract for data centers, but a coalition of data center operators calls the terms “onerous.”
  • It could take the entire rest of the year for Consumers Energy to decide the fate of several Michigan hydroelectric dams.
  • The amount of rescinded or frozen funds for Michigan clean energy projects amounts to $21 billion, Michigan Public reports.
  • LG Energy Solution announces plans to start producing lithium-ion batteries for energy storage systems from its Holland plant in the second half of the year.

National Energy News

  • The challenge of dealing with large loads like data centers should lead to a “rational standardization” of the interconnection process, according to former Meta Director of Energy Strategy Peter Freed and former FERC Commissioner Allison Clements.
  • Legislation introduced to Congress would allow “dispatchable” generation to jump ahead of other resources in interconnection queues in regional transmission organizations.
  • American Electric Power expects electric sales across its 11-state service area to increase 8.6% per year over the next three years.
  • A proposed Ohio wind farm is garnering public support from rural residents.

 

Job Board

Attention Michigan EIBC members: if you have a job announcement you would like in the newsletter, please send a paragraph describing the position and a link to apply to Matt Bandyk at matt@mieibc.org. Please include in the email a specific end date for the job posting.

Elevate

Director of Government Partnerships. Location: Chicago/Remote.

The Director of Government Partnerships manages federal and public sector funding opportunities to support a comprehensive development plan to diversify revenue streams, realize fundraising goals, and contribute to designing and implementing structures and systems. The Director of Government Partnerships leads Elevate’s strategy for public sector fundraising and oversees the development of government-funded proposals and programs in coordination with implementation teams and operations. This role partners with other Development Team members and colleagues across the organization to develop and achieve annual fundraising goals. 


 

Michigan and National Energy Events

Join Michigan EIBC for a public convening on March 4 to explore and learn about the many potential roles for hydrogen in our transportation, industrial, and power sectors. The event will include networking/lunch, a panel discussion with industry experts, and an optional tour of Michigan CAT’s Lansing facility. Register here.

The 13th Annual Michigan Energy Innovators Conference will be held at the Kellogg Center in East Lansing on April 2Register here.

The Michigan Department of Environment, Great Lakes and Energy’s (EGLE) MI Healthy Climate Conference is taking place April 22-23 at the Huntington Place in Detroit. Find out more here.


 

Opportunities

The Michigan Department of Environment, Great Lakes, and Energy (EGLE) has announced the first in a series of Requests for Proposals, offering $5 million in initial funding to support the deployment of non-public Level 2 alternating current electric vehicle charging stations at existing multifamily housing units. Individual grant awards are capped at $300,000, with applicants required to provide a minimum 30% match of the total requested funds if the project is outside an environmental justice community. Find the RFP here. Proposals will be accepted on a rolling basis until all funds are allocated.

Michigan Clean Energy Leaders (MCEL), is seeking nominees for our next cohort. A fellowship program and network, MCEL convenes leaders to build relationships, share knowledge and skills, and nurture collaboration to accelerate Michigan’s clean energy transition. MCEL is seeking nominees — diverse in identity, background, geography and industry — who are in the first 10-15 years of a career in clean energy. Please visit micleanenergyleaders.com today to learn more and submit a nomination!

The Michigan Department of Environment, Great Lakes and Energy (EGLE) has announced several new programs with funding available for energy-related projects, including the Agriculture and Rural Business Energy Incentive Program, the Small Manufacturers Retooling Program, the Grid Resiliency Program, the Water Energy Nexus Program and the Sponsorship Program.

The Electrification Coalition is calling on American businesses, trade associations, and workforce development organizations to urge the federal government to support the domestic EV manufacturing industry by maintaining clean vehicle tax policies and grants to continue to incentivize private investment. Read the letter here and fill out the form to add your organization as a signatory.

The Coalition for Green Capital (CGC) has an open, rolling solicitation seeking proposals for investment from project developers, sponsors, communities, private equity firms, financial intermediaries, co-lenders or others. Find out more information here.

The State of Michigan’s Michigan Infrastructure Office Technical Assistance Center has launched a website with information about how tax-exempt entities can take advantage of federal clean energy tax credits using elective pay.

Michigan EIBC member Michigan Saves is excited to announce a Request for Qualifications (RFQ) for predevelopment technical assistance services to help advance clean energy projects across Michigan. This initiative aims to equip organizations with the resources and expertise needed to design, develop, and implement impactful energy solutions. Michigan Saves encourages qualified professionals to submit their proposals and contribute to building a sustainable future. Find the RFQ here. The deadline for submitting responses is Feb. 21.

The MPSC has released a request for proposals seeking applicants for $4.875 million in Renewable Energy and Electrification Infrastructure Enhancement and Development grants. The deadline is March 20, and you can find out more at the MPSC’s webpage for the program here.

The U.S. Department of Agriculture’s Rural Energy for America Program is accepting applications from agricultural producers and rural small businesses for grants and guaranteed loans There is an upcoming deadline on March 31Find out more here.

Michigan EGLE is offering at least $320,000 in funding MI Solar Communities-MI Solar Access Program. Applications will be accepted through March 31 or when funding is expended, whichever comes first. Find the request for proposals for MI Solar Access here.

Michigan EGLE has released an RFP for grants from its Clean Energy Workforce Development Program. The application deadline is July 30.

Michigan State University’s Department of Agricultural, Food, and Resource Economics (AFRE) is seeking a full-time Associate Professor (FT) to serve as the Director of the Institute of Public Utilities (IPU). Find out more about this position here.

The Michigan Public Service Commission has created a website tracking its progress implementing Public Acts 229, 231, 233, 234, and 235, passed on Nov. 8, 2023 and signed by Governor Gretchen Whitmer on Nov. 28.

Rheaply, NextCycle Michigan and Michigan EGLE have launched the Michigan Materials Marketplace, which allows businesses to buy and sell excess materials so they can be reused instead of discarded.

Michigan EGLE is launching the Renewables Ready Communities Award (RRCA), which makes Michigan municipalities that have, on or after October 1, 2023, begun physically hosting and/or performing local permitting for any portion of an eligible renewable energy project eligible for awards of $5,000 per MW. Applications will be reviewed on a rolling basis until funds are depleted and there is no specific deadline. More information on this opportunity can be found on the RRCA Webpage.