The Inflation Reduction Act established 10 years of solar tax incentives, but added new requirements to reach the full 30% ITC for projects 1 MWAC and larger. Starting on January 30, 2023, contractors with four or more workers on a jobsite must employ apprentices for a certain number of labor-hours and pay prevailing wages to all workers to receive the full tax incentive.
Project contractors are responsible for meeting these new requirements, adding a layer of risk for all large solar project partners that wasn’t there before.
Categorizing workers correctly for prevailing wage calculation could be a challenge for solar companies, where workers are performing many different roles on a jobsite. In its November 2022 guidance, the Dept. of the Treasury advised contractors to visit the Dept. of Labor’s website sam.gov to locate the Davis-Bacon Act’s mandated prevailing wage information across the country. Sam.gov is a database searchable by state and broken down by county and type of laborer.
“Part one is figuring out what the right wages are, and then it’s how do you maintain records?” said Eli Hinckley, partner at law firm Baker Botts. “I think that the key is having good justification for why you’ve categorized things the way you have.”
If there’s no applicable prevailing wage for a type of worker in a particular county, Treasury instructs contractors to contact the Dept. of Labor’s Wage and Hour Division by email at [email protected]. Contractors...
Pakistan on April 22, Thursday urged the United Nations to call upon India to restore full implementation of the Indus Waters Treaty (IWT), warning that New Delhi’s “illegal” decision to hold the ...