Bill > HB186

This bill establishes a new tax credit program to incentivize the construction and operation of high-efficiency Combined-Cycle Gas Turbine (CCGT) electrical generation facilities in Delaware. The legislation allows tax credits for up to three CCGT facilities with generation capacity between 100 and 500 megawatts, powered by natural gas, hydrogen, or landfill gas, and entering service between 2027 and 2038. The base Electricity Production Tax Credit (EPTC) is $4 per megawatt-hour, with additional bonus credits of $1 per megawatt-hour available for facilities located on brownfield or former power plant sites, achieving high efficiency ratings (55% or higher), or integrating carbon capture technology. Companies can offset their state corporate tax liability with these credits, carry forward unused credits for up to 10 years, or sell/transfer credits to other entities. The credits are valid for 10 years from the facility's commercial operation date, with a total annual credit value cap of $15 million per facility. Participating companies must submit annual production and efficiency reports, and the credits are subject to oversight by multiple state agencies, including the Public Service Commission, Delaware Division of Revenue, and Department of Natural Resources and Environmental Control.

Budget and Finance

https://legis.delaware.gov/BillDetail?LegislationId=142401