Qualifying Advanced Energy Project Credit (section 48C)

What's New

Certifications Released

A list of the applicants’ names and credit amounts of all certifications of Qualifying Advanced Energy Project tax credit projects has been released.  Section 48C(d)(5) of the Internal Revenue Code requires the Service to disclose the names and amounts of certifications.  The list contains information for certifications issued in both phases of the Section 48C (§ 48C) Program.  The list is available through the link below.


The Qualifying Advanced Energy Project tax credit is a credit for businesses which establish, expand or re-equip a manufacturing facility for the production of —

  • property designed to be used to produce energy from the sun, wind, geothermal deposits or other renewable resources,

  • fuel cells, microturbines, or an energy storage system for use with electric or hybrid-electric motor vehicles,

  • electric grids to support the transmission of intermittent sources of renewable energy, including storage of such energy,

  • property designed to capture and sequester carbon dioxide emissions,

  • property designed to refine or blend renewable fuels or to produce energy conservation technologies (including energy-conserving lighting technologies and smart grid technologies),

  • new qualified plug-in electric drive motor vehicles, qualified plug-in electric vehicles, or components which are designed specifically for use with such vehicles, including electric motors, generators, and power control units, or

  • other advanced energy property designed to reduce greenhouse gas emissions.

An example is building a factory to manufacture solar panels.

The credit amount is 30 percent of qualified investment in selected manufacturing facilities.  Taxpayers must apply in advance and have their facilities selected to be eligible for the credit.  The process for applying and being allocated a credit is summarized as follows (details are in Notice 2009-72 for the Phase 1 Program and in Notice 2013-12 for the Phase II Program):

  • The taxpayer applies for the credit.

  • If approved, the IRS sends the taxpayer a letter allocating a credit to the taxpayer’s project.

  • The taxpayer sends the IRS two signed copies of the required agreement.

  • The IRS signs the two copies of the agreement and returns one to the taxpayer.

  • Within 1 year of the date of the allocation letter, the taxpayer sends the IRS a request for certification of its project documenting its progress implementing the project.

  • If the IRS approves it sends the taxpayer a certification letter.

  • The taxpayer must complete its project within 3 years of the date of the certification letter then notify the IRS of completion.


Section 48C in the Internal Revenue Code (Title 26 of the U.S. Code), was enacted as part of the American Recovery and Reinvestment Act of 2009.  It is sometimes referred to as the section 48C (§ 48C) credit.

Notice 2009-72, issued August 13, 2009, announced that $2.3 billion in § 48C credits were available in the § 48C Phase 1 Program.  Letters allocating all the credits available were mailed January 7, 2010.  See Notice 2009-72, available through the link below.

Notice 2013-12, issued February 7, 2013, announced that $150,228,397 in § 48C tax credits were available in the § 48C Phase II Program.  Letters allocating all the credits available were mailed November 15, 2013.  See Notice 2013-12 and the updated Frequently Asked Questions, available through the links below.

General 48C Resources

Section 48C of the Internal Revenue Code

List of all certifications of § 48C projects issued.

Phase II Program (2013) Resources

Notice 2013-12 -- how the Phase II program in 2013 works

Frequently Asked Questions

Webinar on how to apply – an informational webinar on the 48C Phase II Program hosted by the Department of Energy on February 19, 2013.  Scroll down to the 48C section and select the “48C_Webinar” link. 

Phase II Application Portal -- all 2013 applications must be submitted through this site. Select FOA number 48C-0002013 then read the instructions on the next screen.  Click on the “EERE_eXCHANGE_48C_Applicant_User_Guide” link to view or download the user guide.  Click on the “Apply” button to register and begin the application process.”

Fillable template of the agreement required in the Phase II program in 2013

Phase I Program (2009) Resources

Notice 2009-72 – how the Phase I program in 2009 works

Fillable template of the agreement required in the Phase I program in 2009

Contact Us

Please contact the IRS with questions about the program by telephone at 636-255-1246.