Federal Investment Tax Credit Extended through 2021 for Microturbines and Combined Heat and Power Passed into Law by U.S. Pre...
February 12 2018 - 8:30AM
Capstone Turbine Corporation (www.capstoneturbine.com)
(Nasdaq:CPST), the world's leading clean technology manufacturer of
microturbine energy systems, announced today that the 10% federal
Investment Tax Credit (ITC) was extended in the bi-partisan budget
through the end of 2021 for microturbines and combined heat and
power (CHP) projects. The credit will continue to apply to
purchases of Capstone’s ultra-low emission and high-reliability
microturbine systems. The final two years (2020 and 2021) of the
ITC for all included technologies will contain a phase-out period.
In year three of the extension, the ITC will drop to 8% and down to
6% in the final year.
Capstone personnel worked diligently in partnership with the
Natural Gas Association, Combined Heat and Power Association, and
other CHP industry members in support of this important new
legislation as a means to accelerate the widespread adoption of CHP
and microturbine technology.
Microturbines are highly efficient energy systems with low
emissions that supply clean, distributed, and resilient power.
Microturbine technology was invented in the United States, where
the overwhelming majority of this technology continues to be
produced today. The federal ITC has accelerated the deployment of
microturbine technology and is an important signal to the
microturbine manufacturing industry to continue investing in
research and development and expanding its U.S. hiring and
manufacturing base.
Additionally, the ITC has supported growth in CHP deployment
with 870 megawatts in new installations in the U.S. in 2012 alone
and reached an overall U.S. CHP capacity of 82.6 gigawatts.
Allowing for the effective continued use of the ITC is a critical
step toward supporting this growth and enhancing manufacturer
competitiveness in the market.
“The extension of the 10% federal income tax credit will help
improve the economics of many of our end-use customers CHP and CCHP
projects and is another key component to help drive accelerated
revenue growth in addition to the weakening U.S. dollar and higher
crude oil prices,” said Darren Jamison, President and Chief
Executive Officer of Capstone. “We will work with our U.S. based
distribution partners to immediately rerun the economics on all
pending CHP projects to show customers the new tax impact on their
project,” added Mr. Jamison.
About Capstone Turbine Corporation
Capstone Turbine Corporation (www.capstoneturbine.com)
(Nasdaq:CPST) is the world's leading producer of low-emission
microturbine systems and was the first to market commercially
viable microturbine energy products. Capstone has shipped over
9,000 Capstone Microturbine systems to customers worldwide. These
award-winning systems have logged millions of documented runtime
operating hours. Capstone is a member of the U.S.
Environmental Protection Agency's Combined Heat and Power
Partnership, which is committed to improving the efficiency of the
nation's energy infrastructure and reducing emissions of pollutants
and greenhouse gases. A UL-Certified ISO 9001:2015 and ISO
14001:2015 certified company, Capstone is headquartered in
the Los Angeles area with sales and/or service centers in
the United States, Latin America, Europe, Middle East and
Asia.
Forward-Looking Statements
This press release contains "forward-looking statements," as
that term is used in the federal securities laws. Forward-looking
statements may be identified by words such as "expects,"
"objective," "intend," "targeted," "plan" and similar phrases.
These forward-looking statements are subject to numerous
assumptions, risks and uncertainties described in Capstone's
filings with the Securities and Exchange Commission that may cause
Capstone's actual results to be materially different from any
future results expressed or implied in such statements. Capstone
cautions readers not to place undue reliance on these
forward-looking statements, which speak only as of the date of this
release. Capstone undertakes no obligation, and specifically
disclaims any obligation, to release any revisions to any
forward-looking statements to reflect events or circumstances after
the date of this release or to reflect the occurrence of
unanticipated events.
"Capstone" and "Capstone Microturbine" are registered trademarks
of Capstone Turbine Corporation. All other trademarks
mentioned are the property of their respective owners.
CONTACT:
Capstone Turbine CorporationInvestor and investment media
inquiries:818-407-3628ir@capstoneturbine.com
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