Plug Power Inc. (NASDAQ:PLUG), a leader in providing clean, reliable energy solutions, today joins the hydrogen fuel cell industry in applauding the reinstatement of the fuel cell investment tax credit (ITC). Early this morning Congress passed, and the President signed into law, the Bipartisan Budget Act of 2018 which included a five-year phase down and phase out of the expired ITC. With the reinstated fuel cell tax credit now in place, a level playing field has been reestablished for alternative energy power solutions.
The newly-placed tax plan extends the ITC for fuel cells through 2022, phasing down from 30% to 26% in 2020 and 22% in 2021. Most importantly, this tax credit is an important tool to keeping the American-made fuel cell industry in place and allowing it to scale.
Incredible collaboration, both politically and industry-wide, went into rallying around the fuel cell tax credit reinstatement. Hydrogen fuel cells are a “made in America” power solution. According to the Fuel Cell and Hydrogen Energy Association, the entire industry provides more than 10,000 jobs in the United States, and supports tens of thousands of additional jobs through its customers, suppliers and installers. These high-skilled, well-paid workers, are helping America win the tough, global competition for manufacturing. All involved applaud the actions taken to address the market disparity that was created in 2015.
“Over the past two years, I have seen true bipartisan efforts to bring this across the finish line,” said Andy Marsh, CEO of Plug Power. “Congress has once again created a fair and level playing field which enables the best and most beneficial technologies to prevail in the marketplace on merit. This tax credit extension is a win for the fuel cell industry and it is protecting good-paying American manufacturing and service jobs, not just in New York, but across the country.”
Instrumental to the extension is incredible bipartisan support from both the Senate, led by Senator Charles E. Schumer (D-NY), and The House of Representatives, including Congressman Paul Tonko (D-NY), Congressman Tom Reed (R-NY), Congressman John Faso (R-NY) and Congresswoman Cathy McMorris Rodgers (R-WA).
“This tax credit not only incentivizes businesses to purchase clean, American-made fuel cells from innovative companies like Plug Power, but it is also a proven job creator. When I visited Plug Power in 2010 the company had 87 employees, when I returned in 2016 they had over 300 employees, and revenue had increased by 400 percent! The ITC tax credit had a lot to do with that success, so I knew it must be renewed, but it wasn’t easy. I’ve been working for over two years to bring my colleagues together, from both sides of the aisle, to pass this extension, and yesterday our hard work finally paid off. Simply put, this pro-growth credit will continue to allow companies like Plug Power grow and create even more jobs for a generation to come,” said Senator Charles E. Schumer.
The fuel cell industry consists of a strong collaboration of technology, manufacturing, service and policy organizations. Plug Power worked closely alongside strong colleagues, including those from the Fuel Cell Hydrogen and Energy Association, BloomEnergy and the National Gas Association, to support the policy efforts.
About Plug Power Inc.
The architect of modern hydrogen and fuel cell technology, Plug Power is the innovator that has taken hydrogen and fuel cell technology from concept to commercialization. Plug Power has revolutionized the material handling industry with its full-service GenKey solution, which is designed to increase productivity, lower operating costs and reduce carbon footprints in a reliable, cost-effective way. The Company’s GenKey solution couples together all the necessary elements to power, fuel and serve a customer. With proven hydrogen and fuel cell products, Plug Power replaces lead acid batteries to power electric industrial vehicles, such as the lift trucks customers use in their distribution centers.