The U.S. Department of the Treasury has allocated $2.2 billion in clean renewable energy bonds (CREBs) for 805 recipients across the country. Funded by the Energy Improvement and Extension Act of 2008 and the American Recovery and Reinvestment Act of 2009, these energy bonds help government agencies, public power providers and cooperative electric companies obtain lower-cost financing for clean energy development projects.
The Treasury allocates bond authority to governmental agencies, public power providers and cooperative electric companies involved in clean renewable energy development and production.
These bonds function as tax-credit bonds, which allow investors to receive federal tax credits in lieu of the payment of a portion of the interest on the bond. For CREBs, the federal tax credits will cover 70% of the interest on the bonds.
SOURCE: U.S. Department of the Treasury