New sponsors/investors often ask whether a solar investment tax credit (“ITC”) can be clawed back. This is important because these investors are often asked to backstop the ITC. The short answer is that the “unvested” portion of the credit can be clawed back where the project is sold or turned off permanently. The real risk, however, is whether the ITC was miscalculated. Let us first set the stage. [...]
Today we spend the entire show talking about the size of the solar market. How much solar generating capacity is installed; how much solar manufacturing capacity exists; and how much solar is held in China, the largest solar market in the world.