Exemption from Electric Generation Tax

February 11, 2015

Summary

NOTE: Electric Generation Tax expired on October 1, 2013. Electric generation facilities are no longer required to pay generation tax.

In 2011, Connecticut created a new tax requiring electric power plants in the state that generate and upload electricity to the regional bulk power grid to pay $2.50 per megawatt hour. Renewable energy facilities, resource recovery facility, and customer-sited facilities are exempt from the tax. The tax and related exemptions are scheduled to sunset October 1, 2013.

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: Connecticut
Incentive Type: Sales Tax Incentive
Web Site:
Administrator: Department of Revenue Services
Start Date: 07/01/2011
Eligible Renewable/Other Technologies:
  • Geothermal Electric
  • Solar Thermal Electric
  • Solar Photovoltaics
  • Wind (All)
  • Biomass
  • Hydroelectric
  • Municipal Solid Waste
  • Fuel Cells using Non-Renewable Fuels
  • Landfill Gas
  • Wind (Small)
  • Hydroelectric (Small)
  • Anaerobic Digestion
  • Fuel Cells using Renewable Fuels
  • Other Distributed Generation Technologies
  • Microturbines
Incentive Amount: 100% exemption

Authorities

Name: Conn. Gen. Stat. § 12-268s
Date Enacted: 05/04/2011
Effective Date: 07/01/2011
Expiration Date: 10/01/2013
Name: SN 2011 (11)
Date Enacted: 09/06/2011
Effective Date: 09/06/2011
Name: H.B. 6704
Effective Date: 7/1/2013

Contact

Name: Taxpayer Services
Organization: Connecticut Department of Revenue Services
Address: 25 Sigourney Street
Hartford CT 06106-5032
Phone: (800) 382-9463

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.