Bipartisan, bicameral legislation introduced by U.S. Rep. Tom Rice (R-SC) would make the nuclear production tax credit (PTC) available to nonprofit partners in nuclear facilities, thereby allowing them to pass on rate savings to consumers.
The nuclear PTC was designed to incentivize public-private partnerships to invest in nuclear facilities that create thousands of jobs and reduce carbon dioxide emissions. However, ratepayers to nonprofit partners aren’t able to receive the credit while ratepayers to for-profit partners are.
“Other energy technologies are able to fully use their credits with public-private partnerships and nuclear energy should have the same consideration,” Rice said. “This bill helps to correct a disparity of current law so savings can be passed on to millions of consumers in South Carolina and across the country who deserve affordable, reliable energy.”
Four nuclear power units are under construction in South Carolina and Georgia, and one of the partners is a nonprofit entity in each project. The legislation would amend federal tax code to enable nonprofit partners to use the nuclear PTC.
U.S. Sen. Tim Scott (R-SC) introduced companion legislation in the Senate.
“This is a more responsible and efficient way to deliver the incentives Congress created to construct new, clean nuclear power through public-private partnerships,” Scott said. “South Carolina is leading the nation as a first mover in building advanced nuclear power facilities that help our energy sector to meet the needs and challenges of our state’s 21st century manufacturing economy. Most importantly, it will be a positive change that will benefit millions of South Carolina residents.”