Increases the amount of geothermal energy systems tax credits

◆ The sponsor's argument

Why the sponsor says this is needed

As New York transitions to clean energy and zero emission sources, geothermal energy systems provide a unique opportunity to both heat and cool homes, without toxic emissions. In 2022 the state enacted up to a $5,000 nonrefundable tax credit for homeowners installing a geothermal energy system in their residence. While these credits have proven to be popular, the credit amount does not cover the entire cost of installa- tion, and the overall cost of geothermal systems has increased during that time. This bill will double the geothermal tax credit, from $5,000 to $10,000, to better address the cost of installation. Further, in recognition that many low to moderate income households have a low or no tax burden, this bill makes this credit refundable for low- and moderate-income house- holds, or for households located in a disadvantaged community. Taking this action will further spur the installation of geothermal systems, helping to advance New York's transition to clean sources of energy.

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.