Solar tax change will help environment and economy

South Carolina is on the verge of an amazing opportunity: a chance to protect our natural resources, create good-paying jobs, boost local government revenues and bring in $1.4 billion in investments.

And we can do this by supporting solar — a free, clean, renewable fuel.

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SC solar farms on hold, awaiting tax break

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The Renewable Energy Economic Development bill, currently in the S.C. House, will help move forward some of the pending 91 solar projects across the state, proposed by more than 50 solar companies.

S.44, which was approved in a bipartisan vote of 38-4 in the Senate, sets tax policy for solar energy development projects consistent with North Carolina’s and finally puts South Carolina on competitive footing in this booming industry.

Our state is lagging sorely behind in reaping the benefits of solar. According to the Solar Energy Industries Association, just $245 million was invested in South Carolina’s solar industry last year, compared to $1.9 billion in Georgia and $5.5 billion in North Carolina.

This bill would help close that gap and pave the way for major increases in county revenues by removing the current uncertainty for those who want to invest in solar here.

Right now, solar developers have to negotiate with each county, which adds costs and burdens. A uniform statewide policy would reduce that barrier for investment and get more projects underway faster.

The S.C. Solar Business Alliance has identified 91 projects in various stages of planning that represent $1.4 billion in investment over the next three years. But some of these projects are on hold until the Legislature provides clarity about how they will be taxed.

Counties are currently collecting $21,189.63 per year in property taxes on land identified for the 91 projects. But if all of the solar farms were built, counties would reap 594 times as much, or $12.6 million.

Our state leaders must pass this legislation. Now is the time to embrace solar and to support major investments in a clean, reliable, cost-effective energy technology for South Carolina’s future. It makes sense for our environment and for our economy.

This story was originally published April 3, 2017 at 5:29 PM with the headline "Solar tax change will help environment and economy."