Graybar Renewables screengrab

As the state and nation transition to renewable and alternative energy sources, legislation is being passed to ensure there’s infrastructure to support it.

In March, the National Electric Vehicle Infrastructure (NEVI) program standards and requirements were established by the Federal Highway Administration, setting requirements for federal construction projects relating to installation, operation and maintenance of EV charging infrastructure.

Graybar, a leading American wholesale electrical, communications and data networking products distribution business, offers services from its Fresno location dedicated to clean energy.

Graybar Renewables serves Central Valley commercial, industrial and utility scale solar systems with core components, including panels, inverters, racking, battery storage and EV chargers as well.

According to a whitepaper from Graybar, it’s estimated that 29.5% of all sales will be EVs, about an annual 4.7 million vehicles, by 2030.

Along with forecasts for EVs, solar usage is expected to jump.

The U.S. Energy Information Administration estimates that solar energy, which made up 3% of U.S. energy in 2020, is predicted to be 20% of the mix before 2050.

To help meet the nation’s environmental goals, the Inflation Reduction Act of 2022 created financial incentives for investing in renewable energy in the commercial sector and for individuals to purchase new and used EVs.

A key provision of the Inflation Reduction Act is a 30% federal tax credit for EV charging projects at select commercial locations.

There are also maximum per-site credit increases from $30,000 to $100,000 if prevailing wage requirements are met.

The Inflation Reduction Act brought a 10-year extension on the Alternative Fuel Vehicle Refueling Infrastructure Credit, which expired in late 2021.

Additionally, the Inflation Reduction Act created a Clean Electricity Investment Tax Credit, an emissions-based incentive that is tech-neutral and flexible between clean electricity technology. It is set to be phased out by 2032, or when emission targets are achieved.

The new tax credit creates a 6% to 30% investment tax credit for new construction, depending on various elements of the project regarding output and wage requirements.

There is also a 10% bonus for reaching domestic content requirements for certain components, and a possible 10% to 20% bonus depending on project location.