Biomass Facility Construction Act

The Biomass Facility Construction Act reinstates federal investment and production tax credits for new open- and closed-loop biomass facilities. These tax incentives apply specifically to projects that begin construction after the bill is enacted, allowing eligible properties to be treated as energy property with a 30 percent energy percentage for investment credit calculations. Additionally, the legislation removes previous limitations on production credits for these new facilities, ensuring they remain available for biomass projects starting after the enactment date. The bill directly affects developers and operators planning to build new biomass energy plants, providing financial benefits to encourage such construction.