A facility as defined in the IUB's rules in 199 IAC chapter 24 must apply for a generating certificate prior to construction of significant alteration. County and local governments and state and federal agencies may have additional requirements.
Under Iowa Code chapter 476C, a state production tax credit of 1.5¢ per kWh is available for energy sold by eligible wind energy facilities and certain other non-wind renewable energy facilities. For applications filed after July 1, 2011, tax credits are also available for on-site consumption of renewable energy from facilities with a nameplate capacity of not less than 750 kW. For wind energy facilities, the maximum total eligibility is 363 MW. For other non-wind renewable facilities, the maximum total eligibility is 63 MW. The eligible facility was required to have been placed in service before January 1, 2018.
The tax credit certificates are transferable and may be applied toward the state's individual income, corporate income, franchise, insurance premium, sales and use, or replacement tax.
For more information, see the IUB’s Renewable Energy Tax Credits webpage.
Additional tax credits or exemptions may be available through programs not administered by the IUB. More information is available at dsireusa.org.
Net metering means using a single meter to monitor the net amount of electricity delivered to and exported by an eligible distributed generation facility. The electricity generated by the distributed generation customer offsets electricity that would otherwise be purchased by a distributed generation customer from the electric utility. The IUB's administrative code rules for net metering are found in 199 IAC 15.11(5).
On March 12, 2020, Gov. Kim Reynolds signed Senate File 538 (Iowa Code 476.49), which required Interstate Power & Light Company, a subsidiary of Alliant Energy, and MidAmerican Energy Company to file new net metering tariffs utilizing either the net billing or inflow-outflow method. For more information see the IUB's On-Site (Distributed) Generation webpage.
Iowa’s alternate energy law was one of the country’s first renewable energy policies and, in many ways, was a precursor to today’s renewable portfolio standards. Iowa has a capacity-based requirement of 105 MW and associated energy, which rate-regulated utilities are obligated to purchase. In 2007, the IUB issued an order in Docket No. AEP-07-01 that approved specific facilities designated by the rate-regulated utilities for satisfying this requirement.