Project Finance NewsWire

July 2010

IN THIS ISSUE

Cash Grant Update
The US Treasury Department posted a series of questions and answers to its website in late June to help project developers understand what they must do by year end to be considered to have started...

Revamped Solar Initiative in New Jersey
New Jersey has been a good market for solar developers, but recent legislative changes have created more opportunities, especially for developers of utility-scale projects...

The New UK Coalition Government’s Green Agenda
An innovative range of environmental policy initiatives has been announced by the new coalition government in Britain that builds on the promises made by the two coalition members in their recent ...

Mock Tax Equity Negotiation
The US government pays at least 56% of the capital cost of a typical wind farm in the United States in the form of tax subsidies. Few US developers can use the subsidies...

Spotlight On Turkey
Turkey is hoping that the prospect of 5% annual growth and ratings upgrades in Turkish sovereign debt will attract foreign investment...

Environmental Update
The US government announced thresholds in mid-May for when greenhouse gas emissions, like carbon dioxide or CO2, at power plants and factories will trigger review under a US program ...


IN OTHER NEWS

Carried Interest
Carried Interest legislation that the US Congress came close to enacting in June — and will probably enact eventually — could affect some transactions in the renewable energy sector...

Business Methods and Tax Strategies
Business methods and tax strategies may be possible to patent after a US Supreme Court decision in late June, but which business methods are patentable remains unclear...

A Carbon Tax
A carbon tax imposed by a US county is headed to court.

Tax Indemnity Claims
Tax indemnity claims were upheld against a lessee. The case holds lessons for lenders. Most US airlines have used lease financing when buying new aircraft...

The Hawaii Legislature
The Hawaii legislature voted to suspend tax credits for high-technology investments and infrastructure repairs to close a budget shortfall...

Arizona
Arizona enacted two measures in May to encourage use of renewable energy in the state.

Tax Credits
TAX CREDITS that reward companies for producing landfill gas, refined coal or electricity from renewable energy sources risk being denied unless the gas, coal or electricity is put to a beneficial use, an ....

Green Manufactures
Green manufacturers may get additional tax credits from Congress, but a key US Senator is concerned that the existing tax credits confer an advantage on US manufacturers who import components from...

Russia
Russia said that it will stop taxing capital gains on long-term foreign direct investments in the country after this year...

Brazil
Brazil completed approval in May of a decree that limits the ability of Brazilian companies to transfer profits abroad to shareholders in tax havens as interest payments on inter-company loans.

Natural Gas
Natural gas purchased in Indiana by independent power companies for use in generating electricity is exempted from state gross receipts taxes, the Indiana tax court held in June...

Minor memos
The US effective tax rate on corporations, at 35%, is 6.2% higher than the average among G-7 countries and 15.5% higher than the average among the 30 OECD countries...