In Biden’s Climate Law, a Boon for Green Energy, and Wall Street

Tax attorney Amish Shah was quoted in an New York Times article about the 2022 climate law signed by President Biden that seeks to help small companies gain access to funding for clean energy projects. This law has accelerated investments in projects across the United States, while also delivering financial windfalls for big banks, lawyers, insurance companies and startup financial firms by creating an expansive new market in green tax credits.

Tax professionals and clean energy groups say the marketplace has widely expanded financing abilities for companies working on emissions-reducing technologies, adding private sector scrutiny to climate investments. The Biden Administration has said that instead of borrowing at high interest rates, clean-tech companies can save money by selling their tax credits to raise capital.

Mr. Shah commented on the role of brokers in obtaining tax credits for companies, saying the law — formally known as the Inflation Reduction Act (IRA) — has created new opportunities in this space for brokers. He added that he expects Holland & Knight to be involved in $1 billion worth of tax credits this year.

“There weren’t brokers in this space, you know, a year ago or 14 months ago before the IRA came out,” said Mr. Shah. “There are lots of brokers in this space now.” 

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