Aug. 25, 2026: Renewable Energy Tax Credit Finance Series: What Structures are Winning in 2026?

[upbeat music] Bringing you the latest in tax credit news, insight, and analysis, this is Tax Credit Tuesday with your host, Michael Novogradac.

Hello, I'm Michael Novogradac, and this is Tax Credit Tuesday.

This is the August 25th, 2026 episode.

This week, I'm joined once again by my partner, Tony Grappone, and our regular audience knows just what that means.

This is the latest episode in our Renewable Energy Tax Credit Finance series.

Anyone who listens to Tax Credit Tuesday regularly knows Tony.

He has spent decades working on renewable energy tax credit transactions, finance modeling, and tax equity structures.

Probably doesn't like the fact that I emphasized decades.

[laughs] And he's helped countless developers, investors, and lenders navigate the constantly evolving renewable energy marketplace.

Today, Tony and I are gonna discuss the top renewable energy finance structures in 2026.

We'll also be discussing some key financial modeling considerations for developers and sponsors who are pursuing developing renewable energy tax credit transactions.

Now, if you've been involved in the renewable energy industry for any length of time, you know that there isn't a one-size-fits-all approach when it comes to transaction structures.

A lot of the other tax credits that we work with do have some pretty standard structures that are virtually one-size-fits-all.

This is not that.

In part it's because developers and investors just have different priorities with respect to the various tax benefits and other economic benefits of the facilities that they're seeking to develop.

And not only do developers and investors have different priorities for the various sharing of the various benefits, the market itself continues to evolve.

You have tax credit transferability, evolving investor demand, as well as other financing changes.

As a result, sponsors are typically reviewing multiple structure options simultaneously and trying to determine which one delivers the best combination of economics, flexibility, and long-term value.

Given all of that, today Tony and I are gonna discuss the most common structures currently being used, how sponsors or developers should think about evaluating those structures, and why a robust financial model is often one of the most important tools to ensure a sponsor developer is making the right decision.

Tony and I have a lot to cover today, so if you're ready, let's get started.