The Energy Storage Report 2024

Now available to download, covering deployments, technology, policy and finance in the energy storage market

Canada’s budget includes energy storage tax credit in wave of cleantech investment

By Will Norman
LinkedIn
Twitter
Reddit
Facebook
Email

Canada will introduce tax credit incentives and invest in developing and manufacturing solar PV, energy storage and other renewable energy technologies in an Inflation Reduction Act-style scheme.

The Government of Canada has released its 2023 budget, which positions growing the clean economy as one of its core priorities, alongside healthcare and ‘affordability’. Under the budget, the government has confirmed the 30% refundable tax credit on investments made by taxable entities into clean energy technologies like solar, battery storage and wind. This builds on its first announcement in the Fall Economic Statement 2022 plan, which was covered on EnergyStorage.news.

This article requires Premium SubscriptionBasic (FREE) Subscription

Enjoy 12 months of exclusive analysis

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Annual digital subscription to the PV Tech Power journal
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

A 15% refundable tax credit for investments into clean electricity generation and energy storage by non-taxable entities – like indigenous communities and municipally-owned utilities – was announced as well.

It also proposes to introduce a 30% refundable tax credit for clean technology manufacturing, applying to investments into machinery and equipment used for manufacturing processes as well as extracting, processing and recycling critical materials to clean supply chains.

The US’ landmark IRA, which set aside huge credits for energy transition investment, has seen others like the EU – and now Canada – trying to follow suit and remain competitive. Details of the scheme are yet to be clarified.

To read the full version of this story including further details of the fiscal budget, go to PV Tech.

18 March 2025
Austin, Texas
The Energy Storage Summit USA is the only place where you are guaranteed to meet all the most important investors, developers, IPPs, RTOs and ISOs, policymakers, utilities, energy buyers, service providers, consultancies and technology providers in one room, to ensure that your deals get done as efficiently as possible. Book your ticket today to join us in 2025!

Read Next

June 6, 2024
According to Lazard, the impact of Inflation Reduction Act (IRA) incentives on the business case for battery storage in the US is now significant.
June 5, 2024
Invinity Energy Systems, a technology company that develops vanadium redox flow batteries (VRFB), plans to expand its manufacturing footprint in Scotland, UK.
May 31, 2024
Editor Andy Colthorpe speaks with Long Duration Energy Storage Council director of markets and technology Gabriel Murtagh.
May 30, 2024
The European Council has formally adopted the EU’s support package for its clean energy manufacturing industry, the Net-Zero Industry Act (NZIA), amidst mixed fortunes for local battery gigafactory projects.
Premium
May 29, 2024
Some of the current market prices for lithium-ion batteries are below cost and will not last forever but Europe still needs to be more cost-competitive, the CEO of one of Europe’s first large-scale manufacturing facilities told Energy-Storage.news.

Most Popular

Email Newsletter