Please ensure Javascript is enabled for purposes of website accessibility House Finance Committee hears testimony on expanding next generation energy projects

House Finance Committee hears testimony on expanding next generation energy projects

HARRISBURG, May 2 – The state House Finance Committee held a public hearing Thursday on legislation that would expand investments in next generation energy projects and economic development across the Pennsylvania.

The EDGE 2.0 plan builds on the existing Pennsylvania Economic Development for a Growing Economy Tax Credit Program and is part of Gov. Josh Shapiro’s energy strategy known as the “Lightning Plan” to better position the Commonwealth to continue to be a national energy leader for decades to come.

Rep. John Inglis, D-Allegheny, is the prime sponsor of H.B. 500 which would expand the existing EDGE Tax Credit program and address its limitations.

“To date, not one entity has been eligible for a tax credit through the existing EDGE program,” Inglis said. “Our EDGE 2.0 would refine the good intentions of the initial platform to make it more accessible and applicable to Pennsylvania businesses.”

The plan would address five pressing areas of need of investment in Pennsylvania’s energy, technology and agricultural economies, creating tax credits for Semiconductor Manufacturing, Sustainable Aviation Fuel, Pennsylvania Milk Processing, Reliable Energy Investment and Clean Hydrogen Hubs.

Inglis testified at the hearing on the Pennsylvania Milk Processing Tax Credit portion of the plan.

“In particular, we’re opening this up to even more of our Pennsylvania dairy farmers, investing in our state’s number one industry by lowering the investment and worker thresholds, and quadrupling the per-gallon credit.”

Finance Committee Chairman Steve Samuelson, D-Northampton, said that making the EDGE credits more accessible is paramount to supporting these manufacturers and projects and keeping these vital industries in Pennsylvania.

“When the PA Economic Development for a Growing Economy tax credit package was created in 2022, we implemented a package of several tax credit programs designed to spur economic growth in the Commonwealth. Unfortunately, the qualifications for businesses to claim these tax credits are unattainable for most businesses in the industry. Not only do these requirements leave those worthy businesses out but it also means the credit has gone unused for the past three years. EDGE 2.0 seeks to make the tax credits more attainable so they can be better used to spur economic development,” he said.

The committee heard testimony from industry and trade leaders as well as other legislators about the benefits that the EDGE 2.0 tax credits and Shapiro’s Lightning Plan would provide for economic development and energy stability, while ensuring Pennsylvania remains an energy leader.

A voting meeting has been scheduled for May 7 for a full committee vote on the bill.