First 'Guidance' Issued for Climate Act Tax Break Labor Use

Abstract

The key labor requirements include hiring construction apprentices who participate in registered programs and paying workers at prevailing wage rates in the areas where projects are located. Treasury Secretary Janet Yellen says tax incentives account for $270 billion of the law’s $369 billion in climate-related investments. But contractor groups say the guidance lacks detail developers and contractors need to understand new provisions and weigh impacts on project costs and benefits. "We are just going through it now," says Brian Turmail. The guidance is vague. The requirements will apply to the new requirements. The new rules will go into effect in about 60 days.