95-6923. Renewable Electricity Production Credit, Publication of Inflation Adjustment Factor and Reference Prices for Calendar Year 1995

[Federal Register Volume 60, Number 54 (Tuesday, March 21, 1995)]
[Notices]
[Pages 14999-15000]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-6923]



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DEPARTMENT OF THE TREASURY
Internal Revenue Service


Renewable Electricity Production Credit, Publication of Inflation 
Adjustment Factor and Reference Prices for Calendar Year 1995

AGENCY: Internal Revenue Service (IRS), Treasury.

[[Page 15000]] ACTION: Publication of inflation adjustment factor and 
reference prices for calendar year 1995 as required by section 
45(d)(2)(A) (26 U.S.C. 45(d)(2)(A)).

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SUMMARY: The 1995 inflation adjustment factor and reference prices are 
used in determining the availability of the renewable electricity 
production credit under section 45(a).

DATES: The 1995 inflation adjustment factor and reference prices apply 
to calendar year 1995 sales of kilowatt hours of electricity produced 
in the United States or a possession thereof from qualified energy 
resources.

INFLATION ADJUSTMENT FACTOR: The inflation adjustment factor for 
calendar year 1995 is 1.0430.

REFERENCE PRICES: The reference prices for calendar year 1995 are 
5.4 cents per kilowatt hour for facilities producing electricity from 
wind and 0 cents per kilowatt hour for facilities producing electricity 
from closed-loop biomass. The reference price for electricity produced 
from closed-loop biomass, as defined in section 45(c)(2), is based on a 
determination under section 45(d)(2)(C) that in calendar year 1994 
there were no sales of electricity generated from closed-loop biomass 
energy resources under contracts entered into after December 31, 1989.
    Because the 1995 reference prices for electricity produced from 
wind and closed-loop biomass energy resources do not exceed 8 cents 
multiplied by the inflation adjustment factor, the phaseout of the 
credit provided in section 45(b)(1) does not apply to electricity sold 
during calendar year 1995.
CREDIT AMOUNT: As required by section 45(b)(2), the 1.5 cents amount in 
section 45(a)(1) is adjusted by multiplying such amount by the 
inflation adjustment factor for the calendar year in which the sale 
occurs. If any amount as increased under the preceding sentence is not 
a multiple of 0.1 cents, such amount is rounded to the nearest multiple 
of 0.1%. Under the calculation required by section 45(b)(2), the 
renewable electricity production credit for calendar year 1995 under 
section 45(a) is 1.6 cents per kilowatt hour on the sale of electricity 
produced from closed-loop biomass and wind energy resources.

FOR FURTHER INFORMATION CONTACT: David A. Selig, IRS, CC:DOM:P&SI:5, 
1111 Constitution Ave., NW., Washington, DC 20224, [phone] (not 
a toll-free call).
Judith C. Dunn,
Associate Chief Counsel (Domestic).
[FR Doc. 95-6923 Filed 3-20-95; 8:45 am]
BILLING CODE 4830-01-U