Greenbriar Announces Improved US Treasury Tax Credit Guidelines for its Wind
TSX.V Symbol: "GRB"
Issued and Outstanding: 11,312,000
NEWPORT BEACH, CA, Sept. 25, 2013 /CNW/ - Greenbriar Capital Corp. (TSXV: GRB)
(OTC: GEBRF) is pleased to announce that the IRS made it easier this
afternoon, for wind, biomass, geothermal, landfill gas and ocean energy
projects that are completed by December 2015 to qualify for federal tax
credits. The projects potentially qualify for production tax credits for 10
years on the electricity output or for a 30% investment tax credit on the cost.
A project must be under construction by December 2013 to qualify.
There are two ways to start construction this year: by starting significant
physical work on the project or by "incurring at least 5% of the project cost".
However, the developer must also show that work on the project after this year
is "continuous". Developers complained that this continuous work requirement
is making it difficult to finance projects as banks and tax equity investors
balk at taking the risk that the pattern of future work will fall short of
what is required.
The IRS said this afternoon that the continuous work requirement will be
treated as having been met automatically on any project that is placed in
service by December 2015. It does not matter whether construction started
under the physical work test or the 5% test. Developers whose projects go into
service after 2015 will still have to show continuous work.
The IRS made the announcement in Notice 2013-60.
The Notice may cause developers to shift back to the physical work test rather
than try to incur at least 5% of the project cost this year. Many developers
had been focusing on the 5% test because it seemed to contemplate that a
project could be merely under development by the end of 2013 while the
physical work test required that it be truly under construction. Physical work
this year had to be followed by "continuous construction", while incurring 5%
of the cost had to be followed only by "continuous efforts". It is easier to
start physical work than to incur at least 5% of the project cost.
About Greenbriar Capital Corp.
Greenbriar Capital Corp is a leading developer of renewable energy and
sustainable real estate projects. With long-term, high impact, contracted
sales agreements in key project locations and led by a successful industry
recognized operating and development team, Greenbriar targets deep value
assets directed at accretive shareholder value.
ON BEHALF OF THE BOARD OF DIRECTORS
Jeffrey J. Ciachurski
President, Chief Executive Officer and Director
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Certain statements in this press release constitute "forward-looking
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risks, uncertainties and other factors that may cause actual results to be
materially different from any future results, performance or achievements
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similar expressions are intended to identify such forward-looking statements.
These statements are based on management's current expectations and beliefs
and actual events or results may differ materially. There are many factors
that could cause such actual events or results expressed or implied by such
forward-looking statements to differ materially from any future results
expressed or implied by such statements. Such factors include, but are not
limited to the state of the Company's business activities and various factors
discussed in the Company's annual report filed with securities regulators in
Canada. Forward-looking statements are based on current expectations and the
Company assumes no obligation to update such information to reflect later
events or developments, except as required by law.
SOURCE Greenbriar Capital Corp.
Jeff Ciachurski, CEO Greenbriar Capital Corp. Phone: 949.903.5906
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-0- Sep/25/2013 04:21 GMT
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