Sustainable Energy & Infrastructure

Don’t miss this month’s exciting virtual events, including a webinar on the role of hydrogen in decarbonization and the future of the offshore wind industry in New England.

Our friend Steven Berkenfeld continues to help companies tackling sustainability and resiliency challenges in numerous ways, including as a board member at The Clean Fight New York.

Read the latest round of M&A activity in the energy and sustainability space.

A petition filed in April by the New England Ratepayers Association (NERA) has requested that the Federal Energy Regulatory Commission (FERC) reassess its authority over retail solar sales, stating that the federal government, through FERC, not individual state legislatures and public utility commissions, has exclusive jurisdiction over wholesale energy sales and should end the practice of net metering.

ML Strategies and Mintz continue to engage with key decision makers on various energy and sustainability matters before the Congress and Administration. Federal efforts on these issues have continued apace as part of and separately from the federal response to the coronavirus pandemic.

Learn about upcoming energy industry webinars, including one on impact investment strategies for family offices in a post-COVID-19 world hosted by Mintz.

The June issue of Energy & Sustainability Connections covers news about renewable energy development company East Light Partners, energy policy news from Washington, recent M&A activity & more.

Read the latest round of M&A activity in the energy and sustainability space.

The U.S. Securities and Exchange Commission’s Investor Advisory Committee’s Investor-as-Owner Subcommittee recently voted 14-4 to approve a recommendation that urges the Commission (SEC) to begin an effort to update the reporting requirements of public companies to include material, decision-useful environmental, social, and governance (ESG) factors.

While Congress and the Administration spent much of May working to address the economic, social, and public health impacts of the COVID-19 pandemic, there was still significant activity on energy and sustainability-related matters. 

In a May 21 letter to Treasury Secretary Steven Mnuchin, three Republican senators—Senator Lisa Murkowski (R-AK), Senator Susan M. Collins (R-ME), and Senator Thom Tillis (R-NC)—have requested that Treasury modify existing Internal Revenue Service (“IRS”) guidance on “start of construction” to provide production tax credit (“PTC”) and investment tax credit (“ITC”) relief to wind and solar projects affected by COVID-19 related disruptions.

Today the Small Business Administration (SBA) issued additional guidance with respect to the “necessity” certification required under the CARES Act in connection with the Paycheck Protection Program (PPP). The relevant guidance appears in FAQ 46, and it is very good news for borrowers who received PPP loans under $2 million (together with PPP loans to affiliates, if any). The SBA, in consultation with the U.S. Department of Treasury, has determined that a safe harbor will apply with respect to SBA’s review of the certification of necessity in connection with respect to such loans. Specifically, “[a]ny borrower that, together with its affiliates, received PPP loans with an original principal amount of less than $2 million will be deemed to have made the required certification concerning the necessity of the loan request in good faith.”

A letter issued by the Office of Legislative Affairs at the Department of the Treasury Thursday suggests that some relief is on the way for a renewables industry that has been battered by the COVID-19 crisis and has expressed concern about fast-approaching tax credit deadlines.

Read about considerations for drafting material adverse change clauses in mergers & acquisitions in light of uncertainties associated with the COVID-19 pandemic.