---
title: HB 212. Clean Energy Production Tax Credit Act; enact
collection: bills
id: 2025-2026/hb212
cite_as: HB 212, 2025-2026 Regular Session (Ga.)
canonical_url: https://georgiacommons.org/bills/2025-2026/hb212
md_url: https://georgiacommons.org/bills/2025-2026/hb212.md
text_url: https://georgiacommons.org/bills/2025-2026/hb212/text
source_url: https://www.legis.ga.gov/legislation/69727
date: 2025-02-04
status: introduced
corpus_version: bills-2026-09-13
license: Public record of the Georgia General Assembly, via LegiScan; see about.md
publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
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omitted: votes and history
omitted_chars: 129
omitted_url: https://georgiacommons.org/bills/2025-2026/hb212.md?full=1
bill_number: HB 212
session: 2025-2026 Regular Session
session_slug: 2025-2026
chamber: House
bill_type: bill
status_date: 2025-01-30
last_action: House Second Readers
sponsors:
- Samuel Park
- Tanya Miller
- Karla Drenner
- Ruwa Romman
- Tangie Herring
- Jasmine Clark
text_version: Introduced
has_text: true
legiscan_url: https://legiscan.com/GA/bill/HB212/2025
upstream_id: 1949645
summaries_model: claude-sonnet-5
topic_tags:
- clean energy
- tax credits
- climate policy
- energy production
- state taxes
---
# HB 212. Clean Energy Production Tax Credit Act; enact
## Text
House Bill 212
By: Representatives Park of the 107th, Miller of the 62nd, Drenner of the 85th, Romman of the
97th, Herring of the 145th, and others
A BILL TO BE ENTITLED
AN ACT
To amend Article 2 of Chapter 7 of Title 48 of the Official Code of Georgia Annotated,
relating to imposition, rate, computation, exemption, and credits for income taxes, so as to
create a tax credit for the production of clean energy; to provide for the calculation of credit
amounts; to provide for definitions; to provide for terms and conditions; to provide for
transferability; to require the Environmental Protection Division to annually publish
greenhouse gas emission rates for purposes of such tax credit; to provide for rules and
regulations; to provide for a short title; to provide for related matters; to provide for an
effective date and applicability; to repeal conflicting laws; and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
This Act shall be known and may be cited as the "Clean Energy Production Tax Credit Act."
SECTION 2.
Article 2 of Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to
imposition, rate, computation, exemption, and credits for income taxes, is amended by
revising Code Section 48-7-40.10, which is reserved, as follows:
"48-7-40.10.
(a) As used in this Code section, the term:
(1) 'CO2e per KWh,' 'greenhouse gas,' and 'qualified carbon dioxide' shall have the same
meaning as set forth in 26 U.S.C. Section 45Y, as effective on January 1, 2025.
(2) 'Eligible person' means any person that demonstrates eligibility for the tax credit
allowed pursuant to this Code section in accordance with the requirements of this Code
section and rules and regulations of the department. Such term shall not include any
person or any form of business owned, affiliated, or controlled, in whole or in part, by
any company or person which is in default on any tax obligation to the state, any loan
made by the state, or any loan guaranteed by the state.
(3) 'Greenhouse gas emissions rate' means the amount of greenhouse gases emitted into
the atmosphere by a facility in the production of electricity, expressed as grams of CO2e
per KWh, as provided by the Environmental Protection Division pursuant to
subsection (e) of this Code section. In the case of a facility which produces electricity
through combustion or gasification, the greenhouse gas emissions rate for such facility
shall be equal to the net rate of greenhouse gases emitted into the atmosphere by such
facility, taking into account lifecycle greenhouse gas emissions in the production of
electricity, expressed as grams of CO2e per KWh. The amount of greenhouse gases
emitted into the atmosphere by a facility in the production of electricity shall not include
any qualified carbon dioxide that is captured by the eligible person and disposed of by
the eligible person in secure geological storage or utilized by the eligible person.
(4) 'Qualified facility' means a facility located in this state which is used for the
generation of electricity, is placed in service after July 1, 2025, and for which the
greenhouse gas emissions rate is not greater than zero. A facility shall only be deemed
a qualified facility during the 10 year period beginning on the date the facility was
originally placed in service. Such term shall not include any facility for which a state
income tax credit for clean energy investment is allowed for the taxable year.
(b) For taxable years beginning on or after January 1, 2026, a tax credit is allowed against
the tax imposed under this article to any eligible person in an amount equal to 3¢ per
kilowatt hour of electricity produced by the eligible person at a qualified facility and sold
by the eligible person to an unrelated person during the taxable year or, in the case of a
qualified facility which is equipped with a metering device which is owned and operated
by an unrelated person, sold, consumed, or stored by the eligible person during the taxable
year.
(c) The tax credit allowed by this Code section shall be subject to the following conditions
and limitations:
(1) If used by the eligible person, in no event shall the amount of the tax credit used in
a taxable year exceed the taxpayer's income tax liability. No such credit shall be used
against the eligible person's prior years' tax liability;
(2) If transferred or sold to a Georgia taxpayer as provided for in subsection (d) of this
Code section, in no event shall the amount of the tax credit used in a taxable year exceed
the taxpayer's income tax liability. No such credit shall be used against the taxpayer's
prior years' tax liability;
(3) Any unused credit amount shall be allowed to be carried forward for three years from
the taxable year for which it was claimed; and
(4) To claim a credit allowed by this Code section, the eligible person shall provide any
information required by the department. Every eligible person claiming a credit under
this Code section shall maintain and make available for inspection by the department any
records that either entity considers necessary to determine and verify the amount of the
credit to which the eligible person is entitled. The burden of proving eligibility for a
credit and the amount of the credit rests upon the eligible person, and no credit shall be
allowed to an eligible person that fails to maintain adequate records or to make them
available for inspection.
(d) Any tax credits allowed to an eligible person pursuant to this Code section and
previously claimed but not used by such person against its income tax liability may be
transferred or sold in whole or in part by such eligible person to any Georgia taxpayer,
subject to the following conditions:
(1) Such eligible person shall make only a single transfer or sale of tax credits earned in
a taxable year; provided, however, that the transfer or sale may involve one or more
transferees;
(2) Such eligible person shall submit to the department a written notification of any
transfer or sale of tax credits within 30 days after the transfer or sale of such tax credits.
Such notification shall include the tax credit balance prior to transfer, the credit certificate
number, the remaining balance after transfer, all tax identification numbers for each
transferee, the date of transfer, the amount transferred, and any other information required
by the department;
(3) The transfer or sale of such tax credit shall not extend the time in which such tax
credit can be used. The carry-forward period for a tax credit that is transferred or sold
shall begin on the date on which the tax credit was originally earned;
(4) A transferee shall have only such rights to claim and use the tax credits that were
available to such eligible person at the time of the transfer. In the event that such eligible
person did not have rights to claim or use any such tax credit at the time of the transfer,
the department shall either disallow the tax credit claimed by the transferee or recapture
the tax credit from the transferee; and
(5) The transferee shall acquire such tax credits for a minimum of 60 percent of the
amount of the tax credits so transferred.
(e) The Environmental Protection Division shall annually publish a table that sets forth the
greenhouse gas emission rates for types or categories of facilities, which an eligible person
and the department shall use for purposes of this Code section.
(f) The department shall promulgate any rules and regulations necessary to implement and
administer the provisions of this Code section. Reserved."
SECTION 3.
This Act shall become effective on July 1, 2025, and shall be applicable to taxable years
beginning on or after January 1, 2026.
SECTION 4.
All laws and parts of laws in conflict with this Act are repealed.
## Summaries written by Georgia Commons
The following was written by claude-sonnet-5 from the text above and is not part of the bill. Quote the text, not the summary.
House Bill 212 would create a new Georgia income tax credit worth 3 cents per kilowatt hour for electricity produced by clean energy facilities with zero greenhouse gas emissions, starting with the 2026 tax year.
### Plain-language summary
Georgia currently has no specific income tax credit for producing clean, zero-emission electricity. House Bill 212, called the Clean Energy Production Tax Credit Act, would add one by filling in a previously reserved section of state tax law (O.C.G.A. § 48-7-40.10).
The credit would go to 'eligible persons' who produce electricity at a 'qualified facility,' defined as a Georgia facility placed in service after July 1, 2025 with a greenhouse gas emissions rate of zero or less. The credit equals 3 cents per kilowatt hour sold, consumed, or stored, and it cannot exceed the taxpayer's tax liability or be applied to past years. Unused credit can be carried forward three years. Credits can also be sold or transferred once to another Georgia taxpayer, who must pay at least 60 percent of the credit's value. The Environmental Protection Division must publish emissions rate tables annually, and the law would apply to tax years beginning on or after January 1, 2026.
### What it does
- Creates a new state income tax credit of 3 cents per kilowatt hour for electricity produced at qualifying zero-emission facilities in Georgia.
- Limits qualifying facilities to those placed in service after July 1, 2025 and only for the first 10 years after they start operating.
- Allows unused credit amounts to be carried forward for three years but bars using the credit against past years' taxes.
- Lets eligible producers sell or transfer their tax credits once to Georgia taxpayers, who must pay at least 60 percent of the credit's value.
- Requires the Environmental Protection Division to publish annual tables of greenhouse gas emission rates by facility type for use in claiming the credit.
- Directs the Georgia Department of Revenue to write rules for administering and verifying the credit.
### Who it affects
Companies and individuals who build or operate zero-emission electricity generating facilities in Georgia, Georgia taxpayers who might buy transferred tax credits, the Environmental Protection Division, which must publish emissions data, and the Department of Revenue, which administers the credit.
### Why it matters
The credit could make it more financially attractive to build zero-emission power facilities in Georgia by lowering their state tax bills, and the transfer option lets producers without enough tax liability still benefit by selling credits to other taxpayers for cash.
### Key provisions
- Section 1 names the law the 'Clean Energy Production Tax Credit Act.'
- Section 2 defines 'qualified facility' as one placed in service after July 1, 2025 in Georgia with a greenhouse gas emissions rate of zero or less, eligible for up to 10 years.
- Section 2 sets the credit at 3 cents per kilowatt hour of electricity produced and sold, consumed, or stored by an eligible person.
- Section 2 caps credit use at the taxpayer's income tax liability for the year and allows a three-year carry-forward for unused credit.
- Section 2 permits a single transfer or sale of unused credits to a Georgia taxpayer, who must pay at least 60 percent of the credit's value, and requires notifying the Department of Revenue within 30 days.
- Section 2 requires the Environmental Protection Division to annually publish greenhouse gas emissions rate tables by facility type.
- Section 3 sets the effective date as July 1, 2025, applying to taxable years beginning on or after January 1, 2026.
## Status
- Status: Introduced (2025-01-30)
- Last action: House Second Readers (2025-02-04)
- Sponsors: Samuel Park, Tanya Miller, Karla Drenner, Ruwa Romman, Tangie Herring, Jasmine Clark
- Official page: https://www.legis.ga.gov/legislation/69727
> The history, votes, and amendments (129 characters) are at https://georgiacommons.org/bills/2025-2026/hb212.md?full=1