SB330 Alabama 2024 Session

Summary

Primary Sponsor

Arthur OrrSenator

Republican

Session

Regular Session 2024

Title

Relating to the Alabama Jobs Act, amends definition of renewable generation facility

Summary

SB330 updates what counts as a renewable energy generation facility under the Alabama Jobs Act and strengthens the job-creation rules for qualifying projects.

What This Bill Does

It broadens the definition of a renewable energy generation facility to include a wider range of activities and ownership structures, including facilities owned by electric providers, certain qualifying facilities, and independent power producers, and it covers needed transmission and distribution upgrades. It also allows investment credits to be transferred to tax-exempt providers for the full project term and sets job-creation requirements tied to the project type. The bill clarifies that certain activities (including biofuel production) may qualify, while excluding predominant activities like farming or certain retail/entertainment uses unless ancillary; it takes effect on October 1, 2024.

Who It Affects

• Qualifying projects seeking Alabama Jobs Act incentives (developers and businesses in the listed eligible industries) by potentially broadening eligibility and outlining job-creation thresholds.
• Entities involved in energy generation (electric providers, independent power producers, qualifying facilities, and tax-exempt providers) by updating definitions, ownership possibilities, credit transfer rules, and interconnection cost considerations.

Key Provisions

• Amends Section 40-18-372 to redefine 'renewable energy generation facility' and expands the activities and ownership types that qualify for incentives.
• Qualifying projects must predominantly conduct activities described by a broad list of eligible industries and may include production of biofuel as defined in Section 2-2-90(c)(2).
• Qualifying facilities may be owned by electric providers, qualify as QFs or independent power producers, and investment credits may be transferred to tax-exempt providers for the full term of the project (as approved by the Governor).
• The facility includes tangible property and necessary transmission/distribution upgrades to accommodate interconnection of renewable energy generation.
• Projects must create a significant number of new jobs: there is no minimum for certain predominant activity groupings (e.g., chemical manufacturing, data centers, renewable energy generation, engineering, etc.), but at least 50 new jobs for all other qualifying projects, subject to extraordinary circumstances found by the Secretary of Commerce.
• The bill imposes exclusions for certain activities (e.g., farming, certain retail/entertainment uses) unless those activities are not predominant and are ancillary to the primary project.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Economic Development