The Information Technology & Innovation Foundation (ITIF), a think tank that promotes innovation-friendly policies in science and technology, released a report on December 2, 2019 that found that existing federal tax credits for solar and wind power need to be reformed and are not conducive to development of new clean energy technologies.[1] According to the report, an extension of credits would favor the most widely used technologies over younger, more expensive alternatives that could eventually prove superior. Currently, tax credits for solar and wind are set to wind down over the next few years. The investment tax credit (ITC), most typically used for solar, drops from 30% in 2019 to 10% in 2022 for utility-scale systems and for residential systems it disappears completely in 2022. Starting next year, wind developers can no longer claim a production tax credit (PTC) for new projects. Despite these phase-downs or phaseouts, the ITIF says that both the wind and solar industries would keep growing. Instead of an extension to these tax credits, the ITIF report envisions new tax credits for early adopters of new technologies and innovations, which would allow companies to scale up and work out the kinks in their product.

[1] https://itif.org/publications/2019/12/02/less-certain-death-using-tax-incentives-drive-clean-energy-innovation