"Our combined experience provides a resume of over fifty (50) landfill gas projects producing over 150 Megawatts of power and consuming in the billions of cubic feet of landfill gas daily."

-LFG Technologies

Section 45K Tax Credits

Section 45K of the Internal Revenue Code provides a tax credit for the sale to an unrelated person of qualified fuels produced by the taxpayer in the United States from specified non-conventional sources.  Among the fuels qualifying for this credit is gas produced from biomass.  Biomass is defined as any organic material other than oil, natural gas or coal or any product of oil, natural gas or coal.  Methane gas produced from waste thus constitutes a qualified fuel for purposes of this credit.  To qualify, the gas must be sold before January 1, 2008 from wells drilled or facilities placed in service after December 31, 1992 and before July 1, 1998.

The following table of figures provides past, current and forecast values for tax credits.  Call if you need help (1-585-425-3436).

"BOE" or barrel of oil equivalent is equal to 5.8 million BTU's.

Note:  President Bush's 2001 Energy Policy advocates the extension of the IRS Section 29 Production Tax Credits as well as broadening the qualification of technologies to include landfill gas in the IRS Section 45 Tax Credits.  The difference between the two Tax Credits is; Section 29 would be applicable to the gas collection facility and Section 45 would be applicable to the generator of electricity.  You will not be able to claim both tax credits from the same landfill or project. 

See "verified" Year 2006 values below.  Year 2007 values due April 2008