Enphase and IGS Solar solidify safe harbor deal for U.S.-made IQ8 microinverters
Solar finance company IGS Solar has solidified a safe harbor agreement with Enphase Energy for IQ8 Microinverters supplied from Enphase’s U.S. manufacturing facilities. Enphase IQ8HC Microinverters SKUs with a “DOM” suffix, paired with other U.S.-made solar equipment, enable IGS Solar-financed leases to qualify for the domestic content bonus tax credit under the Inflation Reduction Act (IRA).
“This collaboration represents a significant step forward for both Enphase and the solar industry as we continue to expand the availability of microinverters made at our U.S. manufacturing facilities,” said Ken Fong, vice president and general manager of the Americas at Enphase Energy.
“Safe harboring” is a mechanism that enables developers and financiers like IGS Solar to freeze domestic content requirements from one year to the next. For example, when IGS Solar safe harbors Enphase microinverters in 2024, it makes it easier for their installation partners to meet the domestic content qualifications in 2025 by avoiding any changes to the requirements.
This provides IGS Solar’s installation partners with valuable time to formulate and execute a domestic content equipment strategy, while keeping their economics unchanged until they can put a holistic solution in place.
“The partnership between IGS Solar and Enphase reinforces our commitment to supporting American manufacturing while delivering top-tier technology to our residential solar customers across the country,” said Wesley Hahn, senior director of residential solar at IGS Solar.
Domestic content in residential solar
The domestic content bonus tax credit is only available to commercial asset owners, which includes commercial businesses adding solar and power purchase agreements (PPAs) or lease providers who own residential solar projects.
Through this new arrangement, leading solar installers like Venture Solar, Momentum Solar, and Ecohouse Solar will install IGS Solar-owned IQ8 Microinverters supplied from U.S. manufacturing facilities on IGS Solar owned projects, which will help solar projects qualify for the domestic content bonus tax credits.
“We’re thrilled to partner with IGS Solar and Enphase to expand the deployment of IQ8 Microinverters produced at U.S. manufacturing facilities,” said Alex Yackery, co-founder of Venture Solar. “This collaboration allows us to offer cutting-edge, American solar technology to our customers while helping projects qualify for valuable tax incentives.”
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