How SolarEdge, Enstall, Novogradac and Crux are teaming up to simplify domestic content compliance
Meeting domestic content requirements has been a challenge for solar developers working on apartment buildings, and large rooftop commercial and industrial (C&I) projects. Not that there aren’t combinations of products available that allow a project to meet the criteria for the 10% domestic content tax credit adder, but the guidance keeps changing, and the C&I solar sales cycle is long. David Dunlap explained the conundrum in a recent episode of Power Forward!
“The truth is it’s not super easy to get [the tax credit adder]. It’s not always penciling out. Some of the contractors are worried that they’re committing to a contract six, 12, maybe 18 months before they can actually do the installation. They’re worried about the rules changing. We just saw the rules change right out from under somebody.
“If they were selling a job last October under the May guidance, but it’s not going to start until July, are they going to still be able to provide the same package that they sold back last year? Maybe not.
“We’re seeing some commercial contractors are saying you know it’s just it’s a lot of work it is added cost, it’s added complexity, it’s added risk, I’m just not going to do.”
To aid solar companies that want to pursue the IRS domestic content bonus credit, SolarEdge Technologies and Enstall (the parent company of racking suppliers PanelClaw, IronRidge, EcoFasten) have aligned announced a partnership with CPA firm Novogradac & Company LLP and Crux to simplify the compliance process and provide a direct pathway to monetizing tax credits.
“This collaboration takes domestic content one step further by simplifying the complex compliance and monetization processes for our customers,“ said John Carroll, Vice President C&I Sales for SolarEdge.
The companies say they are combining due diligence, compliance validation, and tax credit monetization into a unified process.
Domestic content compliance pathway at a glance
SolarEdge has U.S.-manufactured inverters / optimizers that are Build America Buy America eligible. This BABA compliance enables participation in federal infrastructure projects, including federally funded grants and projects like the EPA’s $7 billion Solar for All initiative. The BABA-compliant SolarEdge portfolio includes the planned C&I product line for 480V, the 208V Three Phase Inverters, Three Phase Inverters with Synergy Technology with C651U and C652U Power Optimizers, as well as the Single Phase SolarEdge Home Hub inverters and U650 Power Optimizers. In addition, given SolarEdge’s optimizer-based architecture, its inverters qualify for the higher percentage in the MLPE column in the Safe Harbor tables.
According to Enstall’s response to our Rooftop BOS Buyer’s Guide questionnaire (published in the Q1 magazine), here are some of the domestic content product SKUs available:
PanelClaw: clawFR and clawFRplus | EcoFasten: RockIt Systems, RockIT Smart Slide, ClickFit System, ClickFit Smart Foot, ClickFit Rail, GF-1 Flashing, Skirt. IronRidge did not respond to our email.
SolarEdge and Enstall have engaged Novogradac & Company LLP to conduct an Agreed Upon Procedure (AUP) Report. This report addresses procedures related to the Domestic Content eligibility of SolarEdge and Enstall products that help streamline due diligence for potential buyers of Investment Tax Credits (ITC).
Crux operates a central transferable tax credit marketplace. Crux’s platform helps owners and developers interested in monetizing eligible ITCs through all stages of the transaction process.
“IRS guidance on Domestic Content compliance, such as Notices 2024-41 and 2025-08, has introduced specific requirements that developers must meet to qualify for additional tax incentives, and it has not been easy for customers to meet and understand the requirements. Novogradac’s AUP performs specific procedures related to this domestic content criteria and assists stakeholders with obtaining key facts that can allow them to make financing decisions on the ITC adder, “said Josh Morris, partner at Novogradac & Company LLP.
