On September 2, 2026, U.S. Representatives Mike Carey and Jake Ellzey sent a letter to the U.S. Secretary of the Treasury, urging the Department to include CHP as an eligible technology for the Sections 45Y Clean Electricity Production Tax Credit and 48E Clean Electricity Investment Tax Credit.
The Members of Congress highlighted CHP’s ability to provide reliable, efficient, and affordable energy while supporting key U.S. priorities, including strengthening American manufacturing and meeting the rapidly growing electricity and cooling needs of AI data centers.
CHP can generate electricity onsite while recovering and reusing heat that would otherwise be wasted. Its efficiency and reliability can help reduce demand on the electric grid, lower energy costs for businesses, and provide a more reliable energy supply for all ratepayers. The letter emphasizes that, as the nation works to meet rising electricity demand, “it is essential that we deploy every tool, including CHP, to bolster production of reliable and affordable energy.”
The letter points to the opportunity created by recent changes to the tax code, urging Treasury to recognize CHP under the expanded eligibility framework for these technology-neutral tax credits.
The CHP Alliance thanks Representatives Carey and Ellzey for their leadership and for recognizing the important role CHP can play in supporting America’s growing energy needs.
Read the letter here.