Enphase Energy, a US-based microinverter manufacturer, has signed its second safe harbour agreement this month to secure residential solar tax credits.
The deal will see Enphase supply domestically produced IQ8HC microinverters to a “leading solar and battery financing company”, which will provide third-party ownership (TPO) agreements for home solar and storage systems.
Enphase expects the agreement to generate around $50m in revenue.
Safe harbour provisions will allow the projects to qualify for the 30% 48E Investment Tax Credit (ITC) until its scheduled end in July 2026, following the recent Republican budget reconciliation bill.
The deal will also support access to the 10% domestic content bonus credit for projects using sufficient US-made components.
Ken Fong, senior vice president and general manager of the Americas and APAC at Enphase Energy, said safe harbour agreements “are a critical tool for keeping solar projects on track despite changing policy landscapes”.
He added: “These agreements allow developers and financiers to move forward with confidence, safeguard project economics, and accelerate clean energy deployment.”
Background
The reconciliation bill introduced stricter eligibility requirements for clean energy tax credits.
Both the ITC and the Production Tax Credit (PTC) will be phased out from 4 July 2026. Projects that start before this date have four years to commence operations, while others must be operational by the end of 2027.
New Treasury guidance, following an executive order from President Trump, clarified that residential projects under 1.5MW can qualify by spending 5% of estimated costs and maintaining “continuous construction”.
Larger systems must demonstrate substantial physical work.
Enphase said it plans to expand its safe harbour pipeline. Analyst firm Wood Mackenzie recently noted that while the US residential solar sector may contract in the short term, TPO eligibility for the 48E ITC remains a “major upside” for long-term growth.
