Utah Administrative Code
Topic - Governor
Title R362 - Office of Energy Development
Rule R362-2 - Renewable Energy Systems Tax Credits
Section R362-2-11 - Investment Tax Credit, Eligible Costs for Commercial Systems and Residential Systems, Geothermal Electricity

(1) Eligible costs for geothermal electric systems must conform with Section R362-2-5 and meet the requirements in this Section.

(2) Eligible equipment costs for a geothermal electrical system are limited to components up to the point of interconnection with AC service when powering a building, or up to the point of interconnection with the electrical grid for system intended solely for the sale of power.

(3) Eligible equipment costs include:

(4) Design costs for a geothermal electrical system are eligible but only for the cost of integrating the eligible components of the system that are listed in (3) above. Tax credit applications must separate design costs for the geothermal and conventional components of the system.

(5) Costs for studies to characterize a geothermal resource are eligible if a final system using the geothermal resource is built and placed into operation.

(6) Costs incurred for the drilling of wells are eligible if the wells are actually used within the final geothermal electrical system. The costs of exploratory wells that are not used within the final system are not eligible.