Tennessee House Bill HB0951

Tennessee 2025-2026 Regular Session

• Introduced: 2/4/25
• Refer: 2/10/25

Caption

AN ACT to amend Tennessee Code Annotated, Title 4, Chapter 3, Part 5 and Title 67, relative to energy.

Summary

HB0951, titled the "Clean Energy and Jobs Act," would create a state clean energy workforce training fund within the Tennessee treasury and direct the Department of Environment and Conservation’s Office of Energy Programs to administer grants from that fund. The grants would support the development, implementation, and operation of clean energy workforce training programs. The bill defines clean energy broadly to include solar, wind, geothermal, hydropower, and biomass, and it authorizes the department to accept public or private gifts and grants for the fund, with unspent balances and investment earnings carried forward rather than reverting to the general fund. The bill also creates a new sales and use tax credit equal to 30% of tax paid on certain equipment or improvements used by renewable energy businesses or by small businesses implementing sustainable practices. Eligible renewable energy businesses include entities involved in developing, manufacturing, installing, or maintaining renewable-energy goods or systems, while sustainable practices are defined to include waste reduction, resource conservation, pollution reduction, eco-friendly materials, recycling, and biodegradable packaging. The Department of Revenue would be required to adopt rules to implement the credit, and the act would generally take effect on January 1, 2026, with immediate effect only for rulemaking purposes.

Impact

If enacted, the bill would add a new state grant program and a new tax incentive structure to Tennessee law, affecting both environmental policy and business taxation. It would amend Title 4 to establish a dedicated clean energy workforce training fund and amend Title 67 to create a sales and use tax credit for qualifying renewable energy businesses and small businesses adopting sustainable practices. The bill would primarily affect the Department of Environment and Conservation, the Department of Revenue, grant recipients, renewable energy firms, and small businesses making qualifying environmental investments.

Sentiment

No committee transcripts or recorded votes were provided, so there is no direct evidence of debate, support, or opposition in the available materials. Based on the bill text alone, the measure appears designed to promote clean energy jobs, workforce development, and environmentally friendly business practices, suggesting an affirmative policy posture toward renewable energy and sustainability. However, without discussion or vote history, the overall sentiment cannot be measured beyond the bill’s stated objectives.

Contention

The main potential points of contention are likely to be fiscal and policy-related: the creation of a dedicated fund, the use of state appropriations for grants, and the 30% sales and use tax credit could raise concerns about revenue loss and the proper use of public funds. Another likely issue is the breadth of the definitions for renewable energy business and sustainable practices, which may affect who qualifies for benefits and how broadly the incentives are applied. Because no transcripts are available, no specific legislator, agency, or stakeholder objections can be identified from the record provided.