(NAFB) – The National Rural Electric Cooperative Association and other industry groups seek a federal clean energy tax credit.

In a letter to lawmakers, the groups ask for support of tax policies that will allow public power and electric cooperatives to fully utilize direct pay for renewable and clean energy tax credits. President Joe Biden has set ambitious targets for reducing greenhouse gas emissions from power generation, transportation, and other sources. The groups say reaching the goals will be a daunting challenge for community-owned electric utilities.

All the increased costs associated with reshaping their generation profile will burden customers and consumer-owners. The letter says allowing public power utilities and rural electric cooperatives to receive tax credits as direct payments for building clean energy infrastructure would ensure that all utilities serving Americans would have equal access to federal resources.

The direct payments would be used to help offset project costs for public power utilities and rural electric cooperatives.