Saturday, March 14, 2026

The IRA’s Energy Storage Credits Take Data Centers into the Future | Data Center Knowledge

The recently signed Inflation Reduction Act (IRA) gives data centers plenty of incentives to clean up their operations, far more than existing clean energy tax credits.

One of the IRA’s more compelling provisions focuses not only on how clean energy is obtained but how it’s stored.

What the IRA means for data center energy storage

Related: Inflation Reduction Act Breakdown: How Your Data Center Benefits from New LegislationTraditionally, the government has tied tax credits for data center energy storage to the actual generation and capture of solar energy. It was a good system for companies with the resources and space to invest in the necessary solar technology – think tech giants in California with access to nearly 300 days of sunlight per year. However, this strategy didn’t account for businesses in states with less…

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