While thermal biomass systems have recently gained a federal tax credit through The American Recovery and Reinvestment Act of 2009 (H.R. 1: Div. B, Sec. 1121), state credits and incentives still lag far behind those available for other renewable technologies like wind, solar and geothermal.
A few states have been more proactive in promoting clean biomass technologies, which often particularly helps low and middle income families who use wood or pellets as a primary source of heat. More states are beginning to see thermal biomass as a strategy for lowering their overall carbon emissions.
Alabama
Arizona
California
Connecticut
Idaho
Maine
Maryland
Missouri
Montana
New Hampshire
New York
Nevada
Oregon
Pennsylvania
Virginia
Vermont
Washington
Wisconsin
This list is not exhaustive, particularly at the local and county level. If you know of tax credits or incentives not listed here, please contact us at so we may add it to this list.
* This list was last updated on March 1st, 2010.