Albany entered into a Landfill Gas Lease Agreement with AE and NEO Albany, LLC, in 2008.
This was premised on the idea that the grant program worked a quasi-sale of the RETCs to the federal government by paying in advance for what would be tax credits.
Albany concluded that it was owed just over one million dollars of the grant money as compensation for the RETCs that AE would have received.
The legislative history of the ARRA was deemed to demonstrate that Congress was creating an alternative program, not a substitute, for RETCs.
The Gas Lease also required AE to “use commercially reasonable efforts to maximize the Net Monetized Value of any such itself from performing its contractual duty” to use reasonable efforts to maximize the return to Albany.
It was premised on the theory that AE’s receipt of the grant deprived Albany of proceeds from RETC sales.
This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks.