- Highland Materials has secured $255.6 million in 48C tax credits for its proposed US polysilicon manufacturing fab
- It will initially produce 16,000 MT; at full capacity, it can roll out 20,000 MT annually
- The plant will come up in an energy community, defined as one where a coal power plant or a mine has closed down
US-based polysilicon manufacturer Highland Materials will build a new solar-grade polysilicon manufacturing plant in the country, with an initial capacity to produce 16,000 metric tons (MT) annually. It is one among 35 projects the US Department of Energy (DOE) has selected for the Qualifying Advanced Energy Project Credit under 48C.
Funded by US President Joe Biden’s Investing in America agenda through the Inflation Reduction Act (IRA), 48C is an investment tax credit (ITC) of up to 30% of qualified investments for qualifying projects.
Not much is known about Highland Materials though. According to its website, it has been a manufacturer of purified silicon since 2006 and is a major supplier of solar-grade silicon to the PV and battery silicon anode markets and other industries. It claims to have produced 600 MT in pilot.
Highland says its patented silicon purification technology produces solar-grade polysilicon at less than standard cost and with a 90% reduction in carbon emissions compared to other major manufacturers.
To come up in an energy community, the Highland fab will initially produce 16,000 MT/year. At full capacity, it will produce 20,000 MT/year, the equivalent of 11 GW of solar cells. To support these plans, it has secured $255.6 million in 48C credits.
Solar industry veteran Terry Jester is the chairman of the board at Highland Materials. She has worked with several solar PV companies including Solaria, SunPower and SolarWorld. In January 2023, she joined solar PV quality assurance firm PI Berlin North America as the managing director (see Industry Veteran Terry Jester Joins PI Berlin North America).
According to the DOE, “Highland is working closely with Northeast State Community College to develop and implement workforce development including DOL certified apprenticeship programs, along with other community support programs designed to support our workforce and the community at large.”
The DOE announcement does not specify the location or timeline of the Highland polysilicon plant.
The 48C credits were recently expanded with a $10 billion investment scheme under the IRA, out of which at least $4 billion will be allocated to projects in designated 48C energy communities. An energy community is defined as one with closed coal mines or coal plants.
