FEOC Compliance Support for BESS Developers

The infrastructure, documentation, and specialist execution developers need to implement their FEOC and safe harbor strategy across a BESS portfolio.
SPEAK WITH A PRINCIPAL
READ THE FEOC GUIDE

THE STAKES

FEOC compliance is not optional.

For any BESS project beginning construction in 2026 or later, failure to meet the material assistance threshold eliminates the entire base 30% ITC. Not just the domestic content adder. The entire credit.
Most developers know this. What most developers do not have is the infrastructure to execute their FEOC strategy across a portfolio: which OEMs pass, which fail, how the thresholds change year over year, what contract language protects the credit over the 10-year recapture window, and how to present a defensible package to tax equity investors and lenders.
Your counsel sets the strategy. Carina builds the harness to execute it.

What We Deliver

Seven workstreams, delivered as one instrument alongside technical and commercial evaluation.
01
OEM FEOC Screening
We maintain a living OEM compliance screen covering the battery storage supply chain. For each OEM configuration on your shortlist, we trace the cell manufacturer, manufacturing location, corporate ownership chain, and PFE/SFE status. The screen is integrated into our Technical RFI process so FEOC compliance is evaluated alongside technical and commercial criteria in a single instrument, not as an afterthought.
02
MACR Calculation and Threshold Analysis
We compute the Material Assistance Cost Ratio for each OEM configuration using the Notice 2025-08 Cost Percentage Safe Harbor methodology, for both grid-scale and distributed BESS. We show you where your project sits against the applicable threshold, how much headroom you have, and what happens to that headroom if your BOC date slips to the next year.

03
BOC Strategy
Beginning of Construction date determines which year's MACR threshold applies. We develop a per-project BOC strategy covering method selection (5% safe harbor vs. physical work test), milestone tracking, and evidence documentation. Storage projects retain both BOC methods; we help you use that to your advantage.


04
Supplier Certification and Documentation
We draft Notice 2026-15-compliant supplier certification templates, collect executed certifications from your OEMs at contract signing and annual recertification, and maintain the documentation in a structured retention system built to the 6-year regulatory floor and the 10-year recapture window.

05
Effective Control Review
We provide model contract language (FEOC representations, certification delivery, audit rights, change-of-status termination, indemnification) as a template for your supply, EPC, O&M, and warranty agreements. We run a structured effective control checklist against your executed contracts to flag operational authority, exclusive O&M, royalty, data access, and IP license triggers before they become recapture problems.
06
Client-Facing FEOC Defense
When your CFO, board, or tax equity partner asks "how do we know this project is FEOC-compliant," we put a credentialed FEOC specialist in the room to present and defend the compliance position. Not a slide deck. A specialist who can answer the follow-up questions.


07
Regulatory Watch
The FEOC framework is interim. Treasury proposed regulations and dedicated safe harbor tables are pending. We monitor IRS notices, Federal Register releases, and OEM ownership changes on an ongoing basis, assess materiality, and notify you when something changes that affects your portfolio.

How It Works

You own the strategy. We own the execution.

Your counsel

Your tax counsel sets the FEOC and safe harbor strategy: which Notice 2026-15 safe harbor(s) to elect, which BOC method to pursue, how to position the MACR calculation for your tax filings, and how to adapt contract language to your specific deals. Those are your decisions, made with your counsel.

Carina

Carina builds and maintains the execution infrastructure: the OEM screen, the MACR calculator, the certification templates, the contract rider language, the effective control checklist, and the documentation retention system. Our framework artifacts are validated by an external attorney before first use and re-validated when material regulatory changes occur. We deliver a decision-ready package. Your counsel makes the binding decisions.

The same model

This is the same model we apply to BESS development. We do not tell you where to build or which OEM to pick. We give you the professional infrastructure, the specialist bench, and the project controls to execute your development strategy. FEOC compliance works the same way.

The FEOC Practice Team

Carina’s FEOC practice combines three capabilities.

FEOC Content Specialist

A credentialed supply chain intelligence specialist advising on OEM compliance screening, cell provenance, and PFE/SFE determinations. The specialist face in client meetings and tax equity diligence sessions.

FEOC Research Analyst
A J.D.-trained researcher handling day-to-day FEOC research, regulatory monitoring, infrastructure maintenance, and coordination across the engagement. All work product labeled as research and analysis.
Framework Validation Counsel
An external attorney engaged to validate Carina’s framework artifacts against Notice 2026-15 and current Treasury guidance. Not retained. Re-engaged when material regulatory changes occur.
This team sits inside Carina’s broader BESS development practice, which includes specialists across civil engineering, fire protection, electrical engineering, interconnection, permitting, stakeholder engagement, and BESS owner’s engineering. FEOC compliance does not exist in isolation; it intersects with OEM selection, site permitting, EPC contracting, and project finance at every stage.

What We Do Not Do

We are transparent about the boundaries.
We do not render legal opinions or binding tax advice
We do not prepare or file tax returns
We do not represent clients in IRS proceedings
We do not make safe harbor elections, BOC method selections, or MACR approvals for your tax position
We do not negotiate OEM, EPC, or O&M contracts on your behalf
These functions belong to your tax counsel and your internal team. We build the infrastructure that makes those functions efficient and defensible.

Who This Is For

BESS developers with 2026-onward BOC dates who need to:
Screen OEMs for FEOC compliance before committing to a capacity agreement
Calculate MACR and understand threshold implications across their portfolio
Build a documentation package that survives tax equity diligence
Protect the ITC through the 10-year recapture window with contract-level controls
Stay ahead of regulatory changes without building an in-house FEOC team
Execute their tax counsel’s FEOC strategy with professional infrastructure rather than spreadsheets and email chains

Who This Is For

BESS developers with 2026-onward BOC dates who need to:
Screen OEMs for FEOC compliance before committing to a capacity agreement
Build a documentation package that survives tax equity diligence
Stay ahead of regulatory changes without building an in-house FEOC team
Calculate MACR and understand threshold implications across their portfolio
Protect the ITC through the 10-year recapture window with contract-level controls
Execute their tax counsel’s FEOC strategy with professional infrastructure rather than spreadsheets and email chains

Start with the FEOC Compliance Guide.

If you are still learning how FEOC works, start with our free FEOC Compliance Guide for BESS, updated regularly with OEM intelligence and regulatory developments.
READ THE GUIDE

Ready to talk scope?

If you already know you need execution support for your FEOC strategy, reach out. We will walk you through what the engagement looks like for your portfolio.

SPEAK WITH A PRINCIPAL
BESS Permitting Intelligence Delivered to Your Inbox
FEOC compliance, OEM moves, moratoriums, tariff developments, and other updates
Name(Required)
No spam. Only actionable insights.

READ BY HUNDREDS OF BESS PLAYERS

dnv
fluience
national
env
clean