The Solar Energy Facilities Taxation Act (known as the Solar Energy Exemption), 2023 PA 108, provides a tax incentive to owners of utility-scale solar energy generation facilities who build a new solar energy facility and provides local governments a guaranteed and stable revenue stream from the solar energy generation facilities. A Solar Energy Facility Exemption Certificate (SEFEC) entitles a qualified facility to an exemption from ad valorem real property taxes for term of 20 years. Exempt solar facilities are subject to a specific tax called the solar energy facilities tax. Applications are filed, reviewed, and approved by the local governmental unit. The State Tax Commission (STC) must also approve the application.