Washington

Shortly after taking office, President Joe Biden pledged to slash the United States’ carbon emissions to half the levels seen in 2005 by 2030. The key to reaching this goal is to phase out coal and natural gas and invest in renewable energy instead. Solar is the future of renewable energy—no doubt about it. Still, fierce debates rage across the country over where to install solar panels.

Washington State Sees a Surge in Large Solar Projects

Gov. Jay Inslee has been a strong proponent of large-scale or “utility-scale” solar installations since 2019 when a law passed calling for the end of electricity production from coal and natural gas by 2045. As local officials continue to combat climate change, the power industry in the sun-drenched region east of the Cascades is being redefined.

But legislation isn’t the only driving factor for Washington’s surge in large solar developments. The rapidly falling cost of photovoltaic (PV) panels is also increasing interest in solar power. Plus, the chance to earn a lucrative income by leasing out acreage to solar developers has traditional farmers rethinking how they want to use their land.

Solar Farms in Washington State

More than 20 solar farms covering over 22,000 acres are currently in the planning or building phases across the state. One of the largest of these is the Horse Heaven Hills project in Benton County, a $1.7 billion installation that could include up to 244 wind turbines and several solar sites covering more than 6,500 acres. Running at full capacity, the farm could generate up to 1,150 megawatts (MW) of power. Even at partial capacity caused by the ups and downs of solar and wind, the project is expected to power some 275,000 homes.

The proposed lease fees for solar farms often far exceed the per-acre earnings farmers and ranchers traditionally earn. This is especially true in places like Horse Heaven Hills, where farmers have long struggled to coax profitable yields from their arid lands. Consider that a 40-acre community-scale solar project in Washington could come with lease payments of $2,500 per acre per year with a 2% escalator. This amounts to $100,000 in income the first year alone, with a 2% increase every year after that.

If You’re a Landowner, Act Now!

Do you own land in Washington State? If so, you may be interested in leasing some of your property to a solar developer. Chances are you have already been approached by one company or another with offers to convert your open space into an energy-generating solar farm. But how do you know which developer is a good match for you? After all, you may not want to sign on the dotted line with the first company that comes knocking.

That’s where Scout Land Consultants comes in. We are experts in community- and utility-scale solar projects and can help you weigh the pros and cons of working with different developers.

With us by your side helping you navigate the process, you’ll have the best chance of seeing your project to completion and reaping the financial rewards for decades to come. Contact us today for a complimentary site evaluation.

Virginia

It should be no surprise at this point that solar development has come to the state of Virginia in a big way. The state ranks 10th in the nation for solar development and shows strong promise for growth over the next decade. In the spring of 2020, the Virginia legislature passed the Clean Economy Act which aims to make Virginia zero carbon by 2050, and support for this legislation continues to grow.

A major component of this is promoting renewable energy, of which a large portion of the development will be greenfield utility scale solar farms. Solar development is not new to the state, has continued to grow since the Clean Economy Act, and indications are that it will dramatically increase in both size and scale over the coming years due to the growing interest and support in Virginia from companies and legislators. Therefore, there are some important things to consider as a landowner before entering into a solar lease with a developer. 

Project Sizes Matter

Utility scale solar projects generally fall into two categories and the project timeline, site criteria, and lease rates can vary significantly.

1. Transmission

Transmission means that the solar development ties into large and small scale transmission power lines in order to connect with distribution lines (or the three phase power lines you typically see running through your neighborhood). Sizes vary, but generally transmission scale projects need to be greater than 200 acres and can be as large as 1,000 acres. For quite some time, there has been a market for transmission scale projects, and developers have scoured the state reaching out to landowners with land situated near substations or transmission lines. One challenge has become that lines are saturated with new project applications, and there just isn’t enough infrastructure to support it. This can be solved through line upgrades and new infrastructure, but it has also promoted the need for smaller projects in order to reach the state’s clean energy goals. As of 2023, solar is now providing the state with 5.65% of its required electricity. This, however, is still only a fraction of what the state aims for solar to produce.

2. Distributed Generation

Distributed Generation (DG) projects are smaller farms, usually situated on 20-40 acres and typically interconnect to three-phase power lines (normally found in residential neighborhoods). As a part of the Clean Economy Act, a new Community Solar program will focus on DG projects, and, as of the end of 2022, the largest energy supplier in Virginia now has 33 DGs in operation or under development. The good news for landowners is that these are faster to permit and interconnect with utilities than transmission projects. Distributed Generation projects can be done in as short as 12-18 months, versus the 3-5 years it may take to complete a transmission scale project. 

Virginia is one of the few states that has very active development in both categories, so if you are interested in leasing your land for solar, it is important to understand the difference.

Know Your Utility

Solar development is heavily concentrated within the investor owned utilities (IOU) service territories— Dominion and Appalachian Power. While some municipal and cooperative utilities may promote isolated solar development, the wide scale demand is for land in the IOU territory. The service territory maps are published by multiple sources and vary in accuracy, leading to confusion for developers, so it’s important to know the service territory or the utility ownership of the nearest power line to your property.

Environmental Challenges

Virginia is one of the most challenging states to develop solar farms in because of the physical characteristics of the land. Solar farms are challenged by excessive slope—which reduces the amount of sunlight that hits the panels—and wetlands/waterways. As you can imagine, electricity and water do not mix. Because solar projects require large amounts of contiguous land, the slopes, streams, and wetlands that cover the state pose problems in site planning and construction. Also, beware of critical habitat zones or agricultural preservation easements. Even though solar is clean energy, any development restrictions will still apply and eliminate the potential for solar development.

Helps to Know Your Neighbors!

Because of the environmental constraints and the higher priced interconnection costs for the transmission-scale projects, it is very helpful to know your neighbors if you are interested in leasing your property for solar. One of the biggest development challenges is assembling groups of properties, but if the property owners work together by organizing or cooperating with each other, oftentimes they can demand a higher and more consistent lease rate than if they negotiated individually.

Do you think your property in Virginia could be a great match for solar development? If so, we encourage you to explore your options sooner than later, as the market is incredibly competitive.

At Scout Land Consultants, we have a team dedicated to helping you navigate the process, ensuring your land is fully vetted for projects and you’re paired with the perfect partner when it comes to development. Contact us today for a complimentary evaluation.

References

“Virginia Passes Landmark Zero Carbon Bill That Prioritizes Solar Access”, SEIA

“Virginia Solar,” SEIA

“Is Virginia at a Solar Crossroads,” Cardinal News

“Climate and Clean Energy Policy Status,” Virginia Conservation Network

Pennsylvania

If you are a landowner in Pennsylvania, odds are you have been contacted by a solar developer over the past 18 months. There is a lot of momentum behind solar development on several different fronts and this has generated a boom of interest in sites for these projects.

Unfortunately, there are several different development paths for different types of projects and the information can be sparse, leaving landowners scrambling to get the details before making a decision. Here are a few tips and nuggets of info that may help you along the way.

If I lease my land, what are the chances a project will be successful?  

This, of course, is the million dollar question when landowners are considering leasing their land for solar. Many Pennsylvania landowners carry scar tissue from the oil and gas mineral rights which were acquired by speculators – and nothing ever came of it except a cloud on title leading to challenges with property transfers. The solar industry has been slowly gaining ground and while there may not be many projects installed at this time, there is a lot of momentum with key legislation in the works which could overnight greenlight a wave of new projects.  

What legislation?  What is driving this new solar development?

There are general trends that are driving utility scale solar development – including the cost of panels steadily decreasing over the past decade and a focus on environmental benefits from utilities. The most recent boost is due to introductions of key legislation.

Three bills have been recently introduced to the Pennsylvania State Senate and House of Representatives, proposing expansions in the development of community solar projects. While these proposals have yet to be passed, the bills have generated a ton of local support with a 77% approval rate from the public. Developers see this as an opportunity to grow, and are actively engaged in researching and seeking approval for expansion. Solar Landscape CEO Shaun Keegan says that he expects “Pennsylvania to be active over the next 12 to 18 months,” and anticipates the formal launch of the state market within that time.

Senator Rosemary Brown, the prime sponsor of an upcoming bill, is working to gather information that will garner the attention of the governor. Her draft received support from both Republican and Democratic senators, and she clearly defines the details of the proposal. Pennsylvania’s Public Utility Commission will be in charge of authorization, administration, license requirements, and the net crediting involved in each project. Community solar facilities will have to be under five megawatts (MWs) and 50% of the subscribers to a project must be residential customers. This encourages the utilization of the state’s diversity, proposing to establish solar projects in both the brownfields of the countryside and on the rooftops of city buildings. The bill proposes that rules of operation will be established within one year of its passing, also promising that there will be a 5 year report on the effectiveness of the program to both the legislature and public once the program is established.

Should I wait and see how it plays out before signing a lease?

The solar development market is so competitive that many projects will be underway well before any legislation passes. A major factor in site selection is the capacity along the power lines, which the projects will eventually interconnect with. Interconnection applications are honored on a first come, first serve basis; so even if you have a great site, if there are too many projects ahead of it in the queue, there will not be enough capacity left to build a project. “For Pennsylvania, it’s not a question of if, it’s a matter of when,” according to Jason Bledsoe, NLR Solar’s Pennsylvania Territory Manager. So while it may seem prudent to wait it out, the opportunity may not be there once a bill passes.

What Makes a Good Solar Site in PA?

Factors such as land size, physical characteristics, and proximity to powerlines are the primary drivers when developers are selecting potential sites. To learn more about the specifics on what makes for a good solar site, click here.

In Pennsylvania there are a few special factors developers must also consider. For one, excessive slope or bedrock is a major challenge for development and Pennsylvania offers no shortage of either. Another is the potential of a community solar program only applying for certain utilities. These service territory maps and power line ownerships are not well documented, so it’s difficult for developers to be sure of the property’s utility when initially reaching out. It’s important to know the power company associated with the site – as this may save you a good deal of time and effort if you know the project won’t work right off the bat. It’s also important to be aware if you have oil and gas rights sold off or active wells on your property. These won’t necessarily be deal breakers, but a developer must resolve this with the oil and gas company before getting started. As you can imagine, they cannot run the risk of an oil and gas company tearing up a solar farm to drill or repair a well.

Are there predatory speculative developers?  What should I look out for?

The solar market has become a very lucrative business for developers. Each project could fetch millions of dollars once interconnected and constructed. It takes a lot of investment, risk, and experience to get these projects to the finish line.

First, there should be a fair consideration paid to the landowner during the option period. This money is at risk and a developer would prefer to invest it in the project costs, but it’s still a good test of their financial stability and should compensate the landowner for the time spent negotiating the lease option.

As for specific lease provisions, make sure there is decommissioning language to account for removing the project at the end of the lease. Other folks in the midwest have seen issues with cell phone towers and wind-turbines that have been abandoned by the tenants and left a costly clean up for the landowner. The good news is solar panels are simpler to remove and they have valuable metals that a tenant wouldn’t want to leave behind. Finally, be aware of how a project may affect your property taxes. Oftentimes, developers will offer to pay for any property tax increases that may occur as a result of the project. It’s a standard provision, but make sure it’s included. The last thing you want is to be stuck with a big tax bill as a result of a project.

At Scout Land Consultants, our team is well versed in solar development projects and happy to help you navigate what can be a cumbersome and confusing process. Our team of experts are here to help evaluate your property and ensure you partner with the best developer for the job.

If you think your land in Pennsylvania could be a good fit for solar development, contact us today for a free evaluation.

References

“Pennsylvania Senate considers bipartisan community solar legislation”, Solar Power World
“POLICY: Recent Pennsylvania legislation sparks hope for community solar”, Andrew Burnes New Project Media
“INTERVIEW: Pennsylvania Senator drafts community solar legislation”, Michelle France, New Project Media

Ohio

Ohio has millions of acres of flat, sunny land—the ideal landscape for building utility-scale solar or wind farms. Right now, solar is more appealing to developers because the cost to install photovoltaic (PV) panels has dropped drastically in recent years. Solar farms are also more attractive to landowners and neighbors because the panels sit close to the ground and are surrounded by vegetation, making them less noticeable.

But for some reason, solar doesn’t appeal to the Ohio Senate and citizens, pushing the state down to 26th in the national ranking for solar. Moreover, if you’re interested in leasing your land for solar development, you must first understand the currently contentious solar landscape in Ohio.

State Policies Largely Oppose Solar

Time and again, Ohio lawmakers have taken measures to gut the state’s renewable energy program. In 2014, Senate Bill 310 loosened clean energy rules for utilities. Then, in 2019, House Bill (HB) 6 bailed out the state’s two nuclear power plants. Part of HB 6 lowered the renewable energy requirement for utilities from 12.5 percent to 8.5 percent by 2026, and the regulation will drop after that date. Furthermore, in early 2023, the Ohio Power Siting Board rejected a request for a solar project due to local opposition. They then proceeded to approve an even larger project, saying that the opposition was not sufficient to stop construction. These seemingly conflicting conclusions leave developers weary to monetarily pursue development in Ohio.

The latest legislation out of the Ohio Senate—SB 52—creates even more hurdles for renewable developments. It grants county commissions the power to limit or outright ban solar and wind energy projects. It can even pull the plug on installations that are already in development.

Solar Will Prevail in Ohio!

The development of solar energy in Ohio is rocketing forward despite the state legislature’s opposition to renewables. Lower costs, advancing technology, and demand from companies that want to use renewable energy are all market forces driving the continued push toward more solar farms. Amazon, Facebook, and Google—all of which have energy-intensive data centers in central Ohio—are the big-name companies in the state that have pledged to switch to renewables.

There are also companies like American Electric Power based in Columbus, which is aiming to reach net-zero carbon dioxide emissions by 2050. That’s the goal for many companies and even entire states across the country. Though the legislation seems bleak, as solar panel efficiency, storage options, analytics, and the grid itself continue to develop, everyone can work together to reach net-zero by 2050!

Get Help Finding a Solar Development Partner

Despite opposition from legislators, solar developers are vying for opportunities to lease land in Ohio and become part of the PJM Interconnection, a region that covers several states and gives developers a larger market for their product. If you own land in Ohio, you have what developers are looking for! You can lease your land to build a utility-scale or distributed generation (DG) solar farm and potentially earn much more money than you could by growing crops.

Still, you do not necessarily want to team up with the first developer that comes knocking. Work with Scout Land Consultants, and we’ll help you find the perfect partner. As experts in solar project development, we’ll ensure your land is fully vetted and help you successfully navigate the process of leasing your property.

We would be happy to help you navigate the process, ensuring you partner with the best developer for the job. Contact us today for a complimentary evaluation.

References

“Ohio Solar Projects Face an Unclear Path Around Local Opposition,” Energy News Network

“Ohio Solar,” SEIA

“PJM,” PJM

New York

If you are a landowner in New York, chances are alternative energy companies have contacted you many times over the past few years about setting up a solar farm on your property. The solar market is hot right now, having an annual growth rate of 24% in the last decade.

Now, time is running out to lease land for solar in New York. Is this the right time to act?

Why is Time Running Out?

The population-dense New York metro area has immense energy needs, and Upstate New York has the open spaces utilities are looking for to develop utility-scale and distributed generation (DG) solar farms. Demand remains high for eligible solar sites, but time is running out for you to act. Here’s why:

New York is Close to Achieving Its Energy Goals

The Climate Leadership and Community Protection Act requires New York State to get 70% of its energy from renewable sources by 2030. To date, more than 50% has already been contracted, and most of the remainder is expected to come from offshore wind. Additionally, in May of 2023, “New York state’s power grid met about 20% of its electricity demand with energy from the sun,” setting a new record. The state’s solar installations continue to increase yearly and look as if they will continue to follow this trend.

Solar is Growing Rapidly

There have been approximately 190,000 solar projects in New York state, giving the state a total capacity of 4.7 gigawatts (GW). This is a big step towards renewable energy for the state, but they still have a long way to go, and there is no sign of slowing down. Development companies are racing to get the best land, making the competition fierce.

Suitable Land is Running Out

The New York solar market can only grow at breakneck speed for so long. After all, there aren’t many suitable sites left for large and small-scale solar arrays. Like the Sooners who raced to settle the best Oklahoma farmland in the 1800s and the 49ers that snatched up their place in the Sierra Nevada during the Gold Rush, today’s utility companies are scrambling to secure a spot before they’re all gone.

Why Should Landowners Lease Property for Solar?

In many cases, solar farms are the highest and best use for any undeveloped land in New York, but the opportunity to lease your site to a solar developer won’t be around much longer because of the high demand, followed by intense market competition. This is your chance to secure above-market lease rates that some farmers are reporting generate 20 times the income cropland would pay. This rock-solid income stream will last for the next 25 to 35 years—don’t take it for granted!

The Impacts of the NY-Sun Initiative

Since the launch of the NY-Sun initiative in 2011, solar has grown immensely while also seeing a significant decline in cost of development. It has also helped to create roughly 12,000 jobs throughout the state. With all combined projects, the state sits at 95% of Governor Cuomo’s goal to install 6 gigawatts of solar by 2025. In fact, 2022 was New York’s most productive year for solar installations with 851 megawatts of capacity installed.

One option for solar is to have local community projects. Enabling consumers to subscribe to local community solar or “small-scale” projects increases access to solar for homeowners and renters who may not have the ability to install their own solar panels. Community solar arrangements vary between roughly five and 50 acres in size, and are delivered via a customer’s regular electric provider. The power produced from a community solar array is fed back to the electric grid, and subscribers receive credit on their electric bills for their portion of the community solar system.

The Growing BESS Market

Another growing market in New York is battery energy storage systems or “BESS” which, as the name suggests, stores energy from solar panels. As New York continues to expand its solar capacity, the state needed to find a way to efficiently store and use the power gained from the sun. The solution to this was the BESS projects, which continue to gain momentum and popularity in the state, assisting New York in reaching its ambitious clean energy goals.

What makes battery storage projects more accessible to the typical landowner, is that it only requires one or two acres in size with close proximity to a substation. With these flexible prerequisites, this means many landowners will have a chance to participate in the future, even if they miss a window for other energy opportunities.

How to Find the Right Solar Development Partner

The key to successfully completing your project is to choose a partner with a positive track record. Given the high demand for solar developments in New York right now, you may not know where to begin.

That’s where Scout Land Consultants comes in. Our team is well-versed in solar developments and serves to mediate the relationship between landowners and developers. With our services, you can expect the smoothest, most successful project possible.

We would be happy to help you navigate the process, so contact us today for a complimentary site evaluation.

References

“Solar Industry Research Data,” SEIA

“Growth in solar power sparks a land rush,” Times Union

“Statewide Distributed Solar Projects,” New York State

“Record solar power generated in New York State – grid operator,” Reuters

“New York Solar,” SEIA

“Energy Storage,” New York State

New Mexico

If you are a New Mexico landowner with a powerline anywhere near your property, you may be getting some interest from solar developers to lease your property for a solar farm. While this may be a new concept to you, solar development has been steadily building across the country, and due to recent legislation passing, it is about to expand to New Mexico in a big way.

Here are a few things you should know before signing a lease with the first developer who knocks on your door.

Project Size Matters

The recent legislation that is promoting solar development is a community solar program which will probably be capped at 5 megawatt (MW) project sizes – equivalent to roughly 40 acres. This means a developer will NOT be able to build larger than that, so if you have a larger property, they won’t be able to lease more than a 40-acre footprint.

In the past two years there have been similar community solar initiatives in Colorado, Maryland, Illinois, and Massachusetts. And right now, Virginia and Pennsylvania are working through the process. The good news is that hopefully there has been a lot learned from the private and public sectors on how to successfully roll this out.

Prepare for Patience

It’s important to understand the development timelines for these types of projects. It would be great if you could decide you wanted to lease your property, construction started the next week, and you immediately start collecting rent. Unfortunately, like most development these days, there are hoops developers need to jump through, including securing an interconnection and power purchase agreement with the local utility, permitting and construction. Typically this process takes between 18-24 months to complete.

In 2021, the community solar program was signed into agreement, paving the way for solar in New Mexico. Then, on March 30, 2022, the Community Solar Rule was adopted, so development began. Since then, the solar market has boomed in New Mexico, making way for 6% of the state’s energy to be provided by solar. Qualified developers are eager to begin the development process and make investments now, beginning construction as soon as the land is ready and the legal documentation is complete.

Pick the Right Partner

Unlike evaluating a buyer for your home where the goal is pretty simple and a short time frame, finding a developer who can complete your project involves some shared risk and time. It’s very much a partner-type relationship. Bottom line, it will take time, money, and experience to complete a development, so you’ll want a partner with a positive track record in solar development. Given the national attention towards solar development in the past few years, there have been a lot of groups coming out of the woodwork who are just trying to jump into the game. We encourage you to be cautious and do your research prior to making any deals.

Timing is Key

While it is always prudent to explore all options and do the proper due diligence, there is a relatively short fuse on the opportunity to lease for solar. The biggest reason is the interconnection process with the utility. While the final regulations will vary, oftentimes the utilities accept applications on a first-come, first-served basis. The power lines will quickly become saturated with projects and the chance of project success is significantly reduced regardless of the property suitability.

If you own a significant amount of land in New Mexico near power lines and think your land could be a good fit for a solar farm, we encourage you to start educating yourself about the recent policies in your area or find a resource like NLR Solar to help guide you through the process. Scout Land Consultants exists to mediate the relationship between you, the landowner, and solar development companies to ensure the most successful and smooth solar project process possible.

Contact us today for a complimentary consultation and to discover if your land could be a prime candidate for this exciting new land use in New Mexico!

References

“Community Solar,” Public Regulation Commission

“New Mexico Solar,” SEIA

Indiana

As the cost of solar and other renewable resources falls, more and more utilities across the country are diversifying their resource mix with clean energy. With the recent passing of Bill 930, the incentive to be solar-certified is about to skyrocket. 

Indiana Utilities are Investing in Renewables

AEP Energy

Ohio-based AEP Energy signed a long-term renewable energy purchase agreement in May 2021 for power from a massive 1,400-megawatt (MW) solar farm in northern Indiana. The project spans over 12,000 acres in Starke and Pulaski counties. AEP has signed two other contracts, Sculpin and Lake Trout, to deploy 425 MW of utility solar power in Indiana, expected to generate over 880,000 MW of clean energy each year. 

AES Indiana

As part of a commitment to expand its energy generation resources, AES Indiana has invested in several solar projects across the state, which are either already in operation or currently under development. One such project is a 20 MW solar farm at the Indianapolis International Airport completed in 2015. 

Additionally, every three years AES develops an integrated resource plan that determines how best to source their energy for customers. With the goal of increasing reliability on renewable energy resources, AES expects 84% of their energy resources to come from renewable sources by 2042. 

Vectren Energy

In 2018, Vectren Energy announced that it would shut down three coal plants by 2023, effectively retiring 730 MW of coal-fired power. In their place, Vectren plans to open a 460 MW combined-cycle natural gas plant and invest in 700 to 1,000 MW of solar, among other renewables.

Vectren’s decision comes despite proposed legislation to place a moratorium on new resources replacing coal-fired power. That particular bill failed in 2019, but a highly contested bill from early 2020 passed, making coal plants in the state more difficult to retire. This political pressure simply wasn’t enough to sway Vectren in light of economic and environmental signs that renewable energy is the future.

When Vectren announced plans to diversify its energy resources in 2018, its generation portfolio was 78% coal-fired and 10% renewable energy. By 2025, the mix will be 12% coal and 64% renewables. This change is expected to reduce greenhouse gas emissions to 75% lower than 2005 levels by 2035 and save consumers up to $320 million over the next 20 years.

Similarly, on April 26, 2023, Vectren released an IRP with a stated goal of eliminated Indiana coal usage by 2027. The plan proposed is predicted to save customers $80 million, compared to the amount spent on coal-powered energy. The accomplishment of this goal would result in reducing carbon emissions in Indiana by 95%, also over the next 20 years. 

Duke Energy Renewables Solar LLC

Duke Energy Renewables Solar LLC, a division of Duke Energy, plans to build a $180 million solar farm in western Indiana. The 175 MW Hoosier Jack Solar project will be located on 1,500 acres of a reclaimed coal strip mine in southern Vigo County and northern Sullivan County. It is expected to produce enough electricity to power about 35,000 homes. The land is leased out by the owner and outfitted with solar panels, construction having started in 2023. 

Duke Energy has also signed an agreement with renewable energy developer, Ranger Power, for up to 199 MW of solar power to serve 35,000 more homes. The 1,700 acre development will be located south of Gwynneville, Indiana and will be fully operational by 2025.

New Legislation is Here

With the passing of Senate Bill 930, effective July 1, 2023, counties and municipalities across Indiana will be incentivized to become certified solar-ready communities. Each county will be offered $1.00 per megawatt-hour (MWh) generated by an established project within county lines, making adoption of the appropriate regulations quite profitable. Regulations will include state-wide standards for the safe construction, installation, siting, modification or decommission of one or more commercial solar project. 

Republican Senator Mark Messmer, co-author of the bill, says “it sends a message to developers that as a state—we are looking for your investment. And in counties that adopt it–it will show developers that they are ready and open for business.” 

With solar accounting for less than two percent of Indiana’s current electricity generation, there is great potential for solar to grow. Developers are looking to make a push that increases that number to thirty percent in Indiana, Illinois, Iowa and South Dakota.

“They’re going to get it from somebody—we may as well be the beneficiaries,” Messmer says.

As a Landowner, Now is the Time to Act!

As energy resources continue to shift away from fossil fuels and toward renewables, opportunities like these are popping up in Indiana and across the country. If you’re a landowner, and you think your property could be a good match for solar development, now is the time to act! You can lease your land to a utility-scale solar developer and make many times more money than you could by growing crops.

Still, it’s important to know that not all developers are created equal. You may not want to sign on the dotted line with the first company that comes knocking. But how can you tell which opportunity is right for you?

That’s where Scout Land Consultants comes in. We are experts in negotiating solar developments and can help you navigate the process. Let us ensure that your land is fully vetted and help you pair up with the perfect partner for your solar development project.

We would be happy to ensure you partner with the best developer for the job. Contact us today for a complimentary evaluation.

References

“Vectren bucks Indiana legislature with plan to reduce coal mix 78% to 12% by 2025”, Utility Dive

CenterPoint Energy continues shift from coal-fired generation 

“Duke Energy division planning $180M Indiana solar farm”, 13WTHR NBC

“AEP Signs Power Agreement for Solar Farm Project”, Inside Indiana Business with Gerry Dick

“AEP strikes deal to buy power from Indiana solar project”, The Columbus Dispatch

AEP strikes deal to generate 880,000 MW of clean energy

“Solar Power”, AES Indiana

AES Indiana ramps up plan to get 85% of energy from renewable sources AES Indiana

“AES Indiana Acquires Clinton County Solar Project”, Inside Indiana Business with Gerry Dick

“Utility AES Indiana to build 1,800-acre solar farm northwest of Indianapolis”, Indianapolis Business Journal

“INTERVIEW: Indiana Senator discusses the recent passage of SB-290 to grow utility-scale solar and wind projects in the Hoosier State”, New Project Media

“Duke Energy Indiana commits to purchase up to 199 megawatts of solar power from Shelby County-based facility”, Duke Energy

Arizona

If you are a landowner in Arizona, you may soon be approached by solar developers—if you haven’t been already. After all, the future of Arizona’s energy landscape recently took some twists and turns. But it looks like utilities will want to establish power purchase agreements on large-scale solar farms going forward to meet newly enacted energy mandates.

Turbulent Paths to Solar

In a surprise vote highlighted in PV Magazine, the Arizona Corporation Commission rejected new standards that would have led to 100% renewable energy use in the next three decades. The plan, which had been in the works for three years, ran afoul when an amendment turned some required mandates into nonbinding goals. However, a special open meeting was then held on May 26, 2021, just a few weeks after Arizona regulators rejected the rules on May 5. This time, the regulation passed with a 3-2 vote. The new bill added 20 years to the carbon-free deadline.

2 years later, in 2023, the Commission voted in favor of the Arizona Public Service (APS), giving it more control of the solar market in Arizona. The Commission saw this decision as a vote for the people, helping to ensure reliable solar development and use. Some, however, do not see it this way, but rather, as a hinderance to competition in the market. Even amidst all of this tumult, Arizona has managed to power 9.82% of the state’s required electricity with solar.

Arizona Has High Reaching Goals

Some of Arizona’s largest utilities, which have ambitious goals along with the state itself, supported the clean-energy mandates in the original proposal in 2021.

  • Arizona Public Service (APS) announced that it plans to end the use of coal-fired power plants by 2031 and get 100% of its power from non-carbon emitting sources by 2050.
  • Tucson Electric Power (TEP) said that it will retire coal plants by 2032 and source at least 70% of its power from solar and wind by 2035.
  • Non-regulated Salt River Project (SRP) declared plans to more than double its utility-scale solar commitment originally announced in 2018, adding 2,025 megawatts (MW) of new solar panels to its power system by the end of 2025.

A positive legislative outlook on solar is hoped for by the state and will be beneficial in helping it reach its long term goals for clean energy. 

How Arizona’s Energy Goals Could Affect Landowners

To help them accomplish their goals, utility providers plan to invite landowners to add utility-scale solar farms to their properties. If a solar developer approaches you, it’s your decision whether or not to move forward. Choosing the right developer is just as important as deciding if you want to contribute to utility-scale solar development in Arizona. You don’t want to waste years under contract with a developer ill-equipped for success in the market.

At Scout Land Consultants, our team is well-versed in solar development projects. Not all developers are equal, and we know the pros and cons of different types, and ultimately, which ones we believe give you the best chance at seeing a project to construction.

We would be happy to help you navigate the process, ensuring you partner with the best developer for the job. Contact us today for a free evaluation.

References

“In a surprise vote, Arizona utility regulators reject a clean energy plan”, PV Magazine

“Utility Regulators Give APS What It Want on Renewables, For Now,” 12 News

“Arizona Solar,” SEIA