How solar developers can overcome clean energy permitting roadblocks

(A Minnesota community solar project. Credit: Clean Energy Resource Teams / Creative Commons
)

Contributed by Katie Kavanaugh, Community Solar Manager at DSD Renewables

The Inflation Reduction Act’s impact is already evident: Between the time the act was signed into law on Aug. 16, 2022, and the end of the year, plans for 47 utility-scale clean energy manufacturing facilities and $150 billion of capital investment were announced, according to American Clean Power.

But the outlook could be sunnier. Without any national or state-level oversight, local governments have been left to decide whether they want to pursue clean energy projects — and, increasingly, they’re passing short-sighted ordinances that limit those projects from receiving permits.

The Sabin Center for Climate Change Law at Columbia University reported that 59 restrictions on renewable energy developments — solar, wind, hydroelectric, thermal, and battery storage — were adopted by local governments between March 2022 and May 2023. That represents a 35% rise in legal constraints, with 228 laws now passed since 1995. During the same 14-month timeframe, there’s been a 39% increase in the number of plans opposed, raising the total to 293 tracked since 1995.

By working with localities to ensure they understand renewable energy’s advantages and demonstrating how projects can be built with community values at the forefront, developers can help turn the tide and sway localities to focus on implementing solutions that improve communities for generations to come.

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Misconceptions lead to objections

When a proposal was made in 2020 to turn 9,200 acres atop a mesa near Las Vegas into an 850 MW solar installation, fierce opposition from area residents forced developers to scrap their plans a year later. A community group called it an eyesore and said it would interfere with popular recreational activities such as hiking and four-wheeling.

It was estimated the solar farm would have filled the daytime power needs of 500,000 homes — and it could have provided vital economic relief to southern Nevada, where the state legislature reported in April that electricity costs have surged by 54.2% since 2021.

This shows how a lack of understanding of project benefits can lead to a shortsighted decision, and is among the more common challenges that solar stakeholders face when it comes to project development. Driven by concerns, and oftentimes misconceptions, over negative impacts on property values, quality of life, aesthetics, or environmental factors, adherents fail to see a project’s upside and overall value.

This is why it is critical for developers to work closely with local officials and municipalities to ensure they remain abreast of how these projects work for their community and the benefits provided, properly weigh the value, and communicate this effectively to the communities they represent.

Everyone benefits from renewable energy

As additional solar arrays, wind farms, and other clean energy sources come online because of the IRA, one study estimated households will save an average of $1,800 annually on their power bills. That’s an extra $150 each month. Globally, the energy transition could also “create 30 million jobs in clean energy, efficiency, and low-emissions technologies by 2030,” according to the World Economic Forum.

These projects can also provide municipalities with new revenue sources. In one unique instance, White Plains, New York, stands to make more than $20 million over 20 years by charging rent to the solar developer that will maintain a 6.8 MW community solar project. And local governments can use community solar installations to entice businesses with lower utility costs, while appealing to a commitment to sustainability and meeting ESG goals. These economic benefits, which impact both at the municipal and resident level, must be conveyed to communities and local leaders so they are aware of what they are missing out on when expressing opposition to solar projects – it can make all the difference in getting projects approved.

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State and federal policies are also incentivizing the participation of energy-burdened households in renewable energy. Many states have introduced incentives and mandates to ensure a portion of community solar projects are dedicated to low-income subscribers or low-income serving organizations. These programs enable low-to-moderate-income households to save 10-20% on their electric bills, a significant benefit given their energy costs are two to three times higher than the median. Effective implementation of these community solar programs often relies on collaboration with community-based organizations, like local governments or nonprofits, which can be instrumental for developers building trust with low-to-moderate-income customers and reducing barriers to participation in cost-saving community solar programs.

This all goes to show that the benefits to communities are plentiful. So, how do we make sure these communities understand what they could be missing out on?

Education continues to open doors

Solar developers, asset owners, and other project stakeholders must do their due diligence to educate local government officials and effectively communicate to residents the vast array of potential benefits community solar projects can provide to their community. Of course, concerns such as aesthetics, local disruption, land constraints, etc., must still be addressed, but by working closely with local officials to address their community’s specific needs, there are often measures that developers can take to remedy these obstacles.

A more common objection to proposed solar projects on farmland is that they affect agricultural production. One approach developers can take is agrivoltaics, which has received support from the federal government — and gained traction on both sides of the aisle. Farmers would no longer have to choose between allocating their land for agricultural purposes or turning it over to solar development. This approach requires developers to connect with local farmers to identify willing participants who are open to leasing solar on their land, and support further educating them in optimally pairing the right crops with the environment that shaded panels provide.

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With the right partners, solar canopies can also be skillfully deployed in urban or industrial areas, where they can be blended with the surrounding aesthetics and placed on rooftops and atop parking garages or covering parking lots – ultimately, preserving farmland and other valued spaces.

Developers can also tap into industry organizations, such as the American Clean Power Association, Solar United Neighbors, and Vote Solar, to advocate for and help facilitate the transition to solar in local communities. When guiding local officials on the necessary steps to take for renewable energy in their community, The National Association of Counties can be a useful resource. The association hosts workshops led by members who share how they made the switch to renewables. Other organizations like SolSmart can help expand solar power options with no-cost technical assistance.

By working closely with industry organizations and local officials to properly inform communities, more informed decisions can be made around the approval and permitting of renewable energy projects, and ultimately progress solar deployment.

Powering the future

The IRA is, for the first time, providing local governments with a direct payment incentive to finance renewable energy projects. Although that may be enough to get elected officials on board, convincing constituents that these sources open opportunities and benefit everyone can be a challenge.

Developers must come to the realization that these local decisions or restrictions ultimately hold the fate of our nation’s clean energy transition and the effective roll-out of the IRA. By effectively communicating the community advantages that come with operating these projects to local officials, and presenting solid solutions to any proposed challenges or hesitations to deploying projects, solar industry players can do their part in helping localities open the door to more projects.