Developing a solar farm is an exciting opportunity for landowners seeking to diversify their income and contribute to a sustainable energy future. The process involves careful planning, evaluation, and collaboration with experts to transform a parcel of land into a thriving source of clean, renewable energy. By understanding the key steps involved— from initial site assessment to project construction— landowners can make informed decisions and reap the long-term benefits of hosting a solar farm on their property. This resource outlines the solar farm development process in detail, providing valuable insights for landowners ready to explore this rewarding venture.
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Solar Farm Development Process
The five main steps of solar farm development are the Site Control phase, and Queued phase, the Planned Phase, the Building/ Construction phase, and the Active phase. When a property owner leases their land for a solar farm, the lease begins in the Option Period, which occurs when the solar developer conducts due diligence to ensure that they can begin construction. After getting the proper approvals and permits, they are able to begin construction and start producing solar energy.
1) Site Control Phase
The development of a solar farm starts with a thorough evaluation of the land, a step known as "Site Control" by solar developers. Developers cannot move directly to leasing and construction because they must first ensure the property meets all necessary criteria for building the solar project- there are many factors that affect whether or not a solar project enters the Production and Development phases. This assessment takes place during the initial phase of a solar lease, also referred to as the "Option Period." The developer pays the landowner a modest amount (usually from $10-50 per acre) during the Option Period.
New solar projects, whether local or state-level, often must provide detailed documentation about their characteristics to a siting authority. This authority evaluates various criteria, which may include some or all of the following factors:
Adherence to building and electrical codes
Alignment with local land use plans and zoning regulations
Compliance with setback requirements
Consideration of aesthetic impacts
Protection of wetlands and natural resources
Safeguarding public health and safety
Assessment of greenhouse gas emissions
Preservation of agricultural lands and soil quality
Implementation of clear decommissioning standards
Ensuring energy system stability and reliability
New solar installations must adhere to state land use and environmental regulations, which are thoroughly evaluated during the Site Control phase. This process involves comprehensive assessments to ensure compliance with laws governing wetlands, endangered species, protected natural resources, stormwater management, land disturbance, water quality (both surface and groundwater), shoreline preservation, agricultural conservation, and erosion control. These measures are vital to balancing renewable energy development with environmental stewardship.
In many states, large-scale energy projects that exceed certain capacity or acreage thresholds must obtain approval from a state siting authority. These authorities, akin to public utility commissions, streamline the process by issuing permits that address both state and local land use and environmental considerations. At the local level, proposed solar projects are also subject to zoning restrictions and land use ordinances. These regulations often mandate assessments of factors such as impacts on historic districts, aesthetics, property setbacks, and compliance with zoning and planning board requirements. Additionally, they may require review by conservation commissions to ensure all standards are met.
Permitting policies differ from state to state and may require either a single application to a state-level siting board or multiple approvals from various entities, including state public utility commissions and local planning, zoning, or conservation boards. The process typically involves submitting comprehensive application materials that detail essential project elements, such as facility size, generating capacity, land use, and potential impacts on neighbors. Additional considerations include aesthetics, grid interconnection, environmental or agricultural effects, and decommissioning plans.
2) Queued Phase
The next step in solar farm development is known as the "Queued" Phase, which also occurs during the Option Period of a solar lease. A significant challenge for developers during this phase is determining whether the utility will approve the project for connection to the electrical infrastructure or network. This uncertainty is why solar lease agreements typically begin with an Option Period, as not all projects gain approval from ISOs or RTOs. During the Queued Phase, solar developers submit their projects to the interconnection queues for utility and transmission planning. This process, commonly referred to as the "Queue Submission" by solar developers, involves entering the interconnection queue for the specific region, awaiting regulatory approval. These queues are managed by Independent System Operators (ISOs) or Regional Transmission Organizations (RTOs).
3) Planned Phase
Once grid capacity is confirmed, the solar project progresses to the "Planned" phase. During this stage, developers transition the solar farm option agreement into a formal lease agreement. It is at this point that larger solar lease payments generally commence. The Planned phase of solar farm development encompasses several critical steps, including design refinement, equipment procurement (such as solar panels), securing key construction and operational approvals, and conducting final engineering assessments. These assessments involve soil testing, topographical surveys, and utility-driven distribution impact studies to evaluate economic feasibility.
4) Building Phase
With permits approved and financing secured, the construction and installation phase of a solar project begins. Known as the "Building" phase, this is when solar panels and equipment are installed on-site and connected to the power grid. This stage generally lasts from 2 to 5 months and involves several crucial steps, each demanding careful planning and flawless execution to ensure success.
Site Preparation: The construction phase begins with site preparation, a crucial step to ensure a smooth building process. This involves clearing the land of vegetation, debris, and any obstacles that might interfere with construction. Additionally, geotechnical assessments are conducted to analyze the soil and terrain conditions. These evaluations are essential to confirm that the site is stable and suitable for installing solar panels.
Component Installation: Once the site is prepared, critical infrastructure installation begins, including solar panels, inverters, and mounting systems. Careful planning ensures the panels are installed safely and efficiently. Mounting systems are secured on the ground or rooftops, depending on the project.
Electrical Installation: The DC cables from the solar panels are first connected to inverters, which convert the electricity into AC power. This AC power is then transferred to the grid using AC cables. To ensure compatibility with the grid, transformers are used to step up the voltage produced by the inverters to match the grid's requirements.
Quality Control and Inspection: After completing the previous steps, it's essential that the solar developer conducts a thorough inspection and implements key quality control measures to ensure everything functions flawlessly. This process includes verifying safety compliance, performing final inspections, and testing system performance.
System Performance Testing: System performance testing ensures that solar panels and their associated systems are functioning as designed. This process involves verifying the voltage and current output of both the solar panels and inverters, as well as evaluating the performance of monitoring and control systems. By conducting these tests, operators can confirm that the system is delivering optimal performance as intended.
5) Active Phase
Once the solar panels and supporting infrastructure are installed and connected to the grid, the solar farm transitions into the "Active" phase, which is also referred to as the "Production" phase of a solar lease. During this stage, the solar farm begins generating electricity efficiently and reliably. Once a utility-scale solar project is placed in service, it requires very little in terms of operations and maintenance to continue efficiently producing clean, renewable energy. The solar developer is responsible for the maintenance of the solar farm.
Solar Farms in the U.S.
To find the location of active, building, and planned solar farms across the United States, subscribe to LandApp for $10 monthly! With LandApp, users can access valuable data on renewable energy projects like solar and wind farms. The platform provides detailed information on project size, location, statuses, and more:
