Is Community Solar Right for My Property?

What You Need to Know About Community Solar Installations

Community solar offers a new path for Americans to take advantage of community solar.  For property owners with suitable acreage, it can also provide lucrative monetary benefits.

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According to the NREL, 50% of Americans who want to adopt solar energy cannot do so due to limitations on their property. Community solar offers a viable alternative to renters and low-income housing.

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Your land or rooftop may offer a unique opportunity to provide solar energy for your neighbors, while generating passive income. By partnering with developers, doing so incurs little risk and few costs.

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What is Community Solar? Community solar is a configuration that allows locals to benefit from solar energy without installing, owning, or operating equipment. Hosting a community solar garden allows you to utilize unused land or rooftop as a “solar crop.” Once operational, the electricity generated by the solar garden is fed into the local utility grid.

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Residential and commercial subscribers can then purchase a share of the solar garden's output, receiving credits that reduce their monthly electric bills and leverage clean, renewable energy.

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In exchange for the use of the land or rooftop, owners of host sites receive monthly lease payments. The property owner can also take advantage of the more affordable electricity generated on their land or rooftop. 

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A third-party developer is responsible for planning, constructing, and operating the solar configuration development for the property owner whose site the community solar garden is established on.

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In short, community solar allows you to earn a lucrative stream of passive income while supporting clean energy initiatives - all without managing the solar energy system itself. It's a win-win for everyone.

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Choosing Community Solar over Self-Ownership Is owning your own solar energy system a better option than community solar? Installing a community solar garden on your property has a different use case than a homeowner who might install solar panels on their rooftop. The choice should depend on what you're looking for out of a solar configuration.

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Homeowners who install their own solar panels primarily intend to use it for personal use. While some homeowners can sell excess energy back to the utility company, the main draw is lowering electricity costs. 

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These homeowners are also responsible for the fees incurred with installing, owning, and operating the solar panels. Installing solar panels can be expensive, and maintenance and repair costs fall on the homeowner.

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Property owners who are interested in developing community solar systems are essentially leasing their land or rooftop. By installing solar panels owned by a third party, they take on none of the financial obligations of solar ownership.

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While they can partake from the community solar system by subscribing to it and receiving discounted electricity, the primary benefit comes from the predictable, recurring payments from leasing their land or rooftop.

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Is My Property Suitable for Community Solar? Community solar can be an excellent asset for your property, but is it suitable for your location? A community solar project needs to be built within close proximity to utility infrastructure. These projects require close access to utility power lines so that the electricity generated can be delivered to local residents and businesses.

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For non-rooftop installations, flat land, ideally with no inclines, is best suited for community solar. Federal restrictions also restrict the development of these projects near wetlands or 100- and 500-year floodplains.

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The amount of space itself is a critical factor in determining a project’s viability. For every megawatt of solar energy, 4 to 6 acres are required. Generally speaking, the more open space that is available, the better.

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It may surprise you that community solar gardens can be developed in regions with overcast weather. Thanks to advancements in solar panel technology, abundant sunshine isn’t required to generate electricity.

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Community solar gardens currently exist in 41 states, as well as D.C. Of those, 19 states have developed policies and programs to spur their growth.  Community solar is a viable option for many property-owners across the U.S., provided that their location is suitable for its development. It can offer new value to sites that are typically unsuitable for use, such as land fills or arid environments.

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Does Installing Community Solar Lower My Property Value? Community solar has not been shown to negatively impact the short- or long-term value of a property or adjacent properties.

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Community solar developers locate and design projects to minimize the impact on land and residences. Solar panel installations have a low profile that does not affect the look of the surrounding landscape.

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Unlike wind turbines, solar panels do not create any sound, and contrary to popular belief, they do not create glare. The environmental impact is negligible, as they generate no air, ground, or water pollution.

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Installing community solar on your property is a low-impact, high-value addition, especially for unused plots of land or rooftops that generate no revenue on their own. For property owners who are interested in installing solar installations without the financial risk, it offers a sound investment that does not detract from your existing property value and generates a predictable stream of income.

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Catalyze achieves your sustainability goals through community solar and other onsite renewable energy projects. Get the benefits of renewable energy without capital expenditures or the burdens of ownership and maintenance.

MAKE THE SWITCH TO SOLAR WITH CATALYZE →

Catalyze: Your Partner for the Long-Term