Once solar panels or wind turbines are installed, the impact on the land is relatively low compared to some types of farming. For solar and wind projects, there’s even the potential for dual use of the land, such as sheep grazing amongst solar panels, or continuing normal agricultural practice around wind turbines which can lead to enhanced land utilization. With wind specifically, a landowner may use the remainder of their land for regular farming activities, hunting, and even (simultaneous) solar development. In comparison to installing pump jacks with oil pipelines, these projects have far lower land impact when considering the possibility of cleaning pesky oil leaks and water contamination.

Large scale clean energy projects can create jobs, stimulate local economies, and increase tax revenue. Their construction may also improve local infrastructure, such as roads, which can benefit the landowner and the community at large. Local businesses get a big lift during project construction from increased demand for construction materials, equipment, and the employment of workers. Many companies may also engage with local communities to provide community benefit agreements (CBAs) that provide for funding for things such as EMS services, local school funding, or local police departments.

Large-scale wind or solar projects that are interconnected to the grid play a crucial role in enhancing national energy security and promoting energy independence. By diversifying the energy mix with substantial renewable resources, America has reduced its reliance on imported fuels, which are often subject to volatile markets and geopolitical tensions. Renewable energy sources like wind and solar provide a stable, inexhaustible and clean supply of electricity that can be produced domestically.

By leasing land for solar or wind projects, landowners contribute to the production of clean, renewable energy, helping to reduce reliance on imported fossil fuels and increase energy independence. This can also align with landowners’ personal values and goals  for the protection of your community’s land and way of life.

Once a lease agreement is in place, there may be restrictions on how the rest of the land can be used, which could impact future farming practices or development plans. Specifically for solar farms, usable farmland is often taken out of production. 

Some community members may have concerns about the visual impact of solar panels or wind turbines, which can lead to disputes or opposition. The presence of large-scale energy projects can also alter the character of rural areas. Wind turbines are typically 200 feet tall and will change the landscape in rural areas. However, this needs to be weighed against the visual impact of pump jacks or oil and gas pipelines.

While solar and wind energy are clean sources of power, the installation and decommissioning processes can have environmental impacts. For instance, large solar farms may disrupt local ecosystems, and wind turbines can pose risks to bird and bat populations (albeit minimal when compared to impacts of cats, windows and cars) if not properly sited. Federal law requires that extensive studies must be conducted to reduce any impact on bird or bat populations before construction begins.

Depending on the location, quality of the land, and other factors, leasing land for solar or wind projects might not always offer the highest financial return compared to other uses or investments.  However, this profitability concern is usually offset by the knowledge that a landowner will receive a steady income stream regardless of drought or other negative factors that can affect harvest yields.

Depending on the improvements done at the time of leasing, potential buyers may see the clean project as an encumbrance or an enhancement to the land. It may not necessarily add value but it does limit your buyers. Whilst, transferring the property is easy – the lease contract would typically include language in it about notifying the developer when it is vested in some way. That said, if there are improvements on the property with an associated revenue stream, that certainly adds value for a certain type of buyer.