Clean Energy FAQ
Answers to common questions about solar, wind, battery storage, and clean energy policy.
New to clean energy terminology? See our Clean Energy Glossary for definitions of industry terms and acronyms.
Last updated: December 4, 2024
Solar Energy
What is utility-scale solar?
Utility-scale solar is a large solar power plant that generates electricity for sale to utilities or wholesale power markets, typically producing 1 megawatt (MW) or more. These facilities connect directly to the electrical grid and can power thousands of homes. As of 2024, utility-scale solar is the fastest-growing source of new electricity generation in the United States, with over 97 gigawatts of installed capacity.
Sources: SEIA, American Clean Power
What is community solar?
Community solar allows multiple customers to share the benefits of a single solar installation, even if they cannot install panels on their own property. Subscribers receive credits on their electricity bills for their share of the power produced. Community solar serves renters, those with shaded roofs, and homeowners who cannot afford upfront installation costs—making solar accessible to an estimated 49% of American households that cannot host rooftop solar.
Sources: American Clean Power
How much does utility-scale solar cost?
Utility-scale solar costs between $0.80 and $1.20 per watt to install as of 2024, or roughly $800,000 to $1.2 million per megawatt. The levelized cost of electricity (LCOE) from utility-scale solar is typically $25–$40 per megawatt-hour, making it one of the cheapest sources of new electricity generation in the United States—often less expensive than operating existing coal and gas plants.
Sources: EIA, NREL
What's the difference between front-of-meter and behind-the-meter solar?
Front-of-meter (FTM) solar connects directly to the utility grid and sells power wholesale. This includes utility-scale solar farms and commercial rooftop installations on warehouses and big-box stores that export power to the grid. Behind-the-meter (BTM) solar is installed on a customer's property and primarily offsets that building's own electricity use, with any excess sent back to the grid via net metering.
Sources: SEIA
Wind Energy
What is the difference between onshore and offshore wind?
Onshore wind farms are built on land, while offshore wind farms are constructed in bodies of water, typically in the ocean. Offshore wind benefits from stronger and more consistent wind speeds, allowing for larger turbines and higher capacity factors (40–55% vs. 30–45% for onshore). Offshore wind costs more to build and maintain but generates more power per turbine. The United States has significant offshore wind potential, particularly along the Atlantic coast, with over 52 gigawatts in the development pipeline.
Sources: American Clean Power
How big are modern wind turbines?
Modern onshore wind turbines have hub heights of 80–100 meters and rotor diameters of 120–160 meters, with capacities of 2–5 megawatts each. Offshore wind turbines are significantly larger—some exceed 15 megawatts capacity, with rotor diameters over 220 meters and total heights above 260 meters. A single modern offshore turbine can power over 10,000 homes annually.
Sources: American Clean Power
Battery Storage
What is grid-scale battery storage?
Grid-scale battery storage (also called Battery Energy Storage Systems or BESS) consists of large battery installations connected to the electrical grid. These systems store electricity when supply exceeds demand and discharge when needed, helping balance the grid and integrate renewable energy. Most grid-scale batteries use lithium-ion technology and range from 1 MW to over 1,000 MW in capacity. The U.S. had approximately 16 gigawatts of grid-scale battery storage installed by the end of 2024.
Sources: American Clean Power
How long can grid batteries store electricity?
Most grid-scale batteries are designed for 2–4 hours of storage duration, meaning they can discharge at full power for that time period. This duration is sufficient for daily peak demand management and solar integration. Longer-duration storage of 8–12 hours or more is an emerging category for applications like overnight storage of solar energy and multi-day resilience.
Policy & Incentives
What is the Inflation Reduction Act (IRA)?
The Inflation Reduction Act of 2022 is landmark U.S. legislation providing approximately $370 billion in clean energy incentives over 10 years. It is the largest climate investment in U.S. history. Key provisions include a 30% Investment Tax Credit (ITC) for solar and storage, a Production Tax Credit (PTC) for wind, and bonus credits for domestic content and projects in energy communities. The IRA has catalyzed over $270 billion in announced clean energy manufacturing investments since its passage.
Sources: U.S. Treasury, Bipartisan Policy Center
What is the Investment Tax Credit (ITC)?
The Investment Tax Credit (ITC) is a federal tax incentive that reduces the cost of solar and battery storage projects. It allows developers to deduct a percentage of installation costs from their federal taxes. Under the Inflation Reduction Act, the base ITC is 30% for projects meeting prevailing wage and apprenticeship requirements, with additional bonuses of 10% each for domestic content and energy community locations—potentially reaching 50% or more.
Sources: U.S. Treasury
What is net metering?
Net metering is a billing arrangement that allows solar system owners to send excess electricity back to the grid in exchange for credits on their utility bills. When a solar system produces more power than needed, the excess flows to the grid and the meter 'runs backward.' Policies vary significantly by state—some offer full retail rate credits while others have moved to time-of-use or reduced compensation structures.
Energy Markets
What is a Power Purchase Agreement (PPA)?
A Power Purchase Agreement (PPA) is a long-term contract between an electricity generator and a buyer, typically lasting 10–25 years. The buyer agrees to purchase electricity at a predetermined price, providing revenue certainty for the project and price stability for the buyer. Corporate PPAs have become a major driver of renewable energy development—companies like Google, Amazon, and Microsoft are among the largest PPA buyers, collectively procuring tens of gigawatts of clean energy.
Sources: American Clean Power
What are Renewable Energy Certificates (RECs)?
Renewable Energy Certificates (RECs) represent the environmental attributes of 1 megawatt-hour of renewable electricity generation. When a solar or wind project generates power, it creates both electricity and RECs. RECs can be sold separately from the electricity, allowing companies to claim renewable energy use even when purchasing power from the general grid. One REC equals the environmental benefit of 1 MWh of renewable generation.
Sources: American Clean Power
What are grid operators (RTOs/ISOs) and what do they do?
Regional Transmission Organizations (RTOs) and Independent System Operators (ISOs) manage the electric grid and wholesale electricity markets across large regions of the U.S. The major operators are: PJM (13 Mid-Atlantic and Midwest states), MISO (15 Midwest and Southern states), ERCOT (most of Texas), CAISO (California), ISO-NE (New England), NYISO (New York), and SPP (14 central states). These organizations ensure grid reliability, coordinate power plant dispatch, manage transmission congestion, and run competitive markets.
Solar Projects & Communities
How much land do solar farms use, and how are sites chosen?
A utility-scale solar farm typically requires 5–7 acres of land per megawatt of capacity. Developers select sites based on solar resource (sun exposure), proximity to existing transmission lines or substations, relatively flat terrain, and compatibility with local zoning. Many projects are built on previously cleared fields, pasture, or disturbed land to minimize environmental impact and permitting challenges.
Sources: SEIA, Kleinman Center
Why are solar farms built on farmland? Does that threaten food production?
Solar farms are often built on farmland because it provides the large, sunny, open parcels needed near transmission infrastructure. However, solar uses a small fraction of U.S. agricultural land compared with housing, roads, and other development. For landowners, solar leases provide stable, long-term income, help keep family land intact across generations, and allow soil to rest and recover. Solar projects are reversible—panels can be removed and land returned to farming at the end of the project lifecycle.
Sources: Kleinman Center, American Clean Power
What is agrivoltaics?
Agrivoltaics (also called dual-use solar) is the practice of using the same land for both agriculture and solar energy production. Panels are spaced and elevated so crops, livestock, or pollinator habitat can exist under and between rows. Common practices include sheep grazing under panels, pollinator-friendly native plantings, and shade-tolerant crop cultivation. Peer-reviewed research shows agrivoltaics can improve soil health, reduce water evaporation, decrease erosion, and diversify farm revenue.
Sources: NREL, American Solar Grazing Association
Do solar farms permanently damage the land?
No—solar has a light, reversible footprint. Panels are mounted on steel posts driven into soil without large concrete foundations. Topsoil is preserved, and sites are typically planted with groundcover to prevent erosion and support pollinators. When decommissioned after 25–35 years, all equipment is removed and land can return to farming or other uses. Most jurisdictions require decommissioning bonds or financial assurance to guarantee site restoration.
Sources: American Clean Power
Are solar panels toxic? Do they pollute soil or water?
Standard crystalline-silicon solar panels—the most common type—are made of glass, aluminum, silicon, and plastic, all sealed to withstand decades of weather. These panels pass EPA leaching tests and are classified as non-hazardous waste. Solar farms produce no air pollution, wastewater, noise, or combustion byproducts during operation. Panels at end-of-life are increasingly recycled, with over 90% of materials recoverable.
Sources: EPA, NC Clean Energy Technology Center, American Clean Power
Is it safe to live near a solar farm?
Yes—independent health reviews confirm living near solar farms is safe. While panels and inverters produce low-frequency electromagnetic fields (EMF), levels at the fence line are similar to or lower than household appliances like televisions or microwaves. Health agencies and peer-reviewed studies have found no evidence of negative health impacts from proximity to solar installations. Solar farms produce no smoke, odors, or significant noise during operation.
Sources: NC Clean Energy Technology Center, Go Solar Florida
Will a solar farm hurt nearby property values?
No—multiple peer-reviewed studies have found that homes near utility-scale solar farms do not experience decreased property values compared with similar homes farther away. Solar farms are quiet, low-traffic, and can be screened with vegetation buffers, making them significantly different from industrial facilities that create noise, odor, or heavy truck traffic.
Sources: American Clean Power
What economic benefits do solar projects bring to communities?
Utility-scale solar projects deliver significant local economic benefits: construction jobs supporting local businesses for 6–18 months, steady lease payments to landowners over 25–35 years, and substantial property tax revenue or negotiated PILOT payments that fund schools, roads, and emergency services. These benefits come with minimal demands on public services—solar farms require little water, generate no truck traffic, and need only a few permanent employees for operations.
Sources: American Clean Power, Bipartisan Policy Center
What happens when a solar project reaches the end of its life?
Solar farms typically operate for 25–35 years. At end of life, owners can either repower with new panels or decommission the site by removing all equipment and restoring the land. Solar panels are over 80% glass and aluminum by weight—highly recyclable materials. Advanced recycling processes can recover over 90% of panel materials including silver, copper, and silicon. Most jurisdictions require upfront financial assurance (bonds or escrow) to guarantee decommissioning and restoration.
Sources: EPA, American Clean Power
Project Development
What is the interconnection queue, and why does it matter?
The interconnection queue is the backlog of power projects waiting for approval to connect to the electrical grid. As of 2024, over 2,600 gigawatts of generation capacity—mostly solar, wind, and storage—are waiting in U.S. interconnection queues, more than double the entire existing U.S. power fleet. Projects typically wait 4–5 years for approval, and only about 20% of projects that enter the queue are ultimately built. This bottleneck is the single largest obstacle to clean energy deployment in the United States.
Sources: Lawrence Berkeley National Lab
How long does it take to develop a utility-scale solar or wind project?
A typical utility-scale solar or wind project takes 3–7 years from initial site selection to commercial operation. Key phases include: site control and environmental review (6–18 months), permitting and zoning approval (12–24 months), interconnection studies and grid upgrades (3–5 years), financing and offtake agreements (6–12 months), and construction (6–18 months). Interconnection delays are currently the longest phase for most projects.
Sources: SEIA
What permits are required for a solar or wind project?
Solar and wind projects require multiple permits depending on location: local zoning or conditional use permits, building permits, electrical permits, stormwater and erosion control permits, and potentially state environmental reviews. Federal permits may be needed for projects on federal land or affecting wetlands, endangered species, or cultural resources. Most utility-scale projects also require interconnection agreements from the relevant grid operator and utility.
Sources: SEIA
Why do some communities oppose solar and wind projects?
Community opposition to renewable energy projects—sometimes called NIMBYism—typically centers on concerns about visual impact, property values, land use change (especially on farmland), and perceived health or environmental effects. Opposition is often driven by lack of information, distrust of developers, or feeling excluded from the planning process. Research shows that early community engagement, transparent communication, local benefit agreements, and visual screening can significantly reduce opposition.
Sources: American Clean Power
How can communities ensure they benefit from renewable energy projects?
Communities can negotiate host community agreements that include: property tax payments or PILOT (payment in lieu of taxes) agreements, community benefit funds for local programs, local hiring requirements for construction and operations, road maintenance agreements, visual screening and setback requirements, and decommissioning bonds. Engaging early in the permitting process—before project approval—gives communities the most leverage to negotiate meaningful benefits.
Sources: American Clean Power
What is FERC Order 2023 and how does it affect renewable energy?
FERC Order 2023 is a landmark federal rule issued in 2023 to reform the interconnection process. It requires grid operators to study projects in clusters rather than one-by-one, implement firm deadlines, impose penalties for delays, and require financial commitments earlier in the process to filter out speculative projects. The reforms aim to cut interconnection timelines from 5+ years to 2–3 years and clear the massive backlog of projects waiting to connect to the grid.
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