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A study commissioned by Texas Conservatives for Energy Innovation, Advanced Power Alliance and the U.S. Solar Energy Industries Association analyzes market trends near six utility-scale solar projects.
Developers of large-scale solar projects located near residential areas are accustomed to negative reactions from residents, who often claim that homes near large-scale solar projects will lose value. According to a study commissioned by Conservative Texans for Energy Innovation (CTEI) in collaboration with the Advanced Power Alliance and the Solar Energy Industries Association (SEIA), this is not the case.
The residential market study was conducted in the areas surrounding six commercial-scale solar plants located in four Texas counties: Tom Green, Bell, Lamar and Bee. Sales were analyzed at different phases of the project, including announcement and construction. Analysis of market trends showed no signs of negative impacts for nearby residential properties, and revealed a strong and competitive market for homes near solar plants, both during construction and once operational.
“This first-of-its-kind study on solar energy and property values ??highlights what we know to be true in Texas: utility-scale solar projects have a positive impact on our local economies,” said Matt Welch , State Director of the CTEI. “As Texas continues to lead the way in renewable energy, it is crucial that our leaders have access to objective data to help dispel misinformation and false narratives.”
To define what a commercial-scale solar project is, the reports authors turned to definitions from SEIA and the National Renewable Energy Laboratory (NREL). The SEIA defines commercial-scale solar projects as those that generate more than 1 MW of solar energy, and the NREL definition is more than 5 MW of solar energy. The reports authors also noted that commercial-scale projects typically sell electricity directly to the grid, rather than supplying electricity to an individual facility.
The study analyzed the sales parameters of homes located in the areas surrounding typical solar installations. The results show that the sales prices and marketing times of residential properties located near solar projects generally match those of residential sales located further away.
“As the market for solar and other renewable energy grows, it is important to understand the impact of their presence on surrounding communities,” says Dr. Erin Kiella, lead author of the report. “Studying these projects using market data helps provide clarity on these issues.”
The study comes at a time when solar energy is booming in Texas, the No. 1 solar developing state in the United States, with many large utility-scale projects coming online. The Solar Energy Industries Association (SEIA) forecasts growth of 36 GW over the next five years, from 16 GW active to date. Read about recent commercial-scale installations in the Lone Star State here. |
