How Renewable Energy Projects Are Revitalizing Rural Communities

Across the United States, wind and solar energy have become powerful engines for delivering affordable, sustainable electricity—particularly to rural regions. These clean energy sources not only diversify our power supply, making energy systems more resilient and secure, but also help mitigate service disruptions caused by severe weather events. Since these projects are often situated in less-populated areas, rural communities are reaping significant benefits: landowners receive lease payments, local governments gain new tax revenue to invest in infrastructure and public services, and both temporary and permanent job opportunities are created.

To fully harness the advantages of solar and wind energy, local governments—especially at the county level—must implement thoughtful zoning and permitting frameworks. These policies can guide responsible development while ensuring that new projects align with local needs and priorities. A key part of this strategy includes establishing clear procedures for project decommissioning. Well-crafted ordinances not only set expectations but also ensure long-term accountability for restoring sites when facilities are retired.

Planning for the Long Term: What Happens After Project Lifespans End

While renewable projects bring near-term benefits, community leaders must also plan for the end of their operational lifespans. Wind turbines typically last between 25 to 40 years, while solar installations operate for 25 to 35 years. Yet many local officials have limited experience with renewable infrastructure and may be unsure how to approach project retirement. By understanding decommissioning options and planning ahead, communities can create policies that safeguard public interests.

When a project reaches the end of its life, the owners have to decide whether to extend its operation or shut it down. Continuing to operate a facility—if technically and economically viable—can reduce costs by leveraging existing infrastructure and grid connections. However, aging equipment often requires "repowering," which involves replacing or upgrading major components. This process can be complex, requiring specialized expertise and sometimes rare parts.

If continued operation isn't feasible, full decommissioning becomes necessary. This means dismantling the entire installation and returning the land to its previous state. Decommissioning can include reusing, recycling, or disposing of materials. Recycling and repurposing are generally preferred for both environmental and financial reasons, but in some cases, materials must be sent to landfills—raising environmental and logistical concerns for local waste systems.

Best Practices: Lessons from the Midwest

To ensure decommissioning responsibilities don’t fall on local governments or property owners, clear legal and financial obligations must be defined. A comprehensive review of zoning ordinances in Iowa, Nebraska, South Dakota, and Minnesota reveals several recommended practices:

• Mandate that all wind and solar developers submit a decommissioning plan with detailed methods for dismantling the project, removing materials, and restoring the site.
• Set clear timelines for each stage of the decommissioning process.
• Require formal notification to the county when a developer plans to cease operations.
• Engage independent experts—such as third-party engineers—to assess decommissioning costs and ensure accurate financial guarantees are in place.
• Specify that all decommissioning expenses are the responsibility of the project owner, not the county or private landowners.
• Check for existing state-level regulations that may influence local requirements and supplement them with tailored county policies.
• Encourage developers to recycle or repurpose old equipment and address landfill impacts through ordinance language.

A Growing Sector, A Growing Opportunity

The renewable energy sector in the U.S. is expanding rapidly. According to the U.S. Energy Information Administration, wind and solar generation grew by approximately 16% in 2023—marking a major increase in new power capacity. Solar energy alone grew by more than 23% year over year, driven by falling technology costs and growing demand for clean energy.

Large-scale renewable projects typically lease land, offering landowners a steady and predictable income stream. In 2021, the American Clean Power Association reported that wind projects generated $2 billion in lease and tax payments, while solar projects contributed $739 million. These payments have become a crucial financial resource for farming and ranching families.

Local governments benefit as well. In Minnesota, for example, wind and solar producers contribute production-based tax revenues to host counties. The state’s Department of Revenue reported that in 2022, 28 counties received more than $16.8 million in wind production taxes—Lincoln County alone brought in $3.8 million from its 640 turbines.

Preparing for the Future

Wind and solar projects offer compelling economic and environmental advantages to rural communities—but careful long-term planning is essential. Local officials must take proactive steps to manage decommissioning obligations, ensuring that the benefits of clean energy don’t come with unintended future burdens. With thoughtful regulation and community-driven policy, renewable energy can continue to be a source of prosperity and resilience for generations to come.