Agrivoltaics: How Farmers Are Using Solar Panels to Grow More Food (And Earn More Money)
Energy Guides

Agrivoltaics: How Farmers Are Using Solar Panels to Grow More Food (And Earn More Money)

SolarGenReview EditorialMar 10, 20266 min read

Table of Contents

Sponsored

Enjoying this article?

Check out our recommended products and services.

Learn More

The Land-Use Problem Solar Has Always Had

Ground-mounted solar farms require land. A lot of it — roughly 5–10 acres per megawatt, depending on panel configuration. As solar deployment has accelerated, so has the criticism that utility-scale solar competes with agriculture for the same productive land. That criticism has merit: the US has built more than 500,000 acres of solar farms since 2010, much of it on formerly agricultural land.

Agrivoltaics challenges that trade-off directly. The concept is simple: raise the solar panels high enough and space them wide enough that crops can be grown underneath them simultaneously. Instead of choosing between a solar farm and a farm farm, you run both on the same land at the same time. The results, in research trials and real commercial deployments, have been more interesting than simple compromise.

What the Research Actually Shows

The most-cited research comes from the Fraunhofer Institute for Solar Energy Systems in Freiburg, Germany, which has run agrivoltaic trials since 2011. Their findings on lettuce: yields 17–33% higher under solar panels than in open fields. The mechanism isn't magic — it's basic plant physiology. Partial shade from the panels reduces heat stress during peak afternoon hours. Less direct irradiance means less evaporation from soil and plant surfaces. The lettuce reaches optimal photosynthesis at lower light levels than full sun anyway.

Water savings are substantial: soil evaporation under agrivoltaic arrays drops by approximately 50% compared to open fields. This translates to water-use efficiency gains of 150–300% — the same crop yield achieved with a fraction of the irrigation water. In drought-prone regions like the American West, that's an agronomic advantage that makes agrivoltaics attractive independent of the solar income.

For the solar side, the data is similarly positive. Crops transpire moisture, which cools the air temperature under the array. Solar panels generate more electricity when they're cooler — efficiency drops roughly 0.35–0.45% per degree Celsius above 25°C. Shading from crops and evaporative cooling from plant transpiration keeps panel temperatures 5–10°C lower than in standard ground-mount installations, adding 3–5% to annual electricity output.

US Capacity Growth: From Niche to Significant

US agrivoltaic capacity stood at approximately 0.5 gigawatts in 2020. By the end of 2025, it had grown to roughly 12 gigawatts — a 24x increase in five years. This growth was driven by several factors: the Inflation Reduction Act's domestic content bonus credits, rising land costs pushing solar developers to find dual-use arrangements, and a growing body of research convincing agricultural landowners that crop income didn't have to stop when solar arrived.

The largest agrivoltaic project in the world as of 2026 sits in Qinghai Province, China — a 1.2 gigawatt array spread over 15,000 acres that simultaneously supports sheep grazing and hay production below the panels. The combination has proved commercially successful enough that similar designs are under development across Inner Mongolia and Xinjiang.

Which Crops Work and Which Don't

The research on crop compatibility under solar panels reveals a clear pattern: shade-tolerant and shade-preferring crops thrive; high-light crops struggle.

Crops That Perform Well Under Panels

  • Leafy greens (lettuce, spinach, kale, chard): These crops actually prefer the partial shade and lower temperatures. Fraunhofer trials showed consistent yield increases of 17–33% for lettuce.
  • Herbs (basil, cilantro, parsley): Similar shade tolerance to leafy greens; reduced bolting in summer heat.
  • Berries (strawberries, raspberries, blackberries): Fruit quality often improves under partial shade — less sunscald, higher anthocyanin content, longer harvest windows.
  • Root vegetables (beets, carrots, radishes): Adequate performance with some reduction in total yield.
  • Sheep and goat grazing: Perhaps the most practical agrivoltaic application — livestock graze between and under elevated panels, keeping vegetation managed while producing income.
  • Pollinator habitat: Non-productive but ecologically valuable — native wildflower plantings under panels support bee and butterfly populations and increasingly qualify for biodiversity credits.

Crops That Struggle Under Panels

  • Corn (maize): One of the most light-demanding row crops. Full-canopy corn requires 8+ hours of direct sun for maximum yield. Under agrivoltaic shading, corn yields drop 20–40%.
  • Soybeans: Moderate shade tolerance but significant yield reduction at typical agrivoltaic shading levels.
  • Wheat and other grains: Light-dependent; not well-suited to partial shade configurations.
  • Sunflowers: The irony of shade-intolerant sunflowers under solar panels is obvious.

The Economics: Revenue Math for Farmers

A standard ground-mount solar lease pays a landowner $500–$1,500 per acre per year, depending on location and solar irradiance. The farm income from that same acre is replaced entirely by solar lease income. For a corn farmer earning $400–$600 per acre in crop revenue, a standard solar lease is roughly revenue-neutral on land income while eliminating farming costs.

Agrivoltaics changes the math. Instead of replacing farm income with solar income, agrivoltaic arrangements add solar income to maintained (or improved) farm income. The cost premium for elevated, wider-spaced agrivoltaic mounting hardware is typically 15–25% more than standard ground-mount. But the total revenue — solar lease plus crop income — runs 25–60% higher per hectare than either use alone.

A University of Massachusetts Amherst study of a 1.2 MW agrivoltaic installation found that combining photovoltaic electricity revenue with vegetable production revenue increased total income per acre by 326% compared to the prior open-field vegetable production alone. The solar panels covered 65% of land cost through electricity revenue; the remaining 35% continued producing high-value vegetables at improved yield due to shade and moisture retention benefits.

Which US States Are Leading

Massachusetts has one of the most active agrivoltaic programs, supported by the state's SMART solar incentive program, which offers a small bonus for agrivoltaic installations. Oregon and Colorado have both passed legislation specifically supporting agrivoltaic research and development. Arizona and New Mexico are pursuing agrivoltaics primarily as a water conservation strategy — the 50% evaporation reduction under panels is particularly valuable in arid climates where water rights are economically significant. Minnesota has piloted agrivoltaics as a path for corn and soybean farmers to generate additional income without abandoning row crops entirely, using elevated panel designs that allow tractor access below.

Practical Limitations

Agrivoltaics isn't a plug-and-play solution. Standard ground-mount solar panels sit 2–4 feet off the ground — too low for crops or machinery. Agrivoltaic installations require panels elevated 8–15 feet and spaced to allow tractor access and adequate light penetration, which means more steel, more labor, and more complex installation. Permitting often requires coordination between agricultural zoning authorities and utility regulators who aren't accustomed to dual-use projects.

The 15–25% cost premium for agrivoltaic mounting is a real barrier, particularly for smaller landowners. And the crop compatibility constraint — limited to shade-tolerant species — means agrivoltaics isn't appropriate for the vast majority of row-crop acreage in the Corn Belt. The technology's best applications are high-value specialty crops, sheep and goat operations, and pollinator habitat in regions where land values make dual-use especially attractive.

Sponsored

Want to stay updated?

Subscribe to our newsletter for the latest content.

Subscribe

Frequently Asked Questions

What is agrivoltaics?

Agrivoltaics (also called agrophotovoltaics or APV) is the simultaneous use of land for both solar energy production and agriculture. Solar panels are mounted high enough and spaced widely enough that crops can be grown or livestock grazed underneath them. US capacity grew from 0.5 GW in 2020 to approximately 12 GW by the end of 2025.

Does shade from solar panels hurt crop yields?

For shade-tolerant crops, it actually helps. Fraunhofer Institute research found lettuce yields 17–33% higher under agrivoltaic panels compared to open-field production, due to reduced heat stress and better moisture retention. However, high-light crops like corn, soybeans, and wheat see yield reductions of 20–40% under typical agrivoltaic shading levels.

How much water does agrivoltaics save?

Agrivoltaic installations reduce soil evaporation by approximately 50% compared to open-field agriculture. This translates to water-use efficiency gains of 150–300% — the same crop yields achieved with significantly less irrigation water. This benefit is especially valuable in drought-prone regions like the American Southwest, where water rights and availability are economically critical.

How much more money can farmers make with agrivoltaics?

Agrivoltaic arrangements add solar lease income (typically $500–$1,500 per acre per year) on top of maintained farming income, rather than replacing it. Total revenue per hectare typically runs 25–60% higher than either use alone. A University of Massachusetts study found one agrivoltaic installation increased total income per acre by 326% compared to open-field vegetable production alone.

What is the world's largest agrivoltaic project?

The world's largest agrivoltaic installation as of 2026 is in Qinghai Province, China — a 1.2 gigawatt solar array spread over 15,000 acres that simultaneously supports sheep grazing and hay production beneath the panels. The project has been commercially successful enough to inspire similar large-scale designs across other regions of China.

What crops grow best under solar panels?

Shade-tolerant crops perform best: lettuce, spinach, kale, and other leafy greens; herbs like basil and cilantro; strawberries and raspberries; and root vegetables like beets and carrots. Livestock grazing — particularly sheep and goats — is among the most practical agrivoltaic applications. Corn, soybeans, wheat, and other high-light row crops are poor candidates for agrivoltaic production.

Which states have the most agrivoltaic solar farms?

Massachusetts leads in policy support, with SMART program bonus credits for agrivoltaic installations. Oregon and Colorado have passed agrivoltaic-specific legislation. Arizona and New Mexico are pursuing agrivoltaics primarily for water conservation benefits. Minnesota has piloted programs for corn and soybean farmers using elevated panel designs with tractor access. California has multiple large commercial agrivoltaic projects due to both high land costs and high solar value.

Share this article