Implications for Solar Development

Oil and gas and wind energy development have a multitude of socioeconomic effects on nearby communities. Since oil and gas and wind, like solar, are all forms of energy development, it is possible that the socioeconomic impacts of these industries can inform the future impacts of solar development.

Socioeconomic Effects in the Oil and Gas, Wind Energy, and Solar Energy Industries. A “+” indicates a benefit while a “−” indicates a cost. A “+/−” indicates the effect could be a cost or benefit and a double symbol indicates a significant effect.
Community Effects Oil and Gas Nevada Solar One Solar on Public Land
Job Creation + + Negligible Negligible
Population Growth - - Negligible Negligible
Lease Payments + + None
Property Taxes + + + Negligible
Tourism NA +/- +/-
Recreation NA +/- +/-
Quality of Life NA +/- +/-
Social Cohesion NA +/- +/-

From the Oil and Gas Industries
An analysis of the effects of the oil and gas industries can provide insight into the effects of solar development. If the local workforce cannot satisfy the solar facility’s demand for labor, the area may experience an influx of new residents who may move to the area looking for job opportunities. Employment at oil and gas facilities, compared to solar, fluctuates differently; while employment at oil and gas facilities fluctuates continuously with production, employment at a solar facility peaks during construction, and significantly declines during operation. Since solar facilities need relatively few workers while in operation, solar facilities will not create long-term boomtowns. Though there may be an influx of workers during construction, these workers are largely temporary.

Lastly, in contrast to the oil and gas industries, local municipalities will not benefit from lease payments or property taxes paid by facilities on public lands. All lease payments for facilities on BLM land will go directly to the federal government. Federal land is exempt from local property tax assessment, thus solar development on public lands will have no effect on local property tax rolls. Solar development will also have no effect on Payments in Lieu of Taxes, which the BLM pays to local communities to help offset losses to property taxes because federal land is non-taxable.

From the Wind Energy Industry
Utility-scale solar facilities will likely share impacts similar to wind farms. Like wind farms, solar facilities will create several permanent O&M positions. Solar and wind facilities may also negatively affect the viewshed, possibly decreasing residents’ quality of life and negatively affecting tourism. Like wind farms, solar facilities may also be detrimental to area recreation, particularly if they are sited in areas popular for outdoor activity. Similarly to the way a politically contentious wind farm may spur community members to organize, area residents may also organize in support of or opposition to a proposed solar facility.