how much money can you earn solar farming

How Much Money Can You Earn With Solar Farming?

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With solar farming, the product is energy – collected from sunlight, usually through solar panels.

Interest in solar farming is heating up as more people discover the benefits, and costs come down for the panels.

One of the most common questions about solar farms is, “How much money can I make with a solar farm?”

We'll be exploring that within.

What Is A Solar Farm?

We’ve all seen solar panels; shiny rectangles on roofs.

Solar farms utilize the same type of photovoltaic panels but on a much larger scale. Some farms can produce enough clean energy to power a town or city.

Instead of the energy collected being used on-site, it is put back on the grid for others to use. The owner, in turn, receives a check from the power company or those using the power.

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How Much Can I Profit Per Acre?

The average solar farm's annual profit per acre is between $21,250 to $42,500.

The specific profit, of course, depends highly on the location of the land, the number of solar panels, and the amount of sunshine per season.

States, including California and Nevada, will have more sunlight daily than most other 50 states and produce more energy.

Other minor conditions that may interfere with the maximum production of energy include:

  • Dust and dirt on the panels
  • Inclement Weather
  • Failure to properly maintain the array of panels

Cost To Start A Solar Farm

Remembering the initial costs of starting a solar farm is also important. Many investors are deterred by high startup costs.

Purchasing and clearing the land alone can be pretty expensive. From there, the cost of the panels themselves and the installation add a significant expense.

According to the Solar Energy Industries Association, the average price for a solar farm last year ranged from $0.89 to $1.01 per watt.

The total cost for the average 1-megawatt solar farm ranges from $890,000 to $1,010,000.

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Each parcel is divided into shares, and investors can purchase shares to earn cash distributions as well as benefit from the land value appreciation.

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