Economic Benefits of Renewable Energy on Public Lands
- Brooke Dudley
- Apr 29
- 6 min read
Strategically locating renewable energy development on public lands and government-owned property has multiple economic benefits. It not only stimulates local economies and creates job opportunities across various skill levels, but also generates additional revenue for state and local governments. Moreover, these projects play a crucial role in combating climate change, while ensuring the preservation of our most delicate lands, wildlife habitats, and cultural resources. This resource explores the economic benefits of renewable energy on public lands, offering strategic insights for how government agencies can leverage their underutilized properties for renewable energy development.
Economic Benefits of Renewable Energy on Public Lands
The main economic benefits of renewable energy on public lands include enhancing local economies, creating jobs, producing clean energy, and generating revenue for state and local governments. Additionally, clean energy projects on agency-owned property allows agencies to turn properties that are potential liabilities into productive assets.
1) Job Creation
One major economic benefit of renewable energy on public lands is job creation. The development, construction, operation and maintenance of renewable energy projects require a diverse workforce, providing job opportunities for local communities. According to the U.S. Office of Energy Efficiency and Renewable Energy, there are just over 8 million jobs in renewable energy today. Similarly, in 2021 and 2022, energy jobs grew faster than overall U.S. employment.
As of December 2024, the number of people employed in the solar industry in the United States was nearly 280,000, according to the Interstate Renewable Energy Council (IREC). This number will continue to grow as the number of solar installations in the United States increases. From engineers and technicians to administrative and support staff, these projects create jobs across various skill levels, helping to diversify local economies. Additionally, many of these jobs are often in rural or economically depressed communities, which sustains and builds local economies.
2) Infrastructure Investments
The development of large renewable energy projects can prompt other infrastructure investments that provide additional benefits to local communities, such as roads and data communication infrastructure. In rural and economically depressed areas, these infrastructure investments can provide much-needed economic stimulus and support.
3) Revenue Generation
Renewable energy projects on public lands not only create jobs, but also generate additional revenue streams for state and local governments. Through leasing and royalty payments, monetizing public land through renewable energy resources can provide a reliable source of income for state and local governments. This additional revenue can be used to fund critical services such as education, healthcare, and infrastructure improvements.
4) Cost Savings
Investing in renewable energy on public lands also brings cost savings to state and local governments. By reducing reliance on fossil fuels, these projects can help lower energy costs and decrease the need for expensive infrastructure upgrades. This, in turn, frees up funds for other important investments, such as social services and education.
5) Improved Public Health
Fossil fuels cause air pollution and can contaminate water and soil. Energy from renewable sources reduces air pollution, making the air safer to breathe while addressing the threat of climate change.
6) Economy & Foreign Relations Stabilization
Sustainable energy sources, such as solar, wind, and geothermal resources, play a vital role in stabilizing the economy. By reducing uncertainty in future energy prices and guaranteeing a reliable energy supply for future generations, they provide a solid foundation for long-term prosperity. By fostering the growth of renewable energy sources, we simultaneously reduce our reliance on foreign oil. This not only bolsters our national security but also fosters positive foreign relations.
7) Climate Change Mitigation
Renewable energy development on public lands plays a crucial role in mitigating climate change by reducing greenhouse gas emissions. By transitioning towards clean energy sources, we can limit the effects of climate change and reduce our dependence on finite fossil fuel resources. Additionally, renewable energy projects can help offset emissions from sectors such as transportation and industry, further contributing to reducing overall greenhouse gas emissions.
8) Revitalize Brownfield Sites
To promote renewable energy development and alleviate the burden on undeveloped "greenfield" sites, federal agencies and Congress can play a crucial role by repurposing old mines, landfills, and other contaminated sites with solar, wind, and geothermal energy. The Environmental Protection Agency's RE-Powering America's Land initiative has already identified 43 million acres across the United States that hold immense potential for solar, wind, and geothermal projects. This approach not only fosters sustainability, but also ensures the efficient utilization of available resources.
What is Being Done to Increase Renewable Energy Development on Public Lands?
The Bureau of Land Management has updated its regulations to promote responsible development of solar and wind energy on public lands. The final Renewable Energy Rule lowers acreage rents and capacity fees, streamlines the BLM's application process, and enhances predictability in administering future solar and wind project authorizations. These revisions align with the Biden-Harris administration's commitment to expand clean energy deployment on public lands, supporting the national goal of achieving 100% carbon-free electricity by 2035.
Harnessing Public Land to Achieve Renewable Energy Goals
Public landowners encompass a wide range of entities, from federal and state governments to regional airports, universities, cities, and counties. Despite their varying types, all public landowners share a common purpose: achieving mission-driven objectives, with one of the most prominent goals being to foster clean energy development. Unlike private landowners, whose primary focus is often generating profit or securing a return on investment, public landowners carry the added responsibility of utilizing their land assets to fulfill broader goals that benefit the communities they serve.
Several mission-driven goals are commonly shared among public landowners and can be advanced through the strategic use of public properties. Examples of these goals include:
Reducing ownership and maintenance costs
Maximizing both existing and new revenue opportunities
Promoting economic growth and attracting investments
Enhancing the local electrical grid with new sources of carbon-free energy
Supporting federal and local renewable portfolio standards
Strengthening government policies related to renewable energy development
By aligning land use with these objectives, public landowners can balance financial sustainability with their commitment to community well-being and environmental stewardship.
Benefits of Utilizing Public Land for Renewable Energy
Utilizing government-owned land for renewable energy projects offers numerous advantages. By leasing this land for clean energy development, governments can generate significant revenue, stimulate local economic growth, and support the production of sustainable, clean energy.
One of the primary benefits of utilizing public land for renewable energy development is the potential to generate significant revenue through lease payments. By leasing agency-owned properties to developers for clean energy projects, public agencies can establish a consistent stream of income that supports other public services and infrastructure investments. For example, typical solar lease payments range from $700-2,000 per acre per year with leases ranging from 25 to 40 years.
Additionally, clean energy projects help drive economic growth in local communities. The construction and operation of renewable energy facilities create jobs across a range of sectors, from manufacturing to maintenance, invigorating the local economy while supporting long-term employment opportunities. Furthermore, renewable energy development can also attract investments and businesses to the area, stimulating growth and prosperity.
Leasing public land for renewable energy projects also fosters the production of clean, sustainable energy. Solar farms, wind turbines, and other renewable energy installations on public lands contribute to reducing reliance on fossil fuels and lowering greenhouse gas emissions, critical to combating climate change. This not only aligns with broader environmental goals but also enhances the energy security of surrounding communities by diversifying energy sources. By supporting renewable energy projects, public landowners can play a vital role in transitioning to a greener, more sustainable energy future.
How Can Government Agencies Lease Land for Renewable Energy?
The United States boasts a vast expanse of public land, managed by various governmental and educational bodies, which presents a unique opportunity for renewable energy development. Monetizing these lands through solar, wind, and battery storage projects not only aids in reducing reliance on fossil fuels but also generates new revenue streams, supports local economies, and aligns with climate goals.
Initial steps include evaluating the proximity to grid infrastructure, local demand for renewable energy, and available incentives. Once a site is identified, it can be marketed for lease on LandApp’s platform, which ensures compliance with procurement policies and facilitates connections with energy developers. This structured approach allows for a seamless transition to monetizing renewable resources, supporting the national goal for a sustainable energy future.
