Benefits of Solar Energy

Solar power generation has surged in popularity since the turn of the century. In fact, U.S. solar installations have increased by 25% annually in the last 10 years, according to data from the Solar Energy Industries Association (SEIA). Here’s a deeper look into the benefits of solar energy, specifically focusing on utility-scale solar that accounts for nearly 71% of the total capacity in the U.S., currently generating enough electricity to power more than 22 million homes.

6 Benefits of Utility-Scale Solar Energy

There are many reasons why the sun has become the fastest-growing source of electricity in the country.

1. Strengthened Power Grid

The U.S. electrical grid is under increasing strain due to pressures such as the rise of electric vehicles, growing data center infrastructure, and more frequent extreme weather events. These are just a few factors pushing an aging grid to the brink, underscoring the urgent need for sustainable solutions.

Utility-scale solar energy presents a clear path to creating abundant, American-grown energy. According to SEIA, the U.S. already has enough solar-generating capacity to power 35.8 million homes, and by 2034, it could supply enough energy for 100 million homes across the country. This expansion will contribute significantly to diversifying the nation’s energy mix, leading to a more resilient, reliable, and secure energy infrastructure. Solar energy further provides a stable, local resource that can help protect national energy security. Furthermore, many utility-scale solar projects incorporate energy storage to supply power when the sun isn’t shining, while also enhancing grid reliability and reducing the risk of brownouts and blackouts.

2. Healthier Environment

Solar facilities produce 95% less lifecycle emissions than coal plants, and 81% less than natural gas plants, contributing to a cleaner, lower carbon, and healthier electric grid. By reducing carbon emissions and diversifying the energy mix, renewable energy delivers significant health benefits, including avoiding premature deaths linked to air pollution, resulting in $249 billion in health savings.

Additionally, solar projects inherently lend themselves to habitat enhancement and conservation initiatives since more than 90% of a project is protected land under and around the solar panels that is not used by solar infrastructure. Independent studies have shown that operational solar projects can boost wildlife populations by offering secure, low-disturbance environments for decades. A recent study also demonstrated that solar projects can enhance biodiversity on previously disturbed land within just a few years through habitat-friendly restoration practices, while attracting birds, butterflies, honeybees, and other small wildlife.

3. Affordable Electricity

Solar has emerged as the most affordable electricity source on the market. As of 2022, the International Renewable Energy Agency (IRENA) reported that solar energy was 29% less expensive than the cheapest fossil-fuel option. Factors such as decreased production costs and technological improvements have driven this shift. Ultimately, the sun offers a steady, reliable, abundant, and free energy source, leading to more stable and predictable long-term solar energy pricing.

By adding solar to the energy mix, energy buyers can achieve greater price stability, as solar costs are not influenced by fluctuating fossil fuel prices, allowing for more predictable rates and shielding consumers from rising energy costs. Additionally, utility-scale solar projects can help defer costly infrastructure upgrades by being sited near areas of high demand. These savings result in lower electricity costs and lower utility bills for consumers.

4. Employment Opportunities

Utility-scale solar projects generate more than just electricity — they are also powerhouses for U.S. job creation. As an industry, today solar employs more than 261,000 people in America. Expanding solar energy production also drives growth in specialized fields such as engineering, scientific research, and solar equipment technology. Solar projects contribute to the growth of domestic manufacturing, with solar manufacturing facilities now operating in 43 states. Just in the last two years, the clean energy sector has announced 161 new manufacturing facilities or expansions across the U.S. which will create 80,000 new manufacturing jobs for Americans and attract tens of billions of dollars in investment. SEIA projects that solar manufacturing will employ 100,000 workers by 2033.

5. Water Conservation

Utility-scale solar systems use virtually no water to generate electricity. A utility-scale solar project can save millions of gallons of water each year — as much water as a traditional plant would require to produce the same amount of electricity.

In regions facing water shortages, solar energy provides a solution to reduce the strain on limited water resources while still meeting rising energy demands. By replacing water-intensive energy sources with utility-scale solar, significant water savings can be achieved. This transition is especially important in water constrained areas, where conserving water can have broad benefits for local communities, agriculture, and ecosystems.

6. Supplemental Revenue

Utility-scale solar projects often lease land from landowners, offering them a more diverse and stable source of supplemental income. Each project also generates millions of dollars in tax revenue for local and regional governments, supporting essential services like schools, emergency response, and community infrastructure.

Overall, the American Clean Power Association estimates that utility-scale solar projects currently contribute roughly $925 million annually in landowner payments and state and local taxes — all without drawing resources from those recipients.

Embracing the Benefits of Solar Energy

Solar energy provides a wide range of advantages, which is why the U.S. has increasingly embraced this homegrown, renewable resource. By investing in solar, America can enhance national security, lessen reliance on foreign imports, and create more U.S. jobs in the process.

Arevon owns and operates utility-scale solar projects because we believe that they have the power to transform the U.S. energy mix, driving greater diversification, affordability, and healthier communities. Contact us to learn more about leveraging the benefits of solar for your community or business.

Explore Utility-Scale Solar Frequently Asked Questions