A Guide to Reforming State-Level Siting and Permitting Policies

by Trish Demeter

Two energy trends are at play today in nearly every state:?the demand for more electricity in general is rising for the first time in two decades, and the demand for a greater share of new electric-generating resources to be from clean resources is at an all-time high. Even before landmark legislation like the Inflation Reduction Act (IRA) and the Infrastructure Investment and Jobs Act (IIJA) unlocked unprecedented levels of incentives to build new wind, solar and battery storage projects, nearly all new generating capacity added to the U.S. power grid was from clean energy. Now, there is also increasing pressure to accelerate the building of new clean energy resources thanks to growing energy needs driven by increased domestic manufacturing, more transportation electrification, and data centers and artificial intelligence. Many of the companies building these new facilities want them to be powered by renewable energy.

Yet, despite the importance of clean energy and the availability of funds, resources, and demand, many large-scale wind, solar and battery storage projects get stalled or blocked by red tape, and in several states, localities have the ability to ban or issue moratoria on the building of new clean energy projects altogether. Where states should be encouraging new construction to ensure reliability, meet growing demand, or stick to 100% clean energy goals (or all three), we see outdated, inconsistent, or unnecessarily complex laws and regulations standing in the way.

In clean energy infrastructure development, each project must go through a siting and permitting process to get the green light from government. The process can vary widely from state to state, but often involves a myriad of state, local, and federal governments reviewing aspects of project proposals, each bringing their own set of laws and regulations to ensure the location and development are in line with all regulatory standards. Proposals for new wind, solar and battery storage projects undergo review for their impact to?the environment, flight paths, and local roads, among other key regulations. In addition to government entities and developers, stakeholders – including community members, participating landowners, and Tribal governments –?provide input along the way.?

No matter the specific reasons that may be slowing, stalling, or blocking construction of new wind, solar and battery storage installations, the impact is the same: project developers lose capital, communities miss out on new tax revenue that flows from these projects, and landowners forgo hundreds of thousands of dollars in lease payments. ?

Reforming how clean energy project proposals undergo review and approval, particularly if they are currently spearheaded by township governments, can be a difficult undertaking. In an ideal world, we look for regulations to provide a middle ground that takes local voices and communities into consideration while still creating uniform, reasonable standards.?

Advanced Energy United believes decisionmakers and stakeholders must make clean energy siting reform a priority in order to maintain grid reliability and spur economic growth. With the expectation that state decisionmakers are reassessing their siting and permitting policies in light of recent energy trends, we have put together a list of policy recommendations aimed at helping state decisionmakers set clear and consistent siting standards that will unlock millions in new investment in their state and attract good paying jobs in a booming clean energy sector. In our guide, State-Level Siting and Permitting Reform Policy Principles, we lay out several key ideas that decisionmakers and stakeholders should incorporate in the development of effective state policies that establish the permitting framework for large-scale renewable and energy storage projects.?

Large-scale clean energy projects are part of the foundation on which we will build a clean energy economy, and reforming state-level siting and permitting policies so that they better align with America’s priorities will make it easier for us to power our grid with the most affordable, reliable, and clean energy available.

Click here to download the Guide.