This is an op-ed that appeared in several Kentucky outlets in December 2024.
As Eastern Kentucky’s energy landscape becomes more diversified, solar has the potential to create substantial community benefits, but only if certain measures are taken. My colleague, Chris Woolery noted in his October op-ed that at least 50 new large-scale solar projects have been proposed in Kentucky since 2020. As some of our state’s largest companies purchase energy from these projects, like Toyota’s 100-megawatts from Martin County, how do we ensure that local communities see tangible, long-term benefits from this growth?
Community Benefits Agreements and Community Benefits Plans are key tools that communities can use when a new development is proposed in their area. Agreements are legal contracts where developers commit to benefits like local hiring or infrastructure for nearby communities, such as upgrades to local roads and utilities to support the project’s integration with the power grid. Plans are required for projects seeking federal funding under laws like the Inflation Reduction Act (2022) and Bipartisan Infrastructure Law (2021) which incentivized clean energy and climate infrastructure. For example, East Kentucky Power Cooperative’s recent award of up to $1.4 billion toward renewable energy means they would be required to provide community benefits if they use the funding for their planned $335.4 million solar farms in Fayette and Marion counties.
Examples of community benefits agreements around solar could include:
- Sourcing materials and resources needed for construction and maintenance locally to boost and sustain economic growth
- Committing to hiring a certain number of full-time, permanent jobs in the region after construction is completed and begins operating
- Pledging money towards local workforce development that focuses on financial support for students interested in jobs in solar
- Supporting community organizations with a percentage of revenue generated from the solar facility
As a more creative example, Savion, a developer who built a 1,200 acre farm in Martin County, donated $100,000 towards a solar installation at Martin County High School after conversations with local leadership about community benefits.
Community engagement early in the development process ensures that appropriate lands are selected for use and impactful benefits are agreed to. Communities should consider how these projects may displace wildlife and disrupt recreational activities like hunting or off-road vehicles, which often support local economies/tourism and community traditions. Identifying community benefits based on these types of impacts can help offset potential negative effects.
So how do you start? When a new development is proposed, a company will usually meet with local stakeholders, such as judge executives and economic development authorities. They will also usually hold public meetings. As a community member, if you are concerned about a certain development and want to advocate for community benefits, a good place to start would be setting up a meeting with those local stakeholders to discuss your concerns and ideas, or gather neighbors to attend public meetings held by the developers. For example, individuals near the proposed Star Fire Project on 7,000 acres in Perry, Knott and Breathitt counties can find status updates on the company’s website. Individuals near the proposed Bright Mountain Solar project on 805 acres in Perry County can go here.
Regardless of political affiliation, community benefit agreements are widely supported. According to the World Resources Institue, over three-fourths of voters support the use of community benefit agreements on development projects. This non-partisan support ensures communities can continue to seamlessly work on solar energy projects, regardless of changes in local, state, and federal government. Kentucky will continue to see more and more clean energy projects proposed. Community benefits plans and agreements are great tools that all community members and leaders need to utilize in order to thrive as new developments come in.
