Third Party Public Developers Are Taking On Solar Projects In States

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Do you live in a town that doesn’t have access to solar incentive programs? Perhaps a program like the Solar Marketplace Assistance Program Plus (Solar MAP+) might be a model for your community. It is a good fit for towns or cities that don’t have the tools, resources, or experience to pursue energy saving options with solar and storage on their own. Public developers like this are taking on the role of providing solar and other renewable energy projects for schools, low-income housing, and other municipal projects.

Gaps that Need to be Filled for Renewable Energy Projects

The Inflation Reduction Act (IRA) and Bipartisan Infrastructure Law had been a boost for public financing of renewable energy projects. Through tax credits and public lending programs, capital cost reductions for energy projects became commonplace, as governments small and large could draw upon the federal government’s reasonable financing costs. The ability to lend for longer periods of time and across different fiscal capacities made all the difference in projects coming to communities across the US.

Of course, the second Trump administration is drilling down (pun intended) on limitations to energy subsidies. Trump’s “One Big Beautiful Bill” eliminates or phases out subsidies for electric cars, clean energy, and energy-efficient appliances, while providing tax breaks and subsidies for oil and gas companies and opening up more federal lands and offshore areas for drilling and mining.

The US is at a renewable energy crossroads, to the point where over 140 US solar companies have urged Congress to reconsider changes to permitting that they say have resulted in “a nearly complete moratorium” on solar project permits. An open letter addressed to the Senate and House of Representatives called for changes to a July memo from Secretary of the Interior Doug Burgum, which called for increased scrutiny on solar project permits for projects on federal land and using Department of the Interior resources. The order expands federal oversight of solar and wind approvals, in line with the Trump administration’s efforts to eliminate subsidies and what it sees as “preferential treatment” for these energy sources.

The open letter from the industry reiterates the argument that solar represents the cheapest and fastest way to add new US energy capacity to meet the forecast growth in demand from AI and data centers.

Generation 180 says there are still pathways for renewable energy deployment. “Even under hostile federal political conditions, public finance institutions — like the existing 50-state network of development finance agencies (DFAs) and green banks — can continue to finance essential infrastructure,” they explained in a 2025 report.

Public financing seems similar to public developers, but these are really two separate entities. Public developers undertake capital investment and manage the resulting assets on behalf of the public. While they can include some project financing, public developers are more on-the-ground consultants that assist with project development and planning, legalities, workforce enhancement, procurement, construction, operations, maintenance, portfolio management, and even service delivery.

In the energy sector, the US has numerous entities at the regional, state, and local level endowed with public development capacities. You probably recognize a lot of them: Tennessee Valley Authority (TVA), New York Power Authority (NYPA), the Los Angeles Department of Water and Power (LADWP), Long Island Power Authority (LIPA), New Mexico Renewable Energy Transmission Authority — and so many more.

As the Center for Public Enterprise notes, public developers understand how renewable energy deployments require extensive construction and operation management as well as coordinating skilled labor and acquiring special materials. Capital projects have high upfront costs, operate in complex regulatory environments, and have long payback periods. These complexities create coordination problems, especially when non-financial barriers make the commitment of time and financial resources by key stakeholders demanding.

Case Study: Connecticut Green Bank’s Public Developer Function

A green bank accelerates the green economy using limited public dollars to attract multiples of private capital investment. In doing so, clean energy is more affordable and accessible to consumers. Established by the Connecticut General Assembly in July 2011, the Connecticut Green Bank supports the Governor’s and Legislature’s energy strategy to achieve cleaner, less expensive, and more reliable sources of energy while creating jobs and supporting local economic development.

In 2021, the Green Bank’s model was expanded to include new areas of environmental infrastructure, related to climate adaptation and resiliency, land conservation, parks and recreation, agriculture, water, waste and recycling, and environmental markets, including carbon offsets and ecosystem services.

Through its open Request for Proposals for Green Bank Capital Solutions, the Green Bank provides access to capital to Connecticut projects that catalyze clean energy deployment and energy efficiency, reduction of greenhouse gasses, environmental infrastructure, improved public health outcomes, job creation and economic development. The RFP is open to technologies that have already proven to be commercially viable or have demonstrated clear potential for commercial viability through well-documented feasibility studies or pilot programs with clear evidence of a viable business model and path to sustainable impact. True to the green bank model, this open RFP allows the Green Bank to leverage public dollars to bring in private investment and potentially other investment partners.

Connecticut’s Solar MAP+ is an offshoot of the Connecticut Green Bank, the first green bank in the US. It works with municipalities to develop solar and storage projects in four easy steps.

1. Site Analysis. They work with stakeholders to perform an analysis of all eligible locations to identify opportunities for solar and storage projects.
2. Project Development. They conduct site visits, confirm project eligibility, and develop system designs for each project to determine project economics.
3. Execute. They present project specs and pricing to execute a project agreement.
4. Trusted Partner. They solicit competitive proposals from solar contractors and select the best, bundling participating projects together to achieve economies of scale. After a qualified contractor is selected, the team manages all final steps of development, construction, and energization of the project. This process includes submittal for eligible state and federal incentives.

For example, since 2014, the Green Bank has facilitated the deployment of solar at 80 K-12 schools in the state. According to data from Generation180, nearly 10% of K-12 public schools in the US have an on-site solar project. Nationwide, 20% of K-12 solar capacity is owned directly by school districts, and 80% of K-12 solar capacity is owned by third parties — typically for-profit developers — and paid for over time through Power Purchase Agreements (PPAs) or leases.

Resources

• “About us.” Connecticut Green Bank.
• “Public developers.” Center for Public Enterprise. August 2024.
• “Public option solar for K-12 schools: A case study of Connecticut Green Bank’s Solar Marketplace Assistance Program.” Generation 180, The Climate Reality Project, and the Public Renewables Project. September 2025.
• “US solar industry demands end to DOI’s ‘unequal’ PV permitting pause.” Will Norman. PV Tech. December 5, 2025