Unlock the Full Potential of Community Solar

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In the national conversation about clean energy, large-scale utility solar farms and rooftop solar often dominate the spotlight. Yet, somewhere between those two extremes lies one of the most promising, inclusive, and rapidly evolving models for renewable energy deployment: community solar.

What is Community Solar?

Community solar offers a flexible solution to one of the sector’s biggest equity challenges—how to provide access to clean energy for people who don’t own their homes, lack the financial means to install rooftop panels, or live in areas where individual solar is simply not feasible. It enables individuals, small businesses, and organizations to subscribe to a shared solar project in their region and receive a credit on their electricity bill for their share of the power produced. This model expands participation, broadens the market, and supports grid resilience, all while fostering greater energy independence for communities.

Over the past decade, community solar has evolved from a niche idea into a scalable model embraced by an increasing number of states, municipalities, and private sector players. Today, more than 20 states have at least one community solar project online, and nearly half have policies in place to support program growth. As of 2024, community solar represents over 6 GW of installed capacity nationwide, with gigawatts more in the pipeline.

But despite this progress, unlocking the full potential of community solar is not guaranteed. The model faces persistent challenges; some familiar across the energy sector, and others unique to its structure.

The Barriers to Broader Access

One of the defining features of community solar is its complexity. Unlike traditional customer-sited solar, community solar involves multiple stakeholders, including project developers, utilities, regulators, subscription managers, and the end customers themselves. These interactions often take place within regulatory environments that are still catching up to the realities of distributed energy. As a result, even experienced developers can find themselves navigating a maze of administrative hurdles.

Interconnection delays remain one of the most commonly cited pain points. Without clear, consistent processes, even well-designed projects can become stuck in multi-year queues. Meanwhile, financing community solar projects can still present a challenge, particularly when working to serve low-to-moderate income households. The cost and complexity of customer acquisition, subscription management, and billing integration can drive up project costs, limiting accessibility and scalability.

The policy landscape is equally uneven. While some states like New York, Illinois, and Minnesota have implemented strong programs with robust participation, others lag behind or lack meaningful frameworks altogether. The result is a national map where access to community solar is inconsistent and often dictated by restrictive utility service areas.

Opportunities on the Horizon

Despite these challenges, the momentum behind community solar has never been stronger. Federal initiatives such as the Department of Energy’s National Community Solar Partnership and the Solar for All program under the Inflation Reduction Act are fueling new interest and investment in expanding equitable access to solar power.

In addition to policy incentives, technological innovation is streamlining operations across the value chain. From improved data tools for site selection to software platforms that simplify subscription and billing, the infrastructure supporting community solar is maturing. New financing mechanisms and public-private partnerships are also helping to reduce risk and increase the flow of capital into the areas served.

A Change in Narrative

Importantly, the narrative around community solar is also evolving. Where it was once seen as a patchwork solution for hard-to-reach customers, it is now increasingly recognized as a strategic pillar in building a more resilient, distributed energy grid. It supports decarbonization goals, relieves stress on centralized infrastructure, and brings economic benefits directly to local communities.

The industry is also seeing an influx of talent and leadership. Developers, utilities, investors, and advocacy organizations are converging around a shared vision of what community solar can achieve—not just as a product, but as a vehicle for transformation.

A Place for Collaboration and Progress

The growth of the industry is reflected in the kinds of conversations taking place across the sector. No one actor can solve the sector’s challenges alone. Collaboration between regulators, utilities, and developers is essential to standardizing interconnection processes, reducing customer confusion, and ensuring that community solar truly delivers on its promise of equity.

That spirit of collaboration is one of the driving forces behind the Community Solar Innovation Summit, an annual event organized by the Coalition for Community Solar Access. While not the only space for conversation, it has become a central hub for leaders in the field to exchange ideas, elevate best practices, and identify shared priorities. The Summit isn’t about selling community solar—it’s about building it better, together.

Looking Forward

The next few years will be pivotal for community solar. As states expand their programs and federal funds begin to flow, the decisions made now will shape the market for decades to come. How these programs are implemented, who they prioritize, and what partnerships are formed will determine whether community solar remains a promising pilot or becomes a mainstream part of the energy mix.

To get there, the industry will need continued policy support, smart regulation, creative financing, and a relentless focus on the customer experience. But above all, it will need leadership—at every level—to ensure that the model continues to scale sustainably and equitably.

Community solar has the potential to be one of the most democratic energy solutions of our time. It empowers individuals, strengthens communities, and supports the broader goals of decarbonization and grid modernization. As the industry matures, the challenge is no longer proving its value. The challenge now is delivering it—at scale, with integrity, and with the communities it serves at the center.

Article sponsored by Fig Advertising.

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