Iowa could expand community solar, giving renters a way to tap solar savings

For many households, the ability to save money with solar has long depended on owning a home and having the right roof. 

Now, Iowa lawmakers can consider a change that could expand those savings to renters and apartment residents through community solar, a shared model that allows people to buy into (and benefit from) an off-site solar project.

Here's what to know

If the legislation advances in Iowa, community solar could reach more residents. As Axios reported, the Iowa Business for Clean Energy recently released a report that argues that residents across Iowa could financially benefit from community solar, all without impacting non-participants' bills.

The latter piece of that argument matters because utility companies and energy corporations have long argued against the cost-saving solar projects due to their potential to impact other customers who do not participate.

If Iowa ends up adopting community solar legislation, instead of putting panels on a house they own, participants would join a shared installation and receive credits on their electricity bills. Nearly half of states across the country (24) allow community solar, with many specifically designed to help low- and moderate-income families save money on energy, per Axios.

Most people cannot easily use or afford rooftop solar, whether they rent, live in multifamily buildings, or cannot manage the upfront expense of a private system. This makes community solar projects helpful for far more people to access the savings associated with cleaner energy without requiring any work on their own homes.

Utility companies continue to push back on its legalization.

More background

Community solar has become an increasingly popular option in places where homeownership rates, housing density, or building design make rooftop installations more difficult. It can offer lower energy bills, less exposure to electricity price swings, and access to a technology that might otherwise be limited to single-family homeowners.

A household that cannot install panels because of a landlord, too much shade, or poor roof conditions could still benefit from solar energy generated elsewhere. For apartment residents in particular, shared projects can provide monthly savings.

Expanding solar can also reduce demand for electricity generated by polluting fuel sources, which may help improve air quality over time and support healthier communities. 

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