40-Acres in Williams, AZ.

JacksonRanch
JacksonRanch Registered Users Posts: 1
I’m new to this forum. We own 40-acres of raw/flat land in Williams, AZ. and we are interested in leasing the land to a solar developer to develop a Solar Farm(?). Not sure if this is the proper forum for this question, but any referrals to a solar developer would be greatly appreciated. 

Comments

  • BB.
    BB. Super Moderators, Administrators Posts: 33,431 admin
    edited August 2019 #2
    You are very welcome to ask the questions here... I am not sure how much help we can be (big solar farms require engineers, business managers, and lots of lawyers).

    You might also call our Host (Northern Arizona Wind & Sun--Out of Flagstaff AZ)--They may be able to help you with some contacts.

    When looking at contracts... I would make sure there is some sort of performance bond/insurance that after the term of the contract (10/20/30+ years), that there will be money and people to remove (or upgrade, your choices) the system.

    In California, you can drive through some major Wind Farms and see erector sets of turbines in various states of disrepair/collapse. I don't want to see this happen to you.

    Also, there are heavy metals used in many solar panels (and some support equipment)--And you don't want broken panels polluting your land and water.

    My brother has worked for many decades on Environmental Remediation of old factory lands. It is a big/expensive mess--And after all of the land sales/bankruptcy/etc.--Whoever is left standing with deep pockets can be severely hit with cleanup/etc. costs.

    Also, while power can be produced by solar panels at pretty low costs--Still, there is a lot of subsidies in the "Green Power" industry. And, in reality, once the subsides disappear, it can make the whole farm unprofitable at the drop of a hat.

    In California, our state Public Utilities Commision is starting to reduce government and utility customer subsides to Green Energy Producers. The state PUC tends to give a 10 year "grandfathering" of rate plans. After that, they don't guarantee anything. And utilities have vary little interest in green power--It is pretty much a money pit that has been supported by regulations--Which can be changed by politicians/politics very quickly.

    Good Luck!
    -Bill

    PS: Here is the Website/contact information for our host NAWS:

    http://solar-electric.com
    Near San Francisco California: 3.5kWatt Grid Tied Solar power system+small backup genset
  • Marc Kurth
    Marc Kurth Solar Expert Posts: 1,142 ✭✭✭✭
    edited August 2019 #3
    I worked for Sun Edison during the meteoric rise to become a $1.2 Billion dollar company - before the collapse in 2008. We were doing 40-50 KW commercial systems and 15-25 MW ground mount utility level systems based on PPA's. The land lease agreements are all over the board. California is different than Arizona which was different than Spain, etc.  Don't overlook the logistics involved in the grid tie location, access and local terrain conditions.
    It always boils down to what the host state (or country) and utility company is offering the power producer. I am long removed from this, but I would suggest that you shouldn't plan to retire an agreement. Lot's of people out there with unused land, looking for an annuity. Many are wiling to undercut everyone else and will take a low ball offer. Generally, when a solar producer is looking for a spot, they will contact the land owner.
    Best of luck! 
    Marc

    I always have more questions than answers. That's the nature of life.
  • Dave Angelini
    Dave Angelini Solar Expert Posts: 6,730 ✭✭✭✭✭✭
    All of the above is great info. In my opinion the first thing for "value" is how far the land is from a sub-station or better?
    "we go where power lines don't" Sierra Nevada mountain area
       htps://offgridsolar1.com/
    E-mail offgridsolar@sti.net