Agriculture // Commercial Solar
Solar for Farms & Agriculture.
Minnesota farms and rural businesses can stack the 30% federal ITC with USDA REAP grants covering up to 50% of project costs. Stacking both can shorten payback significantly.
Calculate Your ROIWhy Agriculture Properties Choose Solar
USDA REAP Grants
The REAP program provides grants covering up to 50% of solar costs for rural businesses. Combined with ITC, total incentives can exceed 80%.
Grain Drying Offset
Electric grain dryers and bin fans run during harvest season when solar production peaks. Excellent load alignment.
Irrigation Pumping
Center pivot and irrigation pumps operate during peak sun hours. Solar provides predictable pumping costs regardless of utility rates.
Ground Mount Flexibility
Farms have land available for ground-mounted systems, avoiding roof limitations and enabling optimal panel orientation.
Dairy & Livestock
Milking equipment, ventilation, and refrigeration create consistent baseloads that solar offsets effectively.
Rural Electric Co-ops
Many Minnesota co-ops offer favorable net metering and interconnection for agricultural solar projects.
Ideal Agriculture Properties
These agriculture property characteristics maximize solar ROI in Minnesota.
- ✓Active farms with $50K+ annual utility costs
- ✓Rural businesses in USDA-eligible areas
- ✓Grain operations with drying and storage
- ✓Dairy and livestock facilities
- ✓Irrigated crop operations
- ✓Agricultural processing facilities
Sample Agriculture Project
Grain & Livestock Operation - Southern MN
Agriculture Solar ROI Calculator
Estimate solar savings for your agriculture property
Solar ROI Forecast
Drag to your roof size.
System Estimate
System Size
400 kW
Gross Cost
$800,000
Estimated payback
about 8.5 years
$52,800 year-1 savings
Potential Value Increase
$754,286
if the owner pays the utility bill
Estimate only. Assumes a 40% federal credit (30% base plus 10% domestic content, which requires documented compliance), 3% annual rate increase, 0.5% annual panel degradation, and savings at the electric rate shown. Optional depreciation depends on your tax situation. Demand savings and utility incentives are not included and are reviewed in your audit. Actual results vary. Not tax advice.
Assumes $2.00/W installed, 1,200 kWh per kW, 11.0¢/kWh rising 3%/yr, 0.5%/yr panel degradation, 40% federal credit, depreciation off.
30% federal ITC available for commercial solar placed in service by December 31, 2027.
Agriculture Solar FAQ
How does the USDA REAP grant work?
REAP provides grants up to 50% of project costs for rural small businesses and agricultural producers. Applications are competitive with multiple funding rounds annually.
Can I combine REAP with the federal tax credit?
Yes. REAP grants reduce the project basis for ITC calculation, but the combination still meaningfully improves project economics.
Do I qualify as an agricultural producer?
Agricultural producers derive 50%+ of gross income from agricultural operations. Most active farms qualify. Rural businesses have separate eligibility criteria.
What about seasonal farm energy use?
We model your seasonal load profile. Net metering banks summer production credits for winter use, or we size systems for baseload offset.
Can solar power well pumps and irrigation?
Yes. Irrigation loads align perfectly with solar production. Ground-mount systems near pivot points minimize electrical infrastructure costs.
How do rural electric co-ops handle solar?
Most Minnesota co-ops offer net metering for solar. Some have specific programs or incentives. We handle interconnection with your co-op.