Pennsylvania enacts solar decommissioning legislation

Pennsylvania has passed a new law, Senate Bill 349, that spells out what happens when large solar farms reach the end of their working life. The law applies to ground-mounted solar projects of 2 megawatts or larger and requires developers to take down inactive systems within 18 months of shutting down. Developers must submit a decommissioning plan with financial backing within 30 days of starting construction, and update that plan every five years.

The financial backing grows over time, starting at 10% of the cost at five years and rising to 100% (minus any salvage value) by 25 years. If a developer fails to remove the equipment, that money goes to the landowner, not the state. This is different from many other states' rules, where the state itself is named as the party owed the money. For homeowners who lease land to a solar developer, this means added protection: if the company walks away, you are the one entitled to the funds meant to restore your property.

One thing the law does not do is set rules for how old solar panels must be disposed of or recycled. Supporters say this may matter less than it sounds, since recycling technology is improving and costs for landfill disposal could rise over time, making recycling more attractive on its own. For most homeowners, this law mainly affects those who host or live near a large ground-mounted solar project, rather than owners of rooftop home solar systems.