‘We’re the guinea pigs’: Solar farm is first in Michigan to go to state for approval

INGHAM COUNTY, MI — A divisive law putting state regulators, rather than local townships, in the driver’s seat for permitting sprawling renewable energy projects is getting a trial run in Michigan.

On June 18, developers filed with the Michigan Public Service Commission for approval of a new solar farm on 873 acres in rural Ingham County, marking the first project to leapfrog local review under a 2023 law passed by Democrats.

Local officials say they believe the Acceleration Solar project will likely set a template for state review of similar installations powering thousands of homes but displacing large swaths of farmland for decades. The case is likely to be closely watched, as many townships and counties have framed state review as an affront to local control over their communities.

“We feel like we’re the guinea pigs,” said Dallas Henney, supervisor of Leslie Township, between Lansing and Jackson, proposed to house the largest portion of the project.

More than 75 local governments are currently in court challenging the siting rules permitting developers to take large projects to the state, if they are denied locally or face overly restrictive rules. In April, House Republicans in Lansing voted to repeal the 2023 law, though such a step is likely dead on arrival in the Democratically-controlled state Senate.

Democrats, environmental groups and clean energy developers argue state-level permitting is essential to meeting Michigan’s goals of rapidly rolling out renewable energy by 2035 to fight climate change. A patchwork of local rules and staunch opposition in rural communities have hamstrung many large solar, wind and battery projects.

Representatives of Ranger Power, the Chicago-based developer behind the 90-megawatt Acceleration project, say they took their solar farm to state regulators after finding at least one the of three townships where it is proposed to be located — Leslie, Vevay and Onondaga — didn’t have ordinances defined as “compatible” with the new state law, giving the company the ability to file an application with the state.

Communities can force projects to go through local review if they have these compatible local rules, but they can’t be more strict than the state law in requirements around setbacks, fencing, height and noise levels. Henney said Leslie Township decided not to take that route.

“It’s like rolling over and playing dead and letting them stomp on you. We said, ‘No, if you’re going to jam it down our throat, go through the state process,’” he said.

Ranger Power Development Manager Brady Friss said that filing the 1,415-page application with the state last week came after multiple years of working in the townships, attending dozens of board meetings, interacting with neighbors and holding two public meetings.

“Ranger Power is committed to bringing the Acceleration Solar project forward and delivering the cheapest form of electricity to Michigan residents,” he said in a statement.

“This process is a new experience for all parties involved and we look forward to continuing to work alongside local government officials and community leaders.”

The state review will take place before the Public Service Commission, whose three members appointed by the governor also issue permits for big gas pipelines and transmission lines, in addition to regulating large for-profit utilities.

Commission spokesperson Matt Helms declined to comment on the application, as is the body’s practice for contested legal cases it will ultimately decide.

The review will be “methodical,” said Ed Rivet, executive director of the Michigan Conservative Energy Forum, a nonprofit that advocates for clean energy.

Nearby property owners will be able to legally intervene in the process and present arguments, as will the townships themselves. Henney and Vevay Township Supervisor John Lazet said their communities had not yet decided whether they would take that step, but both pledged to follow the process closely.

It’s hard to know how regulators will act on concerns raised by locals around issues that are traditionally the domain of local zoning, like requirements around siting and setbacks, according to Rivet.

“How the commission is going to respond to the issues raised is anybody’s guess,” he said.

While the Acceleration project may be the first, it’s unlikely to be the only one headed to the state for approval this year. The 2023 law went into effect last November and includes a set of required steps before an application can be filed.

More projects will follow suit as developers check those boxes, Rivet said.

Lazet, whose township would house about 40% of the proposed project, said losing prime agricultural areas is a big concern, and Vevay Township’s solar ordinance was designed to push projects away from that land.

The solar farm is being developed through land agreements with four private landowners who own a collective 10 properties. The fenced-in area is slated to cover 618 acres. Around 90% of the land being used for the Acceleration project is planted with crops now, according to the project application.

“For us, losing farmland is always an issue because when farmland goes out of production not only is it no longer producing, but the odds of it going back into production are not particularly high,” Lazet said.

Vevay officials submitted a letter to Ranger Power outlining a number of concerns and have requested to be notified if project requirements shift as it goes through the state process, Lazet added. “Our goal is as much transparency as possible.”

Friss said local concerns have resulted in adjustments to the project’s footprint already, as well as the use of specific ground cover seed mixes and the incorporation of landscape buffering.

The solar farm is expected to generate more than $2 million in tax revenue in the first year and some $22 million over the following 25 years, he said, and developers have proposed host agreements with one-time payments of $2,000 per megawatt for each township.

But for some local leaders, the economic benefits don’t measure up. Unlike an industrial project like an auto plant, the solar panels are allowed to depreciate more quickly over time and tax revenue eventually decreases after a period of years, said Henney.

He said Leslie Township residents also have concerns about screening and decommissioning requirements, as well as the loss of farmland.

Henney believes state policymakers should find ways to offer more of a “carrot” for hosting similar projects, rather than the “stick” of state approval.

“We really don’t want to be combative in this situation, but we don’t want to be a doormat either,” he said. “Ultimately, our goal is to try to come up with the best thing for our community.”

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