What is Agrivoltaics?

Agrivoltaics is a term used to describe the practice of using the same piece of land for both solar energy production and agricultural activities. This dual use approach seeks to maximize the productivity of a single acre by stacking functions. Instead of choosing between a solar farm and a vegetable farm, agrivoltaics suggests you can have both.

In a typical setup, solar panels are installed on the same land where crops are grown or livestock are grazed. This is not just about placing panels in a field. It involves specific engineering choices. The panels might be raised higher off the ground to allow for farm equipment to pass underneath. Or they might be spaced further apart to ensure enough sunlight reaches the plants below.

For a founder looking at the intersection of climate and land use, this is a significant shift in how we think about infrastructure. It moves away from the idea that energy production must be an industrial activity that displaces nature. Instead, it views the energy system as a component of a functioning ecosystem.

The fundamental principle behind agrivoltaics is the management of the light spectrum. Plants do not always need 100 percent of the sun’s intensity to thrive. Many crops reach a point called light saturation where additional sunlight does not increase photosynthesis but does increase heat and water loss.

Solar panels can be positioned to harvest the excess light that the plants cannot use. This creates a microclimate beneath the panels. During the hottest parts of the day, the panels provide shade. This shade reduces the temperature of the soil and the plants. It also reduces evapotranspiration, which means the soil retains moisture for a longer period.

There is also a benefit for the solar hardware. Solar panels actually become less efficient as they get hotter. The plants underneath the panels release water vapor through a process called transpiration. This acts as a natural cooling system for the panels above. This synergy can lead to a slight increase in energy production compared to panels sitting over dry dirt or gravel.

Founders entering this space often focus on the Land Equivalent Ratio or LER. This is a metric used to compare the productivity of dual use land versus single use land. If a field produces 80 percent of its normal crop yield and 80 percent of its normal electricity yield, the LER is 1.6. This indicates the land is 60 percent more productive than if it were used for only one purpose.

Building a startup in the agrivoltaics space is not just about installing panels. It is a complex integration of hardware, software, and biological science. There are several categories where new businesses are forming.

Software startups are building modeling tools. These tools predict how specific panel configurations will affect the growth of specific crops in different climates. A founder might build a platform that helps a farmer decide if blueberries or leafy greens are a better fit for a proposed solar array.

Hardware startups are looking at tracking systems. Traditional solar trackers follow the sun to maximize energy. Agrivoltaic trackers might follow the sun to maximize energy while also tilting to let rain through to the crops or to provide extra light to the plants during critical growth stages.

Then there is the logistical and maintenance side. If you are a founder running an energy company, you now have to worry about soil health. If you are a farmer, you now have to worry about not hitting a steel pylon with your tractor. These operational overlaps create a need for new types of insurance, new maintenance contracts, and new labor skills.

Traditional utility scale solar is often designed for the lowest possible cost per watt. This usually leads to clear cutting land and covering it with gravel or low growth grass. The panels are mounted as low to the ground as possible to save on steel costs and to reduce wind load. This approach is efficient for energy but it renders the land useless for food production.

Agrivoltaics is inherently more expensive to build. The mounting structures require more steel because they are taller. The electrical wiring must be protected from livestock or farming activities. The labor required to install panels at a height of 10 or 12 feet is more specialized and takes more time.

However, traditional solar often faces significant pushback from local communities. People in rural areas often dislike the sight of thousands of acres of industrial glass replacing family farms. Agrivoltaics changes the narrative. It allows a farmer to keep their land in production while diversifying their income with energy revenue. For a startup, this can mean a faster permitting process and better relationships with local stakeholders.

While traditional solar is a race to the bottom on price, agrivoltaics is a value add play. It appeals to land owners who want to preserve the agricultural character of their property. It also appeals to corporations that have both carbon neutrality goals and sustainable sourcing goals for their food supply chains.

There are several distinct scenarios where this technology is currently being deployed. The most common is sheep grazing. Sheep are excellent at maintaining vegetation around solar panels. They do not chew on wires like goats do, and they are small enough to fit under standard racks. This is the lowest barrier to entry for a dual use project.

Another scenario is high value specialty crops. Berries, peppers, and leafy greens often thrive in partial shade. In arid regions like the American Southwest, the water savings from agrivoltaics can be the difference between a crop failing or succeeding during a drought. A startup focusing on water scarcity might find agrivoltaics to be a core part of their solution.

Community solar projects are also a strong use case. These are smaller installations that serve local residents. By combining the solar project with a community garden or a small farm, the developer can create a multifunctional space that provides both food and power to the neighborhood.

There is also the potential for pollinator habitats. Even if food is not being grown for harvest, planting native wildflowers under panels can support bee populations. This provides a measurable benefit to nearby farms that rely on those bees for pollination. It is a way for a solar developer to provide an ecosystem service.

Despite the clear potential, there are many things we still do not know about the long term effects of agrivoltaics. This is where the real work for founders begins. We have limited data on how 25 years of panel shade affects soil microbiology. We do not fully understand the long term impact of heavy machinery operating around solar infrastructure.

We must also ask questions about the economics of labor. Does the cost of harvesting crops by hand around solar pylons cancel out the extra revenue from the electricity? Can we develop small scale robotics that are designed specifically to navigate these environments?

There is also the question of decommissioning. Solar panels eventually reach the end of their life. How do we remove the infrastructure without permanently damaging the agricultural capability of the soil?

As a founder, navigating these complexities requires a willingness to collaborate across disciplines. You cannot just be an energy person or a farming person. You have to understand both. The goal is to build something that lasts and provides real value to the land and the grid. Agrivoltaics represents a move toward a more integrated and thoughtful way of building the future.