New Jersey’s Dual-Use Solar Energy Pilot Program is opening a fresh set of income opportunities for landowners and farmers by letting the same acreage grow crops and generate clean power at the same time. For New Jersey property owners weighing a solar land lease, the program creates a clear path to steady revenue while the land stays in agricultural production. The state built it to pair aggressive clean energy goals with its deep farming roots, and that combination is widening the door for landowners across the Garden State.
What is the New Jersey Dual-Use Solar Energy Pilot Program?
The New Jersey Dual-Use Solar Energy Pilot Program pays incentives to solar projects built on working farmland, where farming continues beneath and around the panels. Governor Murphy signed the Dual-Use Solar Energy Act in 2021, and the New Jersey Board of Public Utilities (NJBPU) launched the program to study how agriculture and solar can share the same ground.
The pilot allows up to 200 megawatts of solar across three program years, with individual projects capped at 10 MW. In November 2025, the NJBPU opened the first application period to pre-qualified participants, with a 65 MW block available in Program Year 1. Data from these projects will shape a future permanent program.
How Agrivoltaics Combines Agriculture and Solar Development
Agrivoltaics, the idea behind “dual-use,” is the practice of producing food and solar energy on one parcel. Traditional ground-mount solar tends to take land out of farming, while dual-use systems are built to keep it working.
Developers raise the panels higher off the ground and widen the spacing between rows. The added height gives livestock and farm machinery room to move underneath, while the wider gaps let enough sunlight through to the crops below. Single-axis trackers and bifacial panels capture more energy without crowding out the harvest. Sheep grazing, hay, soybeans, tomatoes, and pollinator habitat can all coexist with power generation.
Why New Jersey is Expanding Dual-Use Development
New Jersey is expanding dual-use development because it needs more clean energy without giving up farmland in the most densely populated state in the country. The state has set a target of 100% clean electricity by 2035, and solar carries much of that load.
By late 2025, roughly 223,000 New Jersey homes and businesses had installed solar, adding up to more than 5.2 gigawatts of capacity, and the industry supports around 7,000 jobs. When the NJBPU opened the program to pre-qualified farmers, officials framed it as a way to grow clean energy and hand farmers a durable new revenue stream at once. Dual-use lets the state add generation while protecting the agricultural identity that defines it.
How Dual-Use Solar Projects Support Renewable Energy Infrastructure
Dual-use solar projects strengthen the grid by placing new generation close to the communities that use it. Local power eases strain on long transmission lines and cuts the losses that come with moving electricity over distance.
Because these projects feed in-state generation onto regional circuits, they help meet peak demand and support a steadier supply for surrounding towns. Each dual-use site has to connect cleanly to nearby three-phase power and available substation capacity, which keeps development aligned with what the local distribution network can handle. Spread across many farms, dual-use solar builds a more distributed, dependable energy system for New Jersey.
What Landowners Should Know About Solar Land Lease Opportunities in New Jersey
Landowners who want to lease land for solar in New Jersey benefit from knowing the essentials up front. The strongest sites offer 10 or more acres of relatively flat, dry ground near existing power lines and a substation.
The program’s rules call for a project team that includes the landowner, an active farmer, and a solar operator, since farming has to continue for the life of the lease. Only unpreserved farmland qualifies, and preserved farmland is off the table. Lease terms usually run for decades with annual payment increases, which makes it worth understanding how solar income compares with other land uses before signing. A reputable developer handles feasibility, permitting, interconnection, and construction so the experience stays hands-off for land owners.
Evaluate Your New Jersey Property for Solar Development with U.S. Light Energy
U.S. Light Energy (USLE) partners with New Jersey landowners to turn underused acreage into decades of dependable income through community solar. With over 30 years of solar development and real estate experience, our team manages every step, from feasibility and utility coordination to permitting, construction, and long-term operations. When you earn passive income from your land with USLE, you gain a stable revenue stream with zero upfront cost and no maintenance obligations, all while keeping your property productive and supporting the state’s clean energy future.
Apply for land leasing today to keep your land working for you and your community for years to come. U.S. Light Energy is leading the charge for a new generation.