How the oil capital of the US welcomed a solar power boom

by | Sep 29, 2026 | Business

How the oil capital of the US welcomed a solar power boom

Texas has experienced a dramatic expansion in solar power generation, surpassing California earlier this year to become the country’s leading producer of electricity from solar farms. The state, which remains the largest oil producer in the nation, generated more electricity from solar than coal in March of the previous year, with solar now regularly supplying around a third of Texas’s electricity during peak demand periods.

The solar boom is being driven by several key factors. The state’s power grid, which operates independently from the rest of the US, allows for quick and affordable connections for solar farms. Additionally, Texas faces growing electricity demand driven by rapid population expansion, with the state’s population increasing by 15.8% between 2015 and 2025, making it one of the nation’s fastest-growing regions. Solar technology has also become increasingly cost-competitive, now representing the cheapest method of generating electricity in Texas. Once operational, solar facilities can lock in electricity prices for decades, with industry representatives citing fixed rates around $40 per megawatt hour compared to nearly $90 for new coal plants.

Farmers have become essential to this growth, as solar developers require large stretches of flat land. The industry now provides long-term leases typically spanning 25 to 30 years with annual value increases, enabling some farming families to retire, establish trusts, or maintain financial stability. Industry representatives note that solar installations occupy less than 0.15% of Texas land.

However, solar expansion faces opposition in some rural areas. Residents in Franklin County and other regions have raised concerns about land clearing that destroys vegetation, visual impact, water runoff from cleared land, and potential risks associated with lithium-ion battery storage units. Franklin County briefly implemented a county-level moratorium on new solar construction, though it was subsequently rescinded following legal action by developers. Critics argue the environmental costs of land clearing contradict renewable energy’s sustainability goals.

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