BusinessDay
Abubakar Ibrahim
March 10, 2026
Solar photovoltaic (PV) projects could deliver benefits beyond clean electricity generation by improving agricultural productivity, restoring degraded land and supporting biodiversity if properly planned, according to a new report by the International Renewable Energy Agency.
The report noted that solar PV is currently the fastest-growing renewable energy technology globally. By the end of 2024, solar accounted for 77 percent of annual global power capacity additions, bringing total installed capacity to 1,867 gigawatts.
While solar energy is widely recognised for reducing greenhouse gas emissions and generating electricity at a lower cost than fossil fuels, the agency said its broader environmental and economic benefits are often overlooked.
According to IRENA, solar PV installations, particularly those located on disturbed or degraded land, can support land restoration and improve soil conditions while simultaneously producing electricity.
Read also: Sun on a Budget: Nigeria’s five cheapest solar products worth buying right now

However, the report noted that the environmental impact of solar PV plants largely depends on project siting, construction methods and ecosystem sensitivity. Solar facilities can influence local environmental conditions, including soil, water resources, the atmosphere and surrounding ecosystems.
“For example, replantation under PV panels in fragile ecosystems could introduce invasive plant species if it is not based on careful assessment of native species,” the report stated.
To minimise such risks, the agency called for proactive planning and environmental assessments in solar project development.
IRENA said solar PV plants can also be integrated with agricultural activities to create additional value for farmers and local economies. One such model is agrivoltaics, where solar panels are installed alongside crop production.
This approach can improve land-use efficiency, reduce irrigation water demand and increase crop survival rates. Solar-powered systems can also be used to run irrigation infrastructure in areas where farmers lack access to reliable electricity.

Another emerging model is solar grazing, where livestock such as sheep, cattle or poultry are allowed to graze within solar farms to control vegetation growth. This can help reduce fire risks caused by overgrown shrubs while lowering the cost of vegetation management.
Read also: NDPHC bets on solar for Kano industrial clusters in race to fix energy woes

Solar panels can also provide shade for livestock, potentially improving animal welfare and increasing meat and milk production.
The report cited a study in Canada showing that combining utility-scale solar farms with sheep grazing could increase farmers’ profits by up to 40 percent, depending on market conditions.
Solar PV projects can also contribute to the restoration of degraded land, including former mining sites. In areas prone to strong winds and dust storms, solar installations can act as wind barriers, helping stabilise the soil and support the recovery of local vegetation.

In addition, solar farms can enhance biodiversity through what experts describe as ecovoltaics. Planting pollinator-friendly vegetation beneath solar panels can create suitable habitats for bees and butterflies, which play a key role in ecosystems and agricultural productivity.
Studies in Germany showed that pollinator presence in agrivoltaic sites increased by 33 to 88 percent compared with nearby areas without solar panels.
The report also highlighted the growing use of aquavoltaics, where solar PV systems are installed on water bodies and combined with aquaculture. Floating solar panels can reduce water evaporation, regulate water temperature and improve water quality by limiting harmful algal growth.
Read also: What it costs to install solar in Nigeria today
According to IRENA, the benefits of such systems have been observed in China, where a seafood farm using floating solar technology reported improved production and higher incomes for farmers.

Despite the potential benefits, the agency said unlocking these opportunities will require supportive policies and coordinated planning.
These include integrated long-term energy planning, financial incentives, industrial standards and capacity-building programmes aimed at promoting sustainable solar deployment.
IRENA also stressed the importance of engaging multiple stakeholders, including farmers, local communities, policymakers and investors, from the early stages of project planning through construction, operation and eventual decommissioning.
Such collaboration, the agency said, would help ensure solar PV projects deliver clean energy while supporting agricultural productivity, ecosystem restoration and local economic development.

Join BusinessDay whatsapp Channel, to stay up to date

source