Renewable energy can be one way to help farms lower operating costs and improve sustainability. Solar is the most common option for renewable energy, but wind and biomass are also emerging in Alberta. Some farms may earn credits or revenue by exporting surplus electricity to the grid.
Micro-generation and small-scale generation
Micro-generation systems are designed for self-use and must be under 5 megawatts. If more energy is generated than consumed, the retailer will credit the bill at the contracted energy rate.
Small-scale generation is intended to export electricity to the grid and requires agreements with the Alberta Electric System Operator (AESO).
Land use and agricultural status
Before installing renewables, confirm the land use classification. Alberta requires agricultural impact assessments for solar or wind projects on prime farmland (Class 1–3 soils).
To maintain agricultural status:
- Demonstrate coexistence with crops or livestock (agrivoltaics)
- Follow municipal zoning rules for setbacks and height limits
- Ensure compliance with reclamation requirements for large projects
For details, contact the local municipality or review Alberta land use regulations.
Negotiating renewable energy leases
If a developer inquires about leasing farm land for wind or solar projects, the Farmers’ Advocate Office (FAO) can help. Their guide explains what to consider before signing an agreement.
Contact FAO at 310-FARM (3276) or visit their website.
