USDA to no long fund taxpayer dollars for solar panels on farmland
September 8, 2025
(Lebanon, TN, Aug. 19, 2025) –U.S. Secretary of Agriculture Brooke L. Rollins alongside Tennessee Governor Bill Lee, Senator Marsha Blackburn, Senator Bill Hagerty, Representative John Rose, and U.S. Department of Agriculture (USDA) Deputy Secretary Stephen Vaden, announced USDA will no longer fund taxpayer dollars for solar panels on productive farmland or allow solar panels manufactured by foreign adversaries to be used in USDA projects. Subsidized solar farms have made it more difficult for farmers to access farmland by making it more expensive and less available. Within the last 30 years, Tennessee alone has lost over 1.2 million acres of farmland and is expected to lose 2 million acres by 2027. This problem is not just in Tennessee, since 2012, solar panels on farmland nationwide have increased by nearly 50%. That is why the Department is taking action.
“Our prime farmland should not be wasted and replaced with green new deal subsidized solar panels. It has been disheartening to see our beautiful farmland displaced by solar projects, especially in rural areas that have strong agricultural heritage. One of the largest barriers of entry for new and young farmers is access to land. Subsidized solar farms have made it more difficult for farmers to access farmland by making it more expensive and less available,” said Secretary Brooke Rollins. “We are no longer allowing businesses to use your taxpayer dollars to fund solar projects on prime American farmland, and we will no longer allow solar panels manufactured by foreign adversaries to be used in our USDA-funded projects.”
“Tennesseans know that our farmland is our national security, our economic future, and our children’s heritage. We were honored to welcome Secretary Rollins to Tennessee this week, and I’m grateful for her leadership to defend America’s farmland from foreign adversaries and protect our food supply,” said Tennessee Governor Bill Lee.
“
Protecting American farmland
This action will rapidly eliminate the market distortions and costs imposed on taxpayers by reducing energy subsidies and builds upon the repeal of and modifications to wind, solar, and other “green” energy tax credits in the One Big Beautiful Bill Act. It will further USDA’s determination to end taxpayer support for unaffordable and unreliable “green” energy sources and ensure the supply chain consists of American products and manufacturing.
Effective immediately, USDA will implement the following programmatic actions:
- For the USDA Rural Development Business and Industry (B&I) Guaranteed Loan Program wind and solar projects are not eligible.
- For the USDA Rural Development Rural Energy for America Program Guaranteed Loan Program (REAP Guaranteed Loan Program), USDA will ensure that American farmers, ranchers and producers utilizing wind and solar energy sources will install units that are right-sized for their facilities. If project applications include ground mount solar photovoltaic systems larger than 50kW or ground mount solar photovoltaic systems that cannot document historical energy usage, they will no longer be eligible for the REAP Guaranteed Loan Program, and priority points will no longer be given for REAP grants.
\