Agri Photovoltaics and Current Legal Uncertainties in 2025

Key Takeaways

• Agri-Photovoltaics (Agri-PV) combines renewable energy generation with agricultural use, enabling efficient dual use of land.

• Despite many advantages, significant legal uncertainties exist in Germany in 2025.

• Funding and state aid law: Approval of Solar Package I and clear funding regulations are still pending.

• Construction law: Unclear requirements for construction law privileges and complex reference structures between construction, energy, and agricultural law.

• Technical challenges: Strict requirements for overhead glazing and agricultural use concepts complicate planning.

• Future: Uniform legal requirements, stronger stakeholder cooperation, and targeted funding programs are necessary to advance Agri-PV projects.

What is Agri-Photovoltaics?

Agri-Photovoltaics (Agri-PV) is an innovative technology that simultaneously uses agricultural land for energy generation and agricultural production. It offers a solution to meet the growing demand for renewable energy without completely dedicating valuable agricultural land to solar power production. The combination of agriculture and solar energy makes Agri-PV a key technology that unites ecological and economic benefits.

The basic idea of Agri-PV is to install solar modules in a way that allows plants to grow or animals to be kept underneath. This technology is becoming increasingly relevant as it enables sustainable resource use while contributing to the energy transition.

Advantages of Agri-PV

Agri-PV offers numerous benefits for agriculture, environment, and economy. The combination of energy and food production enables efficient land use, reducing land-use conflicts. The shade provided by solar modules protects the soil from erosion and improves the microclimate, which is particularly advantageous in regions with high temperatures and water scarcity. Additionally, Agri-PV promotes biodiversity by creating habitats for pollinators like bees under the modules.

Economically, Agri-PV also has potential. Farmers benefit from additional income sources, either through lease payments from solar developers or direct use of generated electricity. This can either be fed into the grid or used for self-consumption, enabling significant cost savings, particularly for energy-intensive activities like irrigation or operating machinery.

How Agri-PV Works

The technology behind Agri-PV is designed to optimally support dual land use. The solar modules are typically installed several meters high to provide sufficient space for agricultural machinery or animals. The modules can be either fixed or equipped with a tracking system that adjusts to the sun's position to maximize energy yield.

Special attention is paid to the light transmittance of the modules. They are arranged to allow sufficient sunlight through to avoid impeding plant growth. At the same time, the shade provides cooler temperatures and reduced evaporation, positively affecting soil water balance. This combination makes Agri-PV particularly flexible and suitable for a variety of agricultural applications.

Permissible Combinations with Animal Farming and Cultivation

The legal requirements and regulations for Agri-PV systems determine which forms of use are permitted under the solar modules and which are insufficient to qualify as agricultural dual use. The definition of "agricultural use" plays a central role here.

Permissible Combinations

• Grazing by Pasture Animals: Keeping grazing animals such as cattle, sheep, or goats under the solar modules is considered permissible use as it actively contributes to agricultural production. This combination has the advantage that animals maintain the areas by keeping grass and weeds short, reducing additional maintenance costs.
• Green Fodder and Energy Crop Cultivation: Growing green fodder plants is also allowed, provided it demonstrably serves agricultural production. Energy crops like corn or cup plant can also be used in combination with Agri-PV if properly cultivated.
• Flower Strips and Biodiversity Promotion: Creating flower strips or promoting biodiversity through special plantings is accepted in many cases, particularly when combined with other active use of the area.

Insufficient Combinations

• Chicken and Pig Farming: Keeping chickens or pigs under the modules is often not legally recognized as agricultural use since these animals are not considered "grazing animals." Therefore, such projects often fail to meet dual-use requirements.
• Fallow Land or Set-Aside: Merely setting aside land or using it as ecological compensation areas is also insufficient to be recognized as Agri-PV use. Active agricultural cultivation must take place.

Compliance with these requirements is crucial as it determines the eligibility for funding and construction law permissibility of Agri-PV systems. Therefore, project developers should verify the feasibility and legal compliance of their projects early on.

Legal Challenges in 2025

Despite the advantages, Agri-PV's potential is severely limited by legal uncertainties. The legal framework in Germany is not yet sufficiently developed, leading to uncertainty among farmers, investors, and project developers.

Funding and State Aid Law

The state aid approval for Solar Package I, which contains central funding mechanisms for Agri-PV, is still pending. Without this approval, no financial incentives can be set, causing many projects to stall.

1. Unclear Calculation Methods:

   The maximum value in the segment for Special Solar Systems remains unclear, as does the design of bonuses for smaller systems under 1 MW.

2. Dependence on EU Commission:

   The final decision lies with the EU, further delaying national legislation.

Construction Law Privileges

Agri-PV systems are considered "structural facilities," theoretically qualifying them for privileges in outer areas. However, the requirements for this are complex and inconsistently regulated.

1. Reference Structures:

   Construction law regulations often refer to energy and agricultural law requirements. This leads to contradictory interpretations and uncertainties.

2. Term Definitions:

   Terms like "agricultural use" or "special solar system segment" are not clearly defined, complicating approval processes.

Technical and Practical Challenges

Besides legal uncertainties, project developers and farmers face technical and organizational hurdles that complicate the implementation of Agri-PV projects.

Technical Requirements

1. Overhead Glazing:

   PV modules installed above agricultural areas must meet strict safety requirements. In Germany, this requires general building authority approval, which involves high costs.

2. Distance Rules:

   Different distance regulations from building authorities (4-8 meters) complicate planning and increase complexity.

3. DIN Specifications:

   DIN Spec 91434 is used as a standard, but the norms are partly outdated and unclearly formulated. Changes are time-consuming and can take years.

Agricultural Use Concepts

To receive funding, agricultural use under the PV modules must be guaranteed. This brings the following challenges:

1. Creation of Use Concepts:

   Farmers are not allowed to create these themselves, and experts often face conflicts of interest.

2. Unclear Requirements:

   Which cultures or forms of use are permissible is not clearly regulated (e.g., green fodder, flower strips, animal husbandry).

Solutions and Future Opportunities

Although Agri-PV is promising, there are obstacles that hinder broader implementation. Legal uncertainties, such as unclear construction law privileges and contradictory requirements for agricultural use, often lead to delays in approval. Technical requirements, such as compliance with DIN specifications or requirements for overhead glazing, increase planning complexity.

The future of Agri-PV depends on clear legal regulations and stronger funding programs. At the same time, technological advances, such as optimized module designs and more efficient tracking systems, can further increase economic viability. With stronger cooperation between farmers, project developers, and political decision-makers, Agri-PV has the potential to play a central role in the energy transition and sustainable agriculture.

Clear Legal Regulations

1. Uniform Standards:

   Uniform, consistent regulations for construction law privileges and funding must be created.

2. Separation of Legal Areas:

   Construction, agricultural, and energy law should be better coordinated to avoid interactions.

3. Stronger Stakeholder Cooperation:

   Cooperation with Farmers: Collaboration with the German Farmers' Association and other interest groups is crucial to develop practical solutions.

   Involvement of Research Institutions: Universities and technical colleges can contribute through studies on efficiency improvement and practical applications.

Economic Incentives

1. Targeted Funding:

   Grants and tax benefits can increase the economic attractiveness of Agri-PV.

2. New Tender Segments:

   The introduction of a dedicated segment for Special Solar Systems can boost investments in Agri-PV.

FAQ about Agri-Photovoltaics