Please note The Council of State Governments (CSG) is a nonpartisan organization and therefore takes no position on state legislation or laws mentioned in linked material, nor does CSG endorse any third-party publications; resources are cited for information purposes only. CSG provides unbiased research that is based on evidence-informed and objective analysis.

Executive Summary

A growing number of states are implementing strategies to address unforeseen environmental and economic issues with managing the waste generated by solar panels. End-of-life care for solar panels and related equipment is complicated by the presence of environmental toxins (like cadmium and lead) and valuable resources (like silicon and silver). Due to the 20-30 year expected lifespan of solar panels, states are developing strategies for mitigating the financial loss and public health dangers associated with sending solar panel technology directly to landfills. These strategies include 1) the development of solar panel decommissioning boards that work with environmental protection agencies; and 2) requirements that commercial facilities produce decommissioning security bonds.

Method of Research

CSG conducted a 50-state scan of legislation enacted in current and past sessions using FiscalNote. This scan was conducted by searching for bills referencing “solar panel decommissioning,” “solar panel recycling” and other relevant key words. The bill number and summary have been included in the table below.

Findings and Analysis

At least 11 states have recently passed legislation related to solar panel waste. Common policies range from the formation of review committees that report on best practices for solar panel waste management to requirements that large-scale solar facilities submit securities, deposits or decommissioning plans prior to commercial operation. Most statewide policies focus on regulation of waste at the commercial level and place liability on the owners of facilities using solar panels. States like Maine also place additional taxes on solar panels used for small-scale home operations to account for recycling costs. It is important to note that many states handle specific waste and recycling procedures at the local level, so a survey of enacted legislation cannot entirely capture the diversity in policy initiatives.[1]


Enacted Legislation Regulating End-of-Life Solar Panel Care

StateBill numberSummary of Relevant Content
HawaiiHouse Bill 1333Commissions the Hawaii Natural Energy Institute and Department of Health to study and determine best practices for recycling or disposing of solar panels and related equipment. The study is to include information on the type, composition and number of solar panels that will be disposed of; best practices for decommissioning to maximize environmental and economic benefits; and an assessment of potential solar panel disposal fees to support state efforts.
IllinoisSenate Bill 3790Establishes a 15-member Renewable Energy Component Recycling Task Force to develop recommendations by July 2025 for the executive, legislative and private sector on end-of-life management strategies for renewable energy generating equipment, including that used to gather and store solar energy (e.g., identification of needed infrastructure, regulatory requirements of other jurisdictions and the safest/most effective methods of disposal).
IndianaSenate Bill 411Requires commercial solar facilities and commercial solar energy systems to submit a security bond equal to 25% of the cost of decommissioning prior to commercial operation. By the 10th anniversary of operation, the owner of a commercial solar facility must post 100% of decommissioning costs as a security bond. Facilities must notify authorities of the intent to decommission the solar facility 60 days prior to decommissioning and adhere to a one-year decommissioning timeline or risk being fined.
MaineHouse Policy 1184/ Legislative Document 1595Prohibits disposal of solar equipment, including solar panels, in landfills and dumps as electronic waste. Purchased panels will incur a $125 fee, $25 for tracking and $100 for recycling. Decommissioned panels must be recycled at a site designated by the Department of Environmental Protection. Any property harboring solar panels must retain insurance that covers the cost of recycling should a catastrophe make it necessary
MontanaSenate Bill 93Requires that new commercial solar facilities capable of producing more than two megawatts of energy submit a decommissioning plan and security bond within 12 months of beginning operations. Existing facilities must produce decommissioning plans and security bonds for retroactive application. Allows the Department of Environmental Quality to seize bonds and commence decommissioning on abandoned facilities and directs resources to a pre-existing wind and solar decommissioning account
New JerseySenate Bill 601Establishes the New Jersey Solar Panel Recycling Commission to develop strategies that could be implemented by the executive, legislative or private sector to manage end-of-life solar panel recycling and produce a public report. Authorizes the state Department of Environmental Protection to utilize its authority under the Administrative Procedures Act to set rules and regulations regarding end-of-life solar panel care.
OhioSenate Bill 52Requires that “large solar facilities” submit an engineer-approved decommissioning plan of less than 12 months duration for disposing of solar panel equipment and restoring land prior to constructing the facility. Plans must be updated every five years and applicants for large solar facilities must post a performance bond to ensure they will be able to fund the decommissioning of their facility.
South CarolinaHouse Bill 525Directs the South Carolina Department of Health and Environmental Control to develop guidelines on decommissioning standards for photovoltaic modules and energy storage system batteries for solar farms exceeding 13 acres; new solar farms over 13 acres must submit end-of-life plans for technology.
TennesseeSenate Bill 2797Directs the Tennessee Advisory Commission on Intergovernmental Relations to oversee a study on the viability of large-scale solar development in the state. The study must include information on federal regulation of solar equipment decommissioning, a survey of state statutory regulations and an examination of owner and operator financial obligations in solar panel decommissioning.
VirginiaSenate Bill 499Establishes a task force involving the Virginia State Corporation Commission, Department of Energy and Department of Environmental Quality to analyze best practices for end-of-life care of solar panels, including liability for decommissioning costs and feasibility of recycling projects.
West VirginiaSenate Bill 492Requires that commercial solar facilities capable of producing one megawatt of energy submit a bond sufficient to decommission solar panels and related equipment should the equipment be abandoned. Establishes a fee of $100 per new application and $50 per application modification to be paid to a pre-existing wind and solar decommissioning account. Allows the Department of Environmental Protection to seize bonds from abandoned solar facilities and establish necessary regulations.
[1] For example, California is one of the nation’s leaders in efficient solar panel decommissioning initiatives. The state handles most waste management through the Department of Toxic Substances Control. The California Code of Regulations contains legally binding regulations on solar panel decommissioning but is administered through rules passed by state executive agencies, not the legislature.  

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