Detroit’s Bright Idea

Simplifying the Complexity of Solar

Cities and rural communities across the nation have struggled with the complexity of blending a carbon neutral strategy with full support from local neighbors. Mayors, city planners, and administrators need a workable path to fueling their cities with green energy. This is why leaders from San Francisco to Chicago have reached out to Detroit’s Mayor Mike Duggan to teach them how to build actionable and sustainable-energy solutions in their communities.

Like most notable innovations, the city’s solar plan originated in a heap of challenges. The first, the ever-rising costs of energy and the impact of fossil-fuel dependency. And the second, Detroit’s vacant land created costs for maintenance and did not increase property values of the surrounding properties.

How does a city solve two disparate issues with one solution? Mayor Duggan found the fix in the intersection of these two problems.

Detroit’s solar solution proposed to repurpose the vacant neighborhood lots into solar arrays which would then convert the city’s municipal buildings to renewable energy, offsetting the energy consumption.

Detroit Creates a Model for Solar Solutions

The plan was novel, one that fit Detroit’s unique needs and bold vision. For the clean energy initiative to succeed, the solar arrays needed to be within Detroit’s city limits, not farmed out to the suburbs. It was also important to the city that the neighborhoods themselves would choose to host the solar arrays and determine how they would meet the needs of their community.

Mayor Duggan said, “I just let the people choose. This is a chance for Detroiters to decide for themselves. No one is going to be forced to sell a home they live in.”

Detroiters lined up, competing to become one of the six solar neighborhoods.

The Conversion Costs

The City of Detroit plans to use $14 million from an existing energy conversion utility fund for up-front costs that include acquiring and clearing the land. Additional funding will come through President Biden’s Inflation Reduction Act, which will provide automatic tax credits that reduce the cost of large-scale solar projects by 30%. The project is projected for completion by 2034 and will cut the city’s electric bill in half.

Here Comes the Sun: Detroit Implements its Solar Plan

Galvanize Neighborhoods for the Solar Neighborhood Project

The City of Detroit’s plan required substantial acreage — about the size of 31 Westminster Palaces — to house the solar arrays. The 250 acres were slated to be shared among six neighborhoods and be spread throughout the city.

Because the city would only consider neighborhoods passionately supporting the solar project, he implemented multiple neighborhood planning meetings.

Neighborhood Planning Meetings

This city-neighborhood collaboration did two things. One, it helped to educate residents on what it would mean to have a solar field in place of blighted lots. Two, it allowed the neighbors to have a voice in crafting their own benefits package.

The Office of Sustainability and Climate Strategy Project Team facilitated three town hall meetings and six focus group sessions to better understand resident perspectives and priorities for climate action.

Neighborhood Solar Partners

The Department of Sustainability and the Department of Neighborhoods partnered with Detroit residents along with eight solar expert groups called Neighborhood Solar Partners (NSPs) during this planning stage.

These local experts NSPs included Walker-Miller Energy Services, EcoWorks, and the GreenDoor Initiative. They helped guide the neighbors in developing their benefit packages through a three-pronged approach.

 

 

Homeowner Relocation Benefits

For those homeowners wishing to relocate, the City of Detroit will purchase their home for twice the market value or $90,000 minimum. The benefit will also cover their moving and relocation expenses.

Benefits for Homeowners Staying

Neighbors choosing to stay within the solar neighborhoods will receive energy efficiency upgrades for their home, with a minimum value of $15,000 on average per home. Each homeowner can decide on upgrades like weatherized windows, roof repairs, energy-efficient appliances, and more.

Benefits for Renters

Renters within the solar neighborhoods will receive 18 months of rent along with moving expenses and relocation services.

Detroiter’s Sustainable Solution

Once the NSPs, City of Detroit, and the neighbors completed their research and collaboration, Mayor Duggan rolled out the two phases of the project.

Phase One: Selecting First Three Neighborhoods

In July 2024, Mayor announced the first three neighborhoods awarded the solar arrays: Gratiot-Findlay, Van Dyke-Lynch, and the State Fair neighborhoods.

The Solar Architects

Boston-based company Lightstar, with over 20 solar fields already producing clean energy across the nation, will work in partnership with DTE Energy.

Community Benefits

Within the three chosen neighborhoods, 159 homes fell within the solar array boundaries, making them eligible for the community benefits of $15,000 to $25,000.

Phase Two: Three New Neighborhoods Chosen

Mayor Mike Duggan plans to announce the second round of neighborhoods by 2025.

Lightstar and DTE Project Disbursement

During Phase Two, DTE will be awarded two additional neighborhoods, and Lightstar Renewables will be awarded one.

2026 and Beyond

By 2026, the Mayor intends to add the city lights to the solar grid. Once the contracts end in 2054, the land will be given back to the city, the solar panels removed, and lots returned to tidy grassland parcels.

Cutting to the Core: Why Solar Solutions Matter

Michigan was named number one in clean energy projects, thanks in part to Detroit’s efforts.

Stabilizing Neighborhoods Who Felt Forgotten

The Solar Neighborhood’s Project helped stabilize struggling neighborhoods by repurposing the vacant lots.

Blight’s Is Costly

Detroit’s 2014 Blight Removal Task Force Plan reported more than 80,000 Land Bank-owned derelict structures and vacant lots, with about 50% requiring demolition. The city spent $5 million dollars a year on maintenance.

In addition to cutting city maintenance costs, the solar fields will cut the city’s electricity bill in half.

Green Equity

High energy costs contribute to racial and economic inequity. Detroit’s Black households have a 54% energy burden.

The burden of energy costs is nearly four times higher in low-income households. The Solar Neighborhood Initiative will lower energy costs, reducing financial inequity for Black households.

Green Advantages

Detroit’s Solar Neighborhood Initiative reduces emissions and energy costs, building community wealth and energy resilience.

Detroit announced it would reduce municipal greenhouse gas by 35% by 2024 and aims to achieve 100% reduction by 2050.

The eligible homes within the solar array boundary will receive energy upgrades reducing their electricity bills by 12% yearly.

Detroit’s Sustainable Solution

Detroit’s Solar Neighborhood Initiative has become a blueprint for cities. The goal was to power all 127 municipal buildings and city lights from 33 megawatts of renewable energy by 2034, and the city is on track to achieve that goal.

By partnering with energy development companies, Detroit kept costs down and also partnered with its neighbors.

In chasing its zero emissions goal, the city built trust with its residents.

The city fostered unprecedented partnerships between energy experts and residents to solve for solar. By repurposing blighted lots, Detroit increased neighborhood housing values and promoted neighborhood well-being.

This solution is what makes Detroit a leader in the fight against climate change.