Earn Passive Income: How Landowners Are Profiting from Power Line Easements
Earn Passive Income: How Landowners Are Profiting from Power Line Easements
Did you know that power lines can make you money?
That’s right. If a company wants to build power lines across your land, you might be able to get paid for it. And not just once, some landowners earn passive income for years without lifting a finger.
This kind of deal is called a Gen-Tie Easement. Let’s break it down.
What Is a Gen-Tie Easement?
A Gen-Tie is short for "generation tie line." It’s a special power line that connects energy from a solar farm, battery site, or data center to the main grid.
If that power line needs to go across your land, the company might offer you money to use that space, kind of like renting it.
You still own the land. You can still use it. You just let them run a line through it underground or on poles.
How Do Landowners Get Paid?
There are a few ways:
One-time payment (big check up front)
Annual payments (money every year)
Combo deals (a mix of both)
It depends on your land and what the company needs.
The more important your land is, the more money you can ask for.
Example:
A rancher in New Mexico had 80 acres. A solar company needed to run a Gen-Tie line across one edge — just 40 feet wide.
He got $50,000 up front and now gets a small yearly check just for letting it stay there.
He still runs cattle on the same land.
Why Do Companies Pay for Easements?
Because they don’t want to fight you. It’s faster and cheaper for them to work with you, not around you.
And if your land is next to a substation, even better. That makes your land even more valuable.
What If You Say No?
You don’t have to say yes. But sometimes, if it’s for a utility, they may take it through something called eminent domain.
That’s why it’s smart to talk to someone early before it gets to that point.
When you negotiate early, you have more control and more options.
Is Your Land a Good Fit?
Here’s a quick list to see if your land might qualify:
Near a substation or big power lines
On the route between a project and the grid
Open space with room for a small easement
Easy access (roads help!)
Not sure? Send me a map or drop a pin. I’ll check for free.
Final Thought:
Power line easements are one of the easiest ways to make money from land — and most landowners don’t even know it’s possible.
You could be sitting on income you didn’t know you had.
Jesus Quiroz, RWA
Right-of-Way & Land Expert (505)-417-9680
Power | Fiber | Solar | Battery | Data Centers