The council believes the scheme could generate a significant income
Solar panels will be installed onto the roofs of 3,000 council houses in Wrexham.
Wrexham council gave the go-ahead for the project, which it is hoped will reduce carbon dioxide levels.
Tenants should also see a reduction in their electricity bills of between £100 to £300 a year, the local authority said.
The council will receive an income through a UK government scheme which allows surplus energy to be sold.
The local authority has estimated the panels will generate a net income of £25.7m over 25 years.
It is hoped installation of the panels will begin this summer and be completed by early 2013.