Deployment of renewable energy including solar photovoltaic (PV) is vital for the global energy transition and climate-change combat. As utility-scale PV farms expand in arid and semi-arid regions, understanding their multifaceted ecological and social effects becomes increasingly important. Studies based on cases and information collected from on-site visits, interviews, developer-provided documentation in China reveal that solar PV stations have complicated effects on its surrounding environment, requiring long-term monitoring and study of its influences and underlying mechanisms. Well-designed PV installations, combined with targeted mitigation measures, can enhance microclimate regulation, improve soil moisture, promote vegetation cover, and support local biodiversity. Critical challenges and urgent needs are identified in terms of policy integration, monitoring standards, and sustainable development of solar PV stations. To address these needs, several actions are recommended to help ensure that solar PV growth delivers enduring environmental, social, and economic benefits, with regards to public outreach and policy integration of biodiversity conservation and anti-desertification, deployment of long-term monitoring networks, and ensuring the sustainability of solar PV stations.