The farming arm of 2 Sisters Food Group, sister company 2 Agriculture, is to install biomass boilers on 20 of its poultry farms.
Staffordshire-based Mercian Power will provide the boilers as part of a 20-year deal, which 2 Sisters said was worth £20m.
Lionel Halls, a director at 2 Agriculture, said: “We’re always looking to improve efficiency and innovate were we can, so this deal not only ticks both of these boxes, it also raises standards across our estate.”
Installations are expected to begin this month and continue throughout the year.
Using biomass as an alternative to conventional heating attracts cash payments through the government’s Renewable Heat Incentive, and wood pellet fuel costs 25-50% less when compared with gas. Another benefit of biomass is indirect heating, which warms sheds with condensation-free air, making for a more dry and friable litter.
Nigel Price, CEO of Mercian Power, said: “We are delighted to have won this contract for such a major supplier of UK poultry. It has taken over 18 months of hard work.”