Solar drive intensifies to cut farm costs and add income

Installing solar photovoltaic (PV) panels can give farms long-term energy security and could pay for itself within two to three years, according SAC Consulting.

Rising electricity prices over the past few months mean the value of energy exported to the grid has risen to more than 15p/kWh compared with a traditional return of about 5p/kWh, said SAC senior renewables consultant John Farquhar.

“Over the past three months, our team has been receiving five to 10 calls a week from farmers enquiring about solar PV installations.

“With the export tariff rate unlikely to drop for the foreseeable future, farmers could make their money back within two to three years, whereas before they would have been looking at about seven years.”

See also: Solar companies report surge in sales of panels to farmers

Mr Farquhar suggested solar roof installations are the best way to start, as they are very straightforward, particularly from a planning point of view.

“Dairy farmers have traditionally been very quick to invest in solar, due to often high refrigeration costs, but we are seeing a spike in interest from livestock farms with lower input costs, looking to take advantage of selling electricity back into the grid.”

Poultry farmer John Seed, of Woodend Farming Partnership, invested in a 75kW solar roof-mount on his farm in July, which he said has offset power costs by at least £27,000/year.

Reduce carbon emissions and costs

“We started investigating solar as a way to reduce costs and cut our carbon emissions, which had been identified in the carbon audit we did with SAC Consulting, using Agrecalc, last year,” said Mr Seed.

“We have become net power exporters and anticipate reducing our electricity purchases by at least 80% which will protect the business against sharp increases in prices.

“We are selling surplus power using brokers and have seen values more than double from the 21p/kWh we originally budgeted. Our power costs would have risen by at least £27,000/year if we had not done this.”

Rising global demand for solar PV technology has brought the cost of equipment and installation down in recent years.

Tom McKay of energy systems provider Topling said: “Solar pricing has come down but, conversely, electricity pricing has gone up.

“It really is a no-brainer to have your own on-site generation, as you are not at the behest of external influences when it comes to future market fluctuations in electricity prices.

“We have seen a surge in demand for medium installations from farmers, as placing panels on the roof doesn’t need planning permission and you’re getting your money back within two to three years.”

However, he warned that there is a limit to how much energy can be exported to the grid.