Using waste to generate heat and electricity can attract incentives through two government renewable energy funding regimes
You’re a farmer
The margins for producing food are low
Input costs are rising and farmgate prices are falling
You’re looking for new income streams
Have you thought about anaerobic digestion?
Anaerobic digestion has been about for decades.
In Exeter in 1895 they used the process to fuel street lamps.
Technology has improved.
So have efficiencies.
So have the economics
Anaerobic digestion uses your organic farm waste and turns it into something valuable
It turns it into a biogas and a biofertiliser
- The biogas can be used to generate heat and electricity
- The biofertiliser can be spread over land, replacing some chemical fertilisers
Got you interested?
Generating energy from waste means you can apply for an extra subsidy
In fact, you can apply for two government incentives for renewable energy
The Feed-in Tariff is for the electricity you generate from your waste
The payment you get depends on …
… whether it’s used on the farm
… or if you sell it to the grid
For every kWh of energy you produce you receive a payment
Plants up to 250kW currently receive 10.13p/kWh
Plants 250kW - 500kW receive 9.36p/kWhr
Plants above 500kW receive 8.68p/kWhr
note – 2015/16 prices used
These prices may fall under what’s called ‘degression’
Changes have to be factored into any calculations you make
You can read more here.
To the Grid
You can also sell some of your renewable electricity to the grid
But be warned
Connection to the grid isn’t always easy
There are costs involved
Sometimes big ones.
But FiTs aren’t the only incentive for anaerobic digestion
There is a chance to get …
Generating electricity from biogas also produces heat
Capture the heat and you can use it…
- … to heat livestock buildings
- … to heat water
- … to heat your offices
For every kWh of heat you’ll get paid
This is through another government incentives for renewable energy
The non-domestic Renewable Heat Incentive pays…
Biogas combustion up to 200kWth - 7.62p/kWh
Biogas combustion from 200-600kWth – 5.99p/kWh
Biogas combustion over 600kWth - 2.24p/kWh
You can find more here:
Anaerobic digestion has been around for decades.
Thanks to government incentives for renewable energy it could provide your farm with security for decades to come.
Why wait? Start benefiting now!
Anaerobic digestion can turn your organic farm waste into something valuable, so use it.
You can use it to generate heat and electricity.
Make sure you know what government incentives are available for renewable energy.
There are costs involved (sometimes big ones) but they can pay off.
Renewable energy could provide your farm with security for decades to come.