Harnessing Solar Energy on Farms: A Sustainable Future

Anne Hayden
Jul 25, 2024By Anne Hayden

Introduction to Solar Energy on Farms

Farmers today face rising costs, unpredictable weather, and increasing demands for sustainable practices. One promising solution gaining popularity is solar energy. By installing solar panels, farmers can produce their own electricity, significantly lowering utility bills and reducing their reliance on fossil fuels. This not only helps manage operational costs but also enhances energy independence.

Solar energy also supports sustainable farming practices. Solar panels can power essential farm operations, such as irrigation systems, machinery, and storage facilities, using clean, renewable energy. This shift reduces the carbon footprint of agricultural activities, helping farmers meet environmental regulations and respond to consumer demands for greener practices. By integrating solar energy, farmers benefit from both economic savings and environmental stewardship, making their operations more efficient and sustainable.

solar panels

Why Should Farms Move To Solar Energy?

Moving to solar energy offers numerous benefits for farms. One of the most significant advantages is cost savings. By generating their own electricity, farmers can reduce utility bills and avoid rising traditional energy costs. According to the U.S. Department of Energy, farms can save up to 75% on energy costs by switching to solar power. Over time, these savings can offset the initial investment in solar panels, leading to substantial long-term financial benefits. Additionally, solar energy provides a reliable and independent power source, protecting farmers from energy price fluctuations and ensuring consistent operations.

Solar energy is also environmentally beneficial. It helps reduce carbon footprints and greenhouse gas emissions. A typical solar power system can offset approximately 100,000 pounds of carbon dioxide per year, equivalent to planting over 2,500 trees annually. This aligns with sustainable farming practices, enhancing the farm’s reputation among environmentally conscious consumers. Solar panels can power various farm activities, reducing reliance on fossil fuels and conserving natural resources, benefiting both the environment and long-term farm viability.

Governments offer incentives, grants, and tax credits to encourage renewable energy adoption. Among the various grants and incentives offered by the Irish government for solar and renewable energy, the TAMS II (Targeted Agricultural Modernisation Scheme) is the most widely used. This scheme is favored for its significant support, offering up to 40% funding for solar PV installations, with up to 60% available for young farmers. It’s tailored specifically for agricultural operations, making it highly relevant and accessible. The high funding rate and broad eligibility make TAMS II an attractive option for farmers looking to invest in renewable energy technologies, helping them modernise their operations and reduce energy costs.

Installing solar panels can also increase farm property value. Farms with solar energy systems sell for approximately 4.1% more than comparable properties without solar. These systems reduce operational costs and enhance sustainability, attracting environmentally conscious buyers.

Overall, the benefits of moving to solar energy, including cost savings, energy independence, environmental protection, enhanced sustainability, government incentives, technological advancements, and increased property value, make it a smart and forward-thinking choice for modern farming operations.

renewable energy: modern solar panels (HDRi)

Initial Costs and Savings

Installing solar panels on a farm can involve significant upfront costs, which can be a substantial investment. In Ireland, the initial expenses for solar PV systems can range widely depending on the size and complexity of the installation. For example, installing a commercial-sized solar PV system can cost between €15,000 and €50,000 or more. However, this initial outlay is balanced by considerable long-term savings. Many farms in Ireland see a return on investment within 5 to 7 years, as solar panels significantly reduce electricity bills and provide a reliable source of renewable energy.

Additionally, government incentives and tax breaks play a crucial role in making solar energy more accessible. For instance, the SEAI's Solar PV Scheme offers up to €2,400 in grants, and as previously mentioned, the Targeted Agricultural Modernisation Scheme (TAMS II) provides up to 40% funding for solar PV installations on farms. Furthermore, the Accelerated Capital Allowance (ACA) allows farms to write off the cost of solar PV equipment against their taxable profits, providing further financial relief. These incentives help to offset the initial costs, making the transition to solar energy more financially viable and encouraging more farmers to invest in renewable energy solutions.

Solar Panel Farm

Implementing Solar Energy

Implementing solar energy on Irish farms involves several key steps. First, assess your farm’s energy needs by reviewing consumption and setting goals for reducing costs or enhancing sustainability. Next, conduct a site assessment to identify suitable locations with good sunlight exposure and check the structural integrity of buildings. Consult with solar energy experts to design a system tailored to your needs, and obtain multiple quotes for comparison. Apply for relevant grants and incentives like the SEAI Solar PV Scheme or TAMS II to offset costs and explore tax benefits under the Accelerated Capital Allowance. Ensure you obtain any necessary permits and approvals before proceeding with installation. Once installed by professionals, connect the system to the grid if exporting excess energy, and regularly monitor and maintain the system to ensure optimal performance. Periodically review the system to evaluate its efficiency and make any needed adjustments.

Solar panels on Concept of green energy, clean energy, renewable energy. for use in agriculture

Conclusion

In conclusion, switching to solar energy offers Irish farmers clear benefits. It helps cut energy bills, boosts independence, and supports eco-friendly practices. With incentives like the TAMS II scheme and SEAI grants, the upfront costs are more manageable, often leading to savings within 5 to 7 years. Beyond financial gains, solar panels significantly lower carbon emissions and enhance a farm's green credentials. The process is straightforward—assess needs, get expert advice, apply for grants, and maintain the system. Overall, solar energy is a smart, cost-effective choice that promotes sustainability and modernises farming operations.


*By Anne Hayden MSc., Founder, The Informed Farmer Consultancy.