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Looking at both sides of electricity equation

12 Jul, 2023 | Energy | Technical | Return|

WORDS BY RICHARD RENNIE, IMAGES BY ANNIE STUDHOLME

Over the past couple of years around the world “green” energy options have become very much the main topic of any discussion on energy use. This has been at both a macro or national level, and an individual business level.

Buoyed by increasing demand due to greater use of electricity in place of hydrocarbons in both industry and transport, New Zealand has not been immune from the challenges of how best to meet its energy demands in a decarbonised world. Nationally, the industry has been eyeing government plans for the enormous Lake Onslow pumped hydro scheme.

To date, no firm commitment has been made to the project, anticipated to cost at least $15 billion and take between 7 and 9 years to complete, making it one of the biggest infrastructure schemes New Zealand has ever embarked upon. At a farm level many dairy and crop farmers who operate within several kilometres of an electricity substation are quite likely to have already had an approach from solar farm developers looking for potential land options to develop panel operations.

As with any proposal, such offers deserve some due diligence to ensure the promise matches the real opportunity, and the complexities of consent processes and what can be done with the land at the end of the solar project’s lifespan is clearly outlined. 

Often under regional council rules it will not be possible to return the land to the use it was in prior to the project beginning. Meanwhile, at a business level there has been a significant rise in marketing efforts by energy companies to encourage business and homeowners to consider their green energy options, particularly solar and battery storage supply. The focus of these campaigns have included
more energy intensive dairy farm operations, with solar offered as a good option to help manage energy costs and even generate some additional income through grid sales of surplus electricity  generated.

It stands as an appealing proposition for any business, particularly in an environment where costs are constantly marching upwards, and the chance to take charge of the electricity bill is enticing. However, when it comes to exploring options to reduce energy costs, the most obvious option to simply use less or be more efficient with your current equipment is not always the first one considered. 

Ruralco has built a strong network of relationships with experts who are capable of auditing and assessing electricity consumption patterns and helping farmers to lower their energy usage. Energy  consultants like Yvonne Gilmour of Venture Energy can work with Ruralco members on everything from farm cottage insulation for meeting the “healthy home” standards, to farm dairy energy  consumption.

Tracey Gordon, Ruralco Energy sales manager, along with key account manager Glenn McWhinnie, together bring over 30 years of experience to their roles in helping farmers broaden their options, and  save on costs, when it comes to reducing energy use. Tracey says given New Zealand’s very high level of renewable electricity generation, consisting of the likes of hydro, geothermal and, increasingly, wind, farmers seeking to become ‘greener’ should weigh the benefits of each energy source before opting for a farm-based solar system.

“It pays to consider the entire lifespan of that system when considering it as a greener option. This includes the materials and energy intensity that go into production of the solar panels, the lifespan of  hose panels , and what happens to them at the end of their life. Then there are the batteries which require the likes of lithium to produce, not a particularly abundant or ‘green’ material to extract.”

Tracey says while solar has its place, the significant capex required to establish an on-farm system demands some careful cost benefit analysis if the aim is to simply try and reduce farm energy expenses. “It has to be for the right reasons,” she says. For those cases where solar is suitable, Ruralco has a strong network of solar energy experts capable of providing comprehensive quotes prior to  starting a project, backed by the assurance they can offer on-going support and maintenance from within the region the system is installed.

“Energy costs are only going one way and it is appealing to look at getting ‘off the grid’,” says Tracey. “But the real savings may be simply in how your farm operation consumes electricity, and reviewing  that can be a far cheaper, effective way to achieve a lower cost goal.”

To learn more about your electricity consumption and future options contact our Energy team today 

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