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Solar Photovoltaic Electricity Generation for Dairy Farms

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Gelli Aur <strong>Solar</strong> PV A5_13605 Practical sheep breeding 16/07/2012 09:02 Page 1<br />

Improving the Welsh <strong>Dairy</strong> Supply Chain<br />

<strong>Solar</strong> <strong>Photovoltaic</strong> <strong>Electricity</strong><br />

<strong>Generation</strong> <strong>for</strong> <strong>Dairy</strong> <strong>Farms</strong><br />

www.ddc-wales.co.uk


Gelli Aur <strong>Solar</strong> PV A5_13605 Practical sheep breeding 16/07/2012 09:02 Page 2<br />

<strong>Dairy</strong> Development Centre<br />

Gelli Aur<br />

Carmarthen<br />

Carmarthenshire<br />

SA32 8NJ<br />

Telephone: 01554 748570<br />

E-mail: ddc@colegsirgar.ac.uk<br />

www.ddc-wales.co.uk<br />

July 2012<br />

The <strong>Dairy</strong> Development Centre (DDC) acknowledges the contribution made by<br />

Farm Energy to the technical content of this booklet.<br />

This project has received funding through the Rural Development Plan <strong>for</strong> Wales 2007-2013 which<br />

is funded by the Welsh Government and the European Agricultural Fund <strong>for</strong> Rural Development.<br />

No part of this publication may be reproduced or transmitted in any <strong>for</strong>m by any means without the prior<br />

written consent of the <strong>Dairy</strong> Development Centre.<br />

Whilst all reasonable care has been taken in its preparation, no warranty is given as to its accuracy, no liability<br />

accepted <strong>for</strong> any loss or damage caused by reliance upon any statement in or omission from this publication.


Gelli Aur <strong>Solar</strong> PV A5_13605 Practical sheep breeding 16/07/2012 09:02 Page 3<br />

Contents<br />

What is the Feed-in Tariff scheme? 4<br />

Panel positioning 5<br />

Electrical installation issues 6<br />

Energy generation 6<br />

Other costs 7<br />

Financial considerations 7<br />

Application to dairy farming 8<br />

<strong>Solar</strong> PV electricity generation <strong>for</strong> dairy farms 3


Gelli Aur <strong>Solar</strong> PV A5_13605 Practical sheep breeding 16/07/2012 09:02 Page 4<br />

<strong>Generation</strong> of electricity from renewable sources has become more financially<br />

attractive since the introduction of generation subsidies called ‘Feed-in-tariffs’<br />

(FiTs).<br />

<strong>Photovoltaic</strong> (PV) panels are an attractive technology <strong>for</strong> farmers with buildings or<br />

areas of land suited to the installation of arrays. Installation is straight<strong>for</strong>ward and<br />

they are, <strong>for</strong> the most part, a ‘fit and <strong>for</strong>get’ solution to renewable energy generation.<br />

What is the Feed-in Tariff Scheme?<br />

A FiT is paid <strong>for</strong> each kilowatt-hour (kWh) of renewable electricity generated from<br />

an eligible renewable scheme. Rates are technology and size specific. Since the<br />

scheme started in 2011 the rates have been reviewed several times and further<br />

changes are expected in the future. The FiT rate is fixed at the time of project<br />

registration, index linked and are currently paid over a 25 year term, although this is<br />

likely to be reduced to 20 years in August 2012 to bring it in line with other<br />

renewable technologies.<br />

4 <strong>Solar</strong> PV electricity generation <strong>for</strong> dairy farms


Gelli Aur <strong>Solar</strong> PV A5_13605 Practical sheep breeding 16/07/2012 09:02 Page 5<br />

Panel positioning<br />

PV panels can be installed on a building roof - ideally south east to south west<br />

facing, with a 20 to 50 degree tilt. Ground-mounted systems are also available,<br />

which can be ideally placed and orientated. An area of approximately 8 m 2 per kW of<br />

peak capacity is required. So <strong>for</strong> example a 50 kW system would require 400 m 2 to<br />

accommodate between 180 and 250 PV panels on a roof. Panel weight is<br />

approximately 15 kg/m 2 . Any building older than 10 years may be rejected by an<br />

installer as not being robust enough to bear this load.<br />

The map represents the<br />

yearly sum of irradiation on<br />

horizontal and optimally<br />

angled panels, over a 10<br />

year average [kWh/m 2 ]. The<br />

same colour legend also<br />

represents potential solar<br />

electricity [kWh/kWp]<br />

generated by a 1kWp<br />

system per year with<br />

photovoltaic panels mounted<br />

at an optimum angle and<br />

assuming system<br />

per<strong>for</strong>mance of 75%.<br />

For a system to be<br />

successful there must be no<br />

overshadowing, <strong>for</strong> example<br />

from trees or other<br />

buildings.<br />

PVGIS European Communities, 2001-2008<br />

<strong>Solar</strong> PV electricity generation <strong>for</strong> dairy farms 5


Gelli Aur <strong>Solar</strong> PV A5_13605 Practical sheep breeding 16/07/2012 09:02 Page 6<br />

Electrical installation issues<br />

PV panels produce direct current (DC) so they use inverters to convert the output to<br />

mains voltage - alternating current (AC). The inverter is connected in parallel with<br />

the mains supply and energy generated either<br />

displaces that which would normally be<br />

CASE STUDY<br />

purchased, or is exported when on-site<br />

generation is greater than site demand. A<br />

‘protection’ system is required to prevent the<br />

system back-feeding into the grid should the<br />

grid fail.<br />

The electricity supply should be at least 1.5<br />

times larger than the maximum PV array output<br />

i.e. 15 kilovolt-ampere (kVa) <strong>for</strong> a 10 kilowattpeak<br />

(kWp) system. For systems over 15kWp<br />

the electricity supply will probably need to be<br />

three-phase. If you have to upgrade the supply,<br />

the distribution network operator will charge<br />

you <strong>for</strong> the upgrade and this can be expensive.<br />

Energy generation<br />

PV cannot be regarded as a means to energy<br />

self-sufficiency as it only operates during<br />

daylight hours and its output is dependent on<br />

the elevation of the sun and cloud cover.<br />

Roughly speaking a typical photovoltaic system<br />

will produce an average of about 9% of its<br />

theoretical maximum output in the UK. There is<br />

a published Standard Assessment Procedure<br />

(SAP) which will estimate the likely output of a<br />

system depending on its rating, latitude and<br />

Mr and Mrs Price from Brecon installed a<br />

solar PV system on the roof of one of their<br />

farm buildings in March 2012.<br />

Mr Price said: “We knew that we wanted to<br />

install some <strong>for</strong>m of renewable technology<br />

and solar PV fitted our needs. A local<br />

company did the installation and they were<br />

very professional. To date we have<br />

generated almost 1,700kWh of electricity<br />

which has reduced our electricity bill by<br />

around £105. We are very pleased with the<br />

system and are happy with the investment<br />

that we have made.”<br />

Income plus savings <strong>for</strong> the period March –<br />

July 2012 generated through FITs:<br />

<strong>Generation</strong> tariff = £736<br />

Export tariff = £26<br />

<strong>Electricity</strong> bill savings = £105<br />

Total income & savings to date = £867<br />

orientation. Please visit the following webpage address <strong>for</strong> further in<strong>for</strong>mation:<br />

http://www.decc.gov.uk/en/content/cms/emissions/sap/sap.aspx<br />

Output from panels will fall over time, at a rate of approximately 0.8% a year or 20%<br />

over their 25 year lifespan.<br />

6 <strong>Solar</strong> PV electricity generation <strong>for</strong> dairy farms


Gelli Aur <strong>Solar</strong> PV A5_13605 Practical sheep breeding 16/07/2012 09:02 Page 7<br />

Other costs<br />

Operation and maintenance costs are usually estimated at between 1% and 2% of the<br />

total installation cost per year. Although PV panels can last 25 years, the lifetime of<br />

the inverters (converts Direct Current to Alternating Current and are vital components<br />

of any PV system) will be shorter, possibly only 10 years.<br />

Financial considerations<br />

You should consider the energy related income that comes from the generation tariff<br />

(FiT); the excess energy that is exported to the national grid (export tariff) and the<br />

energy savings from not having to purchase as much energy from your dedicated<br />

energy supplier.<br />

The basic economics of a 49kW system installed in April 2012 are as follows:<br />

Installation costs £73,500<br />

Likely costs (2012) are £1,500<br />

per kW installed<br />

Average energy generated per year<br />

38,631kWh<br />

9% of theoretical maximum<br />

generation (average <strong>for</strong> the UK)<br />

Average annual income from FiT £8,460 Generated kWh at 21.9p/kWh<br />

Average annual income from power<br />

sold<br />

£898<br />

Assumed 75% export at<br />

3.1p/kWh<br />

Offset electricity value £1,060<br />

Average maintenance cost £1,600<br />

Annual value to the farm £8,818<br />

Assumed 25% own use at<br />

11p/kWh<br />

Cleaning, repair and system<br />

checks<br />

(FIT income) + (export) + (offset)<br />

- (maintenance)<br />

Payback 8.3 years (Install cost)/(annual value)<br />

<strong>Solar</strong> PV electricity generation <strong>for</strong> dairy farms 7


Gelli Aur <strong>Solar</strong> PV A5_13605 Practical sheep breeding 16/07/2012 09:02 Page 8<br />

Application to dairy farming<br />

Even at peak annual generation times, normal dairy farm energy use doesn’t suit solar<br />

energy production. On a typical dairy farm energy demand will be at its peak during<br />

morning and evening milking, where as solar energy production is at its peak around<br />

the middle of the day. Nevertheless, returns on investment can still be acceptable.<br />

It is possible to alter the operation of equipment such as water heaters and ice<br />

builders to make the best use of the PV generated electricity. By doing this the return<br />

on investment will be quicker as electricity used on farm from the PV is worth more<br />

than selling any unused energy back to the electricity supplier.<br />

Application of solar PV on dairy farms<br />

- normal energy use<br />

Electrical energy (KWh)<br />

00:00<br />

01:00<br />

02:00<br />

1st milking<br />

Milk collection<br />

2nd milking<br />

03:00<br />

04:00<br />

05:00<br />

06:00<br />

07:00<br />

08:00<br />

09:00<br />

10:00<br />

11:00<br />

Un-used<br />

solar energy<br />

13:00<br />

14:00<br />

15:00<br />

12:00<br />

Time<br />

16:00<br />

17:00<br />

18:00<br />

19:00<br />

20:00<br />

21:00<br />

normal energy use<br />

solar PV generation<br />

22:00<br />

23:00<br />

20:00<br />

Application of solar PV on dairy farms<br />

- revised energy use utilising solar PV<br />

Electrical energy (KWh)<br />

00:00<br />

01:00<br />

02:00<br />

1st milking<br />

Un-used<br />

solar energy<br />

Milk collection<br />

2nd milking<br />

03:00<br />

04:00<br />

05:00<br />

06:00<br />

07:00<br />

08:00<br />

09:00<br />

10:00<br />

11:00<br />

In order to maintain the best per<strong>for</strong>mance from the PV array, it is likely to need<br />

cleaning on a regular basis especially in the summer when dust can be an issue.<br />

Reference<br />

Šúri M., Huld T.A., Dunlop E.D. Ossenbrink H.A., 2007. Potential of solar electricity generation<br />

in the European Union member states and candidate countries. <strong>Solar</strong> Energy, 81, 1295–1305,<br />

http://re.jrc.ec.europa.eu/pvgis/.<br />

8 <strong>Solar</strong> PV electricity generation <strong>for</strong> dairy farms<br />

13:00<br />

14:00<br />

15:00<br />

12:00<br />

Time<br />

16:00<br />

17:00<br />

18:00<br />

19:00<br />

20:00<br />

21:00<br />

normal energy use<br />

solar PV generation<br />

22:00<br />

23:00<br />

20:00<br />

Graphs <strong>for</strong> illustration purposes only.

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