Solar Power on Farms: An Overview of Solar Electric Systems
In Ohio, a growing number of farmers are investing in on-farm solar electric systems to offset a portion of their electrical needs. These systems can power grain drying bin circulation fans and livestock production buildings' ventilation and cooling systems, as well as applications like lighting, electric fences, feed handling, refrigeration, building ventilation fans, fans for crop drying, livestock water pumping, and irrigation water pumping.
The benefits of solar electric systems are numerous. They harness a free renewable fuel source – sunlight – and have low operational and maintenance costs. While they require a significant upfront capital investment, the cost of solar systems has decreased significantly in recent years. For instance, the average installed cost dropped from over $10 per watt in 2000 to $3.50 in 2014.
Ohio's net metering policies for solar energy are favourable to farmers. Under these policies, solar systems send surplus energy to the grid, earning credits that reduce future electricity costs by offsetting consumption. Farmers and agricultural businesses qualify as agricultural producers or rural small businesses, allowing them to apply for federal grants like USDA REAP to assist solar project costs. Solar installers in Ohio assist with ensuring systems are net metering-compatible through utility coordination and permitting.
Ohio's net metering complements the 30% federal solar Investment Tax Credit (ITC), though the ITC for residential may expire after 2025, while commercial/agricultural may have different eligibility windows. It is essential for farmers to monitor the evolving federal tax credit landscape, as upcoming changes could affect overall financial incentives after 2025.
Farmers can find a qualified solar electric developer/installer by searching online, contacting their electric utility provider, or asking someone who has installed a system for recommendations. When considering an on-farm solar electric system, farmers should contact their local electric utility provider to discuss potential barriers and requirements for proper interconnection procedures.
According to the 2009 On-Farm Renewable Energy Production Survey, it is estimated there are 115 farms in Ohio that have installed a solar electric system to generate electricity. The continued expansion of grid connected on-farm solar electric applications will ultimately depend on the continued decline in the cost of solar systems and the rise in the cost of electricity.
By embracing solar power, Ohio farmers are not only reducing and stabilizing their electricity costs but also playing a vital role in protecting the land, air, and water. Solar energy, being the most prominent way to produce on-farm renewable energy, supports their traditional role as stewards of the land.
- The growth in on-farm solar electric systems among Ohio farmers extends to livestock production, powering ventilation and cooling systems while also supplying energy for lighting, electric fences, and feed handling, among other applications.
- As renewable-energy sources become increasingly crucial, Ohio's agriculture industry can leverage solar electric systems to reduce energy expenses, thanks to advantageous net metering policies and federal grants like USDA REAP, aiding solar project costs for farmers and rural small businesses.
- Prevailing trends in the energy sector indicate that solar power investments, through decreasing costs and rising electricity prices, are making collaborating with renewable-energy technology providers an attractive financial decision for Ohio's farming and livestock industry, while fostering environmental preservation.
