Oxford dairy farmer and Nuffield Scholar Cam Henderson has a better understanding than most of the costs and complexities of the electricity pricing that farmers face.
He completed his scholarship in 2019, looking at how technology could better harness farm energy sources to supply national energy needs.
His 225ha property relies heavily on pumped deep-well irrigation water, being too high to benefit from the Waimakariri-sourced irrigation scheme.
He said there are still a number of farmers relying on deep-well pumps, which are increasingly costly to run.
“But particularly since Central Plains Water scheme started, a lot of deep-well pumps have gone, with their horrendous bills of $1000/ha for power alone. It’s still part of our cost structure here, but for many on schemes the focus has shifted from power.”
For those still on groundwater pumps, he said, now is the time to try to negotiate as hard as they can for a better deal as energy costs surge upwards.
The energy demand and cost on his farm prompted him to install 55 kW solar panels five years ago in a partnership with local firm Kea Energy.
Kea own and supplied the panels on land supplied by Henderson, who in turn receives discounted electricity to supply the farm dairy.
“For us they are the most profitable hectares on the farm,” he said.
“There is a big opportunity there for farmers to consider solar, but they do need to understand the value of the land they are offering. There are more parties looking at land to put into panels, but few people with the knowledge to advise farmers on this.”
He said the practicalities of hooking into solar both to save on power costs and to earn income can be fraught.
“To power our pumps by solar we needed to put in our own cables, it was not practical.
“To supply the grid with power, you also only receive about half what you buy it for. The system is also not set up well for smaller suppliers who may want to provide power just for their local community.”
He said battery technology to back up solar on the farm could also be a game changer to help farmers get further off the grid, with its associated line charges and fees.
He said he is encouraged by a trial community electricity supply scheme running in Hawke’s Bay through the government-sponsored energy company Ara Ake, which has solar panels installed on a farm that supplies multiple local dwellings with power.
“It is something NZ needs to consider – we are unlikely to see more hydro, no nuclear, and no one particularly likes wind farms, so it is likely to be solar, which needs a lot of land.”