Farmers and Agriculture Growers Increase Profits with Commercial Solar
The advantages of commercial solar installations in creating sustainability and profitability across various industries has been well established. However, its impact is particularly pronounced in agriculture, where vast fields and open land create a unique opportunity for positive change. Across the nation, commercial solar acts as a catalyst, driven by tax incentives, grants, and various factors that are reshaping agriculture profitability and enhancing sustainability for farmers.
Meeting the High Energy Demands of Agriculture
The agriculture industry’s energy-intensive activities, from powering machinery to maintaining crop storage, make addressing energy demands crucial. Solar energy offers a clean and cost-effective alternative to conventional grid electricity. By tapping into this renewable resource, farmers can significantly reduce dependence on external power sources, leading to long-term cost savings. The predictability of sunlight enables strategic energy planning, allowing farmers to power operations efficiently while minimizing one of their largest operational costs.
Turning Unused Land Into a Profit Center
Farmers typically have extensive land holdings which gives them an advantage in the pursuit of sustainable profitability. Typically, not every acre is utilized for traditional farming, leaving room for innovative solutions. Commercial solar energy provides farmers with the chance to repurpose unused or less productive land into a valuable energy source. By strategically installing solar panels on their property farmers can harness solar power, turning underutilized spaces into both a profit and renewable energy production center.
This not only adds to a farm’s bottom line, but also allows for sustainable farming. Farmers are able to produce energy alongside growing crops, creating synergy between agricultural productivity and renewable energy generation.
Unlocking Financial Incentives
Financial considerations often dictate the feasibility of converting to solar energy. With this in mind, local and federal institutions offer incentive programs which help reduce the cost of installing a commercial solar energy system. The USDA Rural Energy for America Program (REAP) Grant is a strong example of a program tailored to empower the farming and agriculture industries. With funding of up to $1 million, it enables farms looking to harness the benefits of commercial solar energy with available grants which ease the financial burden of initial investments and accelerates the payback period. This makes solar energy an even more rewarding choice for farmers.
Other incentives which speeds up farmer’s Return on Investment (ROI) include the 30% Solar Federal Tax Credit (ITC) which gives farmers a one time credit of up to 30% of the cost of installing their commercial solar energy system. There are also multiple state incentives in New Jersey such as Net Metering which allows farmers to sell excess electricity back to the grid and the SUSI program which gives a fixed payment amount for every kilowatt of solar energy that is produced.
Profits for the Next Generation
Many agricultural enterprises are family legacies which carry on in generational continuity. Many farms are family-owned, represent not just a livelihood but a heritage. Commercial solar expands this legacy by ensuring the financial sustainability of the farm for generations. Solar panels directly reduce electricity expenses, protecting farms from energy price volatility while preserving profitability. An investment in solar energy helps secure the financial viability of the farm, creating an environment where succeeding generations can continue the tradition of sustainable farming while being protected from energy inflation.
Geoscape Solar specializes in both commercial solar energy installation for farms and qualifying them for the maximum amount of incentives, grants, and tax credits available. Contact us for a free solar assessment of your farm or take our 1 minute solar energy quiz to discover if your property is right for solar.