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Simple ways to save on farm energy costs

Farming | farm insurance
November 30th, 2023

It costs a lot to run a farm and just like any good business, owners are looking for ways to keep energy bills down as well as making their operations more environmentally friendly. We took a look at some of the common areas where farmers can save in the energy department and help cut costs. From milk cooling and lighting to heating and ventilation, there are many simple changes that can save you money.

Energy production system infographic

A great place to start is by assessing where everything is currently at. Take note of your most recent bills and monitor them over a period of time. Look at what’s going in and out energy-wise and the financials alongside this. For example, look at what machine or appliance on your farm is the biggest energy drain. Then, compare your findings to this handy table from Smart Farming which shows the average cost. You’ll see very clearly if there’s an area where you’re perhaps spending more than the norm. This is a good place to begin when it comes to cutting down or saving.

| Production system | Average cost of electricity per unit of production | | ---------- | ---------- | | Dairy | 0.49c /litre of milk | | Pigs | €5.40/head/year | | Poultry | 0.1c/bird/year | | Grain drying | €12.3/ tonne |

The results of your assessment bring us to the next option - switching energy provider. It’s worth considering if you could get a cheaper rate elsewhere. Check out www.bonkers.ie or www.switcher.ie. They can do the maths for you to see if savings can be made on a different plan. For many, there could be an option out there where you use the same amount of energy but at a lower cost.

When it comes to machinery and appliances, make sure all operations are running as smoothly as they can so your farm isn’t burning more energy than it should. Keeping everything serviced is a worthwhile pursuit and ensures nothing becomes a silent money drain. This links to ventilation as well, another area worth making a note of. Dust and humidity can negatively impact appliances over time so fans, thermometers and timers, for example, should be checked regularly to ensure they are in good working order. Keeping up to date with servicing and cleaning of machinery and appliances, as well as choosing the most energy efficient types, is key to everything running as best it can.

Insulation is a sure-fire way to save on energy bills whether in your home or on your farm. Assess what each building has been made of and whether it would benefit from being insulated further. Sticking with heat, setting timers, bleeding radiators and ensuring your boiler is in good working order are other ways to keep on top of those high costs.

Lighting is another area that can cut down on expenditure. Investing in timers for lights is worthwhile, as is changing the type of bulb that’s used. For example, replace a fluorescent bulb with an LED where suitable.

Farming energy infographic

For dairy farmers, particular attention should be given to the energy used in the milk cooling process, as well as with vacuum pumps. If not already the case, perhaps using gas or oil to heat instead of electricity would be more cost effective. Adding a plate cooler can help with keeping costs down, as well as using water to pre-cool the milk. However, if you’re paying for water, factor this into your costs also. When it comes to vacuum pumps, variable speed drives (VSDs) can greatly reduce the amount of energy being used when attached to them so are worth considering.

No matter what type of farmer you are, there are clearly many ways common to all to combat high energy bills. By taking control of the situation, assessing the energy output and costs on your farm, checking appliances and being conscious in your use, it’s likely to lead to money saving measures bringing you a greater return in the long run.

*Looking for more ways to make your farm cost efficient? Check out AXA's farm insurance online or speak to one of our local Agri-experts today. *

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