17 Jul 2010 01:07:20
Investors looking for returns in solar
Solar PV farms-Do you have spare land??
Owning and working agricultural land can be hard work, with little financial reward?? However, forward thinking land owners seem to be looking at solar power as a more profitable way of utilising their land?
With the introduction of the Feed In tariff (FIT), Many land owners are looking at building solar farms as an easier, guaranteed, index linked form of investment. Paying 29.3p/kwh generated (plus any additional “export” fees) for a solar farm up to 5MW, the finances look attractive.
For example, a 1MW farm in the south/southwest of England (Kent, Surrey, Cornwall, Devon etc..), could generate around 850000kwh/annum, giving a year one return of around £250000, and this doesn’t include the “export” fee (set at 3p/kwh, but could be negotiated at this level?)…
Barry Nutley from renewable energy consultants, Viridis Energie Consultants, said “We have seen a huge amount of interest in solar farms, lately. The returns are very attractive, especially with careful procurement, and installation. What’s more, there are private funding and financing packages available to help land owners achieve it…”