Too clever.
A farm in Vermont wanted to use the offgasses from their cow’s manure to power their farm. Which they have done. But then they went one better – they saw that this power was renewable energy and could fetch a premium. So they worked out an agreement with the local utility company: the farm sells the power it generates to the utility – for the premium price charged for renewable power.
Good for the utility which has a green offer, good for the consumers who want to buy green, and good for the dairy which is now has two profit centres – milk and energy. This makes them much less sensitive to the price of milk and fuel for their farm’s success.
In fact, the dairy took advantage of tax breaks and renewables investment credits to offset the cost of buying manure digesters. Increasing their ROI accordingly.
The one thing they could do now is take a leaf from DHL: DHL reduced its energy use which reduced its CO2. They have had these reductions audited, verified and certified, and not only get the benefits of the savings – but sell the “credit” to companies that want or need to buy credits. By the same token, this farm – or the uiltity – should be able to sell offsets too.
At this rate cows will become renewable energy machines first, milk producers only second…
Related posts: