Farms across the country are reaping the benefits of ground source heat pump systems (GSHP).

The systems are efficient ways to produce heat for farms, with farmers cutting energy bills by anywhere up to 70%.

What are the benefits of using GSHP?

Once installed, the systems can generate up to four times the heat per unit of electricity input, making them perfect for indoor crops, poultry farms and hay drying.

And under certain government schemes, farmers will see a return on investment within four years of installation.

What schemes are available?

Because of the lower electricity input, farms using GSHP are eligible of the Renewable Heat Incentive (RHI).

The scheme, which replaced the Low Carbon Building Programme in 2010, provides businesses with financial incentives when using renewable energy sources such as GSHP.

If the system is to be used in a commercial, public or industrial premise, the user would be able to apply for Non-Domestic RHI, which would see them receive quarterly payments over 20 years based on the amount of heat generated.

Our agricultural specialist, Rachel Borlace, added: “By exploring the benefits of GSHP, farmers can add a new income line to their business through the RHI.

“The tariff is secure for 20 years, which gives farmers some income certainty for the future and it allows them to control some of their input costs.”

The deadline for applying for the RHI has also been extended by the government to 31 March 2021.

If you are currently considering your finance options, you can find out more by calling 0115 958 6872, emailing info@midlandsassetfinance.co.uk or filling in an enquiry form.

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