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Agrivoltaics and weather risk: A diversification strategy for landowners

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  • Cuppari, Rosa I.
  • Higgins, Chad W.
  • Characklis, Gregory W.

Abstract

Farms are facing increasing pressure from shrinking margins, extreme weather, and increased competition for land use, including from energy producers. There is evidence to suggest that co-locating solar power production and agriculture, known as agrivoltaic systems, may be a means to reduce concern over the latter. A model is developed to test whether co-location can reduce weather-related financial risk for a landowner, a largely unexplored question, while improving profitability. Stochastically generated weather variables and commodity prices are used to simulate net revenues for a solar only plot, a farm only plot, and an agrivoltaic plot. Application to four test cases (alfalfa/soybeans in Oregon and soybeans/strawberries in North Carolina) illustrate the potential impact of agrivoltaics.

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  • Cuppari, Rosa I. & Higgins, Chad W. & Characklis, Gregory W., 2021. "Agrivoltaics and weather risk: A diversification strategy for landowners," Applied Energy, Elsevier, vol. 291(C).
    • Handle: RePEc:eee:appene:v:291:y:2021:i:c:s0306261921003111
    DOI: 10.1016/j.apenergy.2021.116809
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    3. Mohd Ashraf Zainol Abidin & Muhammad Nasiruddin Mahyuddin & Muhammad Ammirrul Atiqi Mohd Zainuri, 2021. "Solar Photovoltaic Architecture and Agronomic Management in Agrivoltaic System: A Review," Sustainability, MDPI, vol. 13(14), pages 1-27, July.
    4. Taylor, M. & Pettit, J. & Sekiyama, T. & Sokołowski, M.M., 2023. "Justice-driven agrivoltaics: Facilitating agrivoltaics embedded in energy justice," Renewable and Sustainable Energy Reviews, Elsevier, vol. 188(C).
    5. Casares de la Torre, F.J. & Varo, Marta & López-Luque, R. & Ramírez-Faz, J. & Fernández-Ahumada, L.M., 2022. "Design and analysis of a tracking / backtracking strategy for PV plants with horizontal trackers after their conversion to agrivoltaic plants," Renewable Energy, Elsevier, vol. 187(C), pages 537-550.
    6. Alexander V. Klokov & Egor Yu. Loktionov & Yuri V. Loktionov & Vladimir A. Panchenko & Elizaveta S. Sharaborova, 2023. "A Mini-Review of Current Activities and Future Trends in Agrivoltaics," Energies, MDPI, vol. 16(7), pages 1-18, March.

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