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Expanding biogas on UK dairy farms: a question of scale

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  • Butler, Allan J.
  • Hobbs, Phil
  • Winter, Michael

Abstract

Expanding Anaerobic Digestion (AD) in the UK will not only depend upon finding appropriate economic structures to support on‐farm developments but also an appreciation of environmental issues such as less Greenhouse Gas (GHG) emissions; reduced use of artificial fertilisers; and better management of farm wastes. At the core of this paper is the Anaerobic Digestion Analytical Model (ADAM) that examines the economic and environmental impacts of integrating AD into UK farming systems. However, the average dairy farm in the UK is not of sufficient size to enable profitable biogas production. Indeed, farm size, as represented by FBS/FAS data used in ADAM, needs to be scaled by three to four times for a biogas enterprise to break‐even. To boost profitability, some farms may use additional energy (food and non food) crops as well as other high energy sources such as biodiesel residues etc. In some circumstances, possibilities may exist for neighbouring farmers to co‐operate and manage a biogas installation that processes manures and energy crops to increase the scale of an on‐farm plant. Despite issues of scale however, on‐farm AD plants do have the capacity to (i) reduce Carbon Dioxide equivalent (CO2e) emissions that a dairy farm produces; and (ii) the by‐product of digestate provides farms with greater nutrient availability for crops.

Suggested Citation

  • Butler, Allan J. & Hobbs, Phil & Winter, Michael, 2011. "Expanding biogas on UK dairy farms: a question of scale," 85th Annual Conference, April 18-20, 2011, Warwick University, Coventry, UK 108937, Agricultural Economics Society.
  • Handle: RePEc:ags:aesc11:108937
    DOI: 10.22004/ag.econ.108937
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    References listed on IDEAS

    as
    1. Butler, Allan J. & Oliver, David & Chadwick, Dave & Fish, Rob & Winter, Michael & Hodgson, Chris & Heathwaite, Louise, 2009. "Modelling the mitigation mix: faecal microbes, economic constraints and sustainable land management," 83rd Annual Conference, March 30 - April 1, 2009, Dublin, Ireland 50939, Agricultural Economics Society.
    2. Butler, Allan J. & Turner, Martin M., 2007. "Modelling Integrated Dairy Systems In The UK: Towards Economic and Environmental Sustainability," 81st Annual Conference, April 2-4, 2007, Reading University, UK 7978, Agricultural Economics Society.
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    Cited by:

    1. Jones, Philip & Salter, Andrew, 2013. "Modelling the economics of farm-based anaerobic digestion in a UK whole-farm context," Energy Policy, Elsevier, vol. 62(C), pages 215-225.

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    1. Butler, Allan J. & Oliver, David & Chadwick, Dave & Fish, Rob & Winter, Michael & Hodgson, Chris & Heathwaite, Louise, 2009. "Modelling the mitigation mix: faecal microbes, economic constraints and sustainable land management," 83rd Annual Conference, March 30 - April 1, 2009, Dublin, Ireland 50939, Agricultural Economics Society.

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    Keywords

    Environmental Economics and Policy; Farm Management;

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