ARF16 - Renewable and alternative energy financing strategy

Researcher:

William McClounie, ACC Farmers' Financial

Objectives:

1. Inventory of investment and funding programs, legislative options.

2. Training and focus group sessions with producers, agri-food processors and financial institutions.

3. Recommendations for alternative investment funding and tax credit plans.

4. Published investment strategy for Ontario.

5. Cost/benefit plan on relationship of renewable fuels and replacement energy.

Expected Benefits:

1. Business plan design for farm financing of renewable systems.

2. Management relationship protocols for producers and food processors on dealing with lenders.

3. Create the adoption of new financial risk assessment, evaluation and advice for farm business planners.

4. Cost benefit and return on investment analysis regarding investment in renewable or alternative technologies.

5. Recommendations on new investment funds and tax credit schemes.

6. Illustrate through focus group sessions and training on how to access capital.

7. Understanding economic impact of renewable fuel systems to the farm and local community.

Summary of Research Results:

News headlines, income opportunities and rising input costs have increased awareness of and interest in energy issues within the agriculture and food industry. While the predominant driver may be cost or conservation, a significant number of Ontario farmers and food processors have started a path to renewable or alternative energy for their farm or food processing facility. Many are curious. Some are weighing their options and a few have implemented a project and are evaluating results.

But the road from interest to execution is a long and bumpy one. There are many stakeholders along the way - from business partners and lenders to regulators and neighbors - all of whom must be engaged, informed and involved in a successful project.

www.farmenergyonline.com walks the road from information to planning, financing and implementing a renewable or alternative energy system. It explores stakeholder perspectives at each stage, and provides practical tools, resources, connections and advice to help facilitate the process.