Partner Article

Energy firm forge innovative partnership with farmers

Renewable energy firm JFS & Associates has formed a series of joint ventures with farmers to develop anaerobic digestions plants across the North.

Farmers will supply manure and slurry from which JFS will generate renewable electricity using the anaerobic digestion process.

The scheme will receive income through Feed in Tariffs as electricity generated will be fed into the National Grid as law firm Ward Hadaway advises on the project.

The first unit is to be developed at a farm in Ponsonby in West Cumbria, with a further three developments in North Yorkshire and County Durham slated for the new year.

Matthew Flint, director at JFS, which is based in Stokesley, North Yorkshire, said: “We see this scheme as a fantastic way for farmers to benefit from the drive towards more renewable energy sources.

“It’s also a real partnership where both sides benefit from the others’ resources and expertise. Our strategy is to dovetail into the farms existing business, with JFS taking care of the project delivery, allowing the farmer to continue to do what he does best.

“In return for supplying the feedstock – whether in the form of animal waste or crops – and leasing the land for the plant to the JV, our farmers receive a shareholding in the development and a percentage of the proceeds of the sale of electricity generated. They also get the benefit of the by-products of the process, such as heat and Bio-Fertiliser to further improve the profitability of their existing business.

“Because we deal with all of the associated planning and permitting requirements, as well as project managing and raising funding for the construction, there are also no up-front costs or issues for the farmers.”

The farmers involved will receive a percentage of the income, as well as dividends from shareholding. A by-product of the process can be used as an environmentally-friendly bio-fertiliser.

Newcastle-based construction firm Surgo will build the plants, in partnership with German technology supplier PlanET Biogas. Mark Whitehead, Partner and Head of the Energy team at Ward Hadaway, led the firm’s team on the project with support from Ward Hadaway partners, Imogen Holland, and Helen O’Neill.

Mark said: “We are delighted to have assisted JFS and to have played a part in launching such an innovative scheme.

“Matthew and his fellow directors Peter Johnson and David Swallow at JFS have been working on this project for over a year after identifying a niche in this fast-growing energy sector.

“Working with an experienced construction and technology partners such as Surgo and PlanET, and forward thinking developers such as JFS, is an excellent combination and the project promises to deliver further supplies of renewable energy as well as deliver valuable additional income streams for farmers.”

Mr Flint added: “Mark and the team at Ward Hadaway have done a superb job helping to put this project together, dealing with all the different parties and putting the right agreements in place. “Their experience in the energy sector, particularly on the renewables side, was very important to ensuring that the scheme succeeded.”

This was posted in Bdaily's Members' News section by Tom Keighley .