Many of our agricultural clients are considering an investment in renewable energy systems such as wind turbines, solar panels etc and are looking for some independent advice.
We attach an article from David Powell of Fisher German Chartered Surveyors that highlight some of the key issues for farmers and landowners.
Land Based Renewable Energy – don’t let yourself in for a shock!
The gold rush is well and truly on with a large number of land owners and farmers considering renewable energy projects such as Single Wind Turbines, Hydro, Woodchip Biomass and Solar PV schemes as diversification enterprises. With attractive returns on investment of over 10%, (and often in excessive of 20% quoted) the pressure is on to install and commission schemes before the review of the Government Feed In Tariffs (FIT’s) in 2012.
However David Powell of Fisher German Chartered Surveyors advises that to achieve the best returns it is important to chose the right technology at the right price and site it in the right position. There are a number of product suppliers and investors in the market place approaching landowners at the present time, especially with larger scale projects. Landowners should not jump in feet first and sign a contract, or agree terms, without fully considering the potential returns and negotiating the price and terms of a contract or lease.
With ‘potentially’ attractive returns from projects or rents from investors being offered, David Powell warns “It is essential that any landowner or farming business considering signing up to a contract takes independent advice or risk ending up with an expensive mistake, or a poor deal”.
David also adds “many renewable energy companies or consultants are usually tied to, or in partnership, with a particular technological supplier and are only likely to consider that particular type of technology”. We have an established relationship with a number of reputable renewable energy companies and investors, who we can recommend to clients, but remain independent of any technological supplier.
Fisher German are currently advising clients on a number of renewable energy projects with small to medium wind turbine and solar PV schemes being the most popular. Identifying opportunities, site appraisals, conducting feasibility studies, competitive tendering, planning, finance and project management are all part of the Renewable Energy services offered.
If you are considering a renewable energy project, or alternatively have a potential site that may be suitable to be leased to an investor, please contact David Powell at Fisher German Chartered Surveyors for an informal discussion on 01905 453275 / 07918 677566 or email firstname.lastname@example.org