Solar Farm letters

MrNoo

Member
Arable Farmer
Location
Cirencester
Those that have it are you on a fixed price for the period of time the contract is for, or does it go up a small % each year? Just thinking in 25 years time might no look so attractive with wheat at £750 / ton!
It'll more than likely be index linked or you could plump for a % profit slice, we did that where we could jump between £/ac flat rent or a profit %, just to cover in the event of elec prices going through the roof in 10 or so years time. I managed to get it put together that we could swap if we wanted every 5 years.
200ac is the new normal for it to stack up sub free.
In 25 years time we wont be growing wheat, it'll all be imported, we'll just be park keepers! lol
 
It'll more than likely be index linked or you could plump for a % profit slice, we did that where we could jump between £/ac flat rent or a profit %, just to cover in the event of elec prices going through the roof in 10 or so years time. I managed to get it put together that we could swap if we wanted every 5 years.
200ac is the new normal for it to stack up sub free.
In 25 years time we wont be growing wheat, it'll all be imported, we'll just be park keepers! lol

hows yours coming along, any work started yet!?
 

Steevo

Member
Location
Gloucestershire
It'll more than likely be index linked or you could plump for a % profit slice, we did that where we could jump between £/ac flat rent or a profit %, just to cover in the event of elec prices going through the roof in 10 or so years time. I managed to get it put together that we could swap if we wanted every 5 years.
200ac is the new normal for it to stack up sub free.
In 25 years time we wont be growing wheat, it'll all be imported, we'll just be park keepers! lol

That's interesting - does the profit slice still get treated as rent/property income?

Just wondered whether the "risk" element could mean it to be considered trading income.
 

MrNoo

Member
Arable Farmer
Location
Cirencester
That's interesting - does the profit slice still get treated as rent/property income?

Just wondered whether the "risk" element could mean it to be considered trading income.
Yes, it would have done. New Co are wanting this element dropped in favor of higher ground rent but nowt finalized and not sure if it'll happen at all yet.
 

Rossymons

Member
Location
Cornwall
Just reading through this thread - am I right in thinking that these are firms interested in taking up stalled Solar projects? Which could be interpreted as Solar farms still want to be built?
 

D14

Member
It's a massive decision, but we've done it, and have no regrets, yet.
Don't underestimate the time it will take though just sorting out the crap that goes with it. Get a good solicitor and agent and go for it. The worry for me is really only tax issues, particularly IHT, but you can insure for that.

Could you elaborate on insuring against IHT as thats not something I have come across before.
 
Just reading through this thread - am I right in thinking that these are firms interested in taking up stalled Solar projects? Which could be interpreted as Solar farms still want to be built?

define stalled? It all depends on grid really.

an on off project is usually due to finance or logistical issues.

if a firm have grid and planning chances are the land owner is under option so has little control on letting 3rd parties in on the action
 

Rossymons

Member
Location
Cornwall
define stalled? It all depends on grid really.

an on off project is usually due to finance or logistical issues.

if a firm have grid and planning chances are the land owner is under option so has little control on letting 3rd parties in on the action

Apologies for taking this off topic slightly...

But how did you anyone on this thread get involved with establishing a solar farm? Were you approached first or did you approach the company? We have a block of about 10 acres of south facing that could be viable but I've no idea about how to crack on with it.
 
Apologies for taking this off topic slightly...

But how did you anyone on this thread get involved with establishing a solar farm? Were you approached first or did you approach the company? We have a block of about 10 acres of south facing that could be viable but I've no idea about how to crack on with it.

10 acres - 2 - 3 MW perhaps?

Afraid the big boys aren't interested at that scale, those days have gone IMHO. Most want 200acres + now giving them 49 MW

have you grid potential near by? unless you need it for your own use or back on to an industrial park I doubt it has legs.

in answer to your other point, I suspect most had a letter request which resulted in a deal. The Bullish ones do their own leg work, secure planning and grid then take it to the market. This method strips out most of the risk meaning developers will pay top dollar for it but you have to be happy to take on the early risk which is not for the faint hearted!
 

Treg

Member
Livestock Farmer
Location
Cornwall
Apologies for taking this off topic slightly...

But how did you anyone on this thread get involved with establishing a solar farm? Were you approached first or did you approach the company? We have a block of about 10 acres of south facing that could be viable but I've no idea about how to crack on with it.
Been approached 4 times in 10 years & still nothing has come of it, prices offered ranged from £350/acre to £3000/ acre .
Are you near a substation?
 

Rossymons

Member
Location
Cornwall
10 acres - 2 - 3 MW perhaps?

Afraid the big boys aren't interested at that scale, those days have gone IMHO. Most want 200acres + now giving them 49 MW

have you grid potential near by? unless you need it for your own use or back on to an industrial park I doubt it has legs.

in answer to your other point, I suspect most had a letter request which resulted in a deal. The Bullish ones do their own leg work, secure planning and grid then take it to the market. This method strips out most of the risk meaning developers will pay top dollar for it but you have to be happy to take on the early risk which is not for the faint hearted!
Been approached 4 times in 10 years & still nothing has come of it, prices offered ranged from £350/acre to £3000/ acre .
Are you near a substation?

Thanks for that, I'll look into it and see what we've got. Certainly dont have the 200acres to start with!
 

Rossymons

Member
Location
Cornwall
what infrastructure do you have close by? if you have Towers then they often get land owners to join forces. You are in a good place for Solar relative to the rest of the UK....

The site I'm thinking is behind a big sewage treatment plant with a village of about 1000 people next to that.

No towers, just standard telegraph poles crossing across most of our fields.

Nearest substation is about 10 mins away.
 

SFI - What % were you taking out of production?

  • 0 %

    Votes: 81 42.2%
  • Up to 25%

    Votes: 68 35.4%
  • 25-50%

    Votes: 30 15.6%
  • 50-75%

    Votes: 3 1.6%
  • 75-100%

    Votes: 3 1.6%
  • 100% I’ve had enough of farming!

    Votes: 7 3.6%

Red Tractor drops launch of green farming scheme amid anger from farmers

  • 1,294
  • 1
As reported in Independent


quote: “Red Tractor has confirmed it is dropping plans to launch its green farming assurance standard in April“

read the TFF thread here: https://thefarmingforum.co.uk/index.php?threads/gfc-was-to-go-ahead-now-not-going-ahead.405234/
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