Does solar give farmers a certainty of income?

At a recent Farmers Weekly event at the company’s flagship solar project, Larport Solar Farm in Herefordshire, George said renewable energy gave farmers a certainty of income. “The one certainty in farming is that we don’t know what is coming tomorrow but leasing land for a project like solar gives that certainty,” he said.

How much land is needed for solar PV project?

The 2012 policy stipulated 2 ha of land for 1 MW of solar PV project and prescribed that the land owned by any department of state government may be transferred to New and Renewable Energy Department (NRED), another agency under the MP government, for developing solar project.

Does a solar farm represent a land use change?

Solar doesn’t represent a land use change from a planning perspective because the land must revert to its original state at the end of the project’s lifespan, but planning consent is required as it is a semi-permanent structure. There are key considerations for establishing a solar farm.

Are solar farm lease agreements taxable?

There are major tax implications for landowners to consider before entering into solar farm lease agreements as in the worst case scenario income could be taxed at 63%.

Should solar land be taxable?

Inheritance tax (IHT) is another very important consideration. While solar land may be classed as agricultural from a planning perspective, for tax purposes it ceases to be so the moment the lease is signed.

Should you lease farmland for solar?

Leasing farmland for solar can remove some of the risks associated with traditional agriculture by generating an annual index-linked income for 40 years, typically at £1,000/acre.