Home|News|News|UK Government to Reward Green Farming Projects to Tackle Surging Costs for Farmers 29.03.2022

UK Government to Reward Green Farming Projects to Tackle Surging Costs for Farmers 29.03.2022

UK Government to Reward Green Farming Projects to Tackle Surging Costs for Farmers 29.03.2022

The ongoing international energy crisis has been felt intensely in the UK – particularly across households who face an unprecedented energy price cap increase, and for British businesses who are grappling with sharp spikes in energy prices alongside the rising cost of living crisis, resulting in concern over the security of their operations.

One industry that has been particularly hard-hit is British food production, which not only faces rising gas prices, but is also dealing with the subsequent knock-on cost of fertilisers, fuel and animal feed that critically supports food production. The industry has not been afraid to voice its concern over the potential for food shortages if solutions are not identified.

In a letter to the Secretary of State for Environment, Food and Rural Affairs, George Eustice, several MPs across the UK have highlighted the fact that fertiliser prices have increased by up to 140% in the last year alone. The rising cost of natural gas has resulted in this shift, and farmers are evidently concerned that they will be priced out of the sector without intervention or government support.

In response to the rising cost of fertiliser, the UK government is keen to support the production of natural fertilisers (organic products that have been extracted from living things, such as animal manure), whilst replacing synthetic fertilisers (made up of chemicals and typically manufactured from petrol or natural gas). Encouraging the use of natural fertilisers over chemical fertilisers will be a critical step in managing rising costs for farmers, whilst also supporting government ambitions to reach Net Zero.

The Sustainable Farming Incentive Scheme, the pilot of which is in its early stages, includes proposals to reward farmers for using greener fertilisers and adopting other environmentally friendly farming practices. The scheme is intended to replace existing grants for farmers and will form part of a wider package of farming measures designed to address uncertainty for UK farmers.

Bolstering natural fertiliser production in the UK will be achieved through investment in sustainable energy projects such as Deal Farm Biogas in South Norfolk. Not only will this innovative plant deliver sustainable biogas to support government ambitions to blend hydrogen and biogas as it starts to phase out dependence on fossil fuel use, but it will also produce large amounts of high-quality natural fertiliser (often referred to as digestate) for use by farmers in the local community.

You can read more about the AD process and how it produces natural fertiliser here, and you can find out more about where we are in the planning process here. If you have any questions about Deal Farm Biogas and how this project will support UK farming communities, you can be in touch directly with the project team via info@dealfarmbiogas.co.uk who will be happy to provide more information.