# Commercial solar for Dairy & livestock farms

Dairy and livestock farms run milking, milk cooling, ventilation and water heating around the clock — a heavy, steady electrical demand. Large barn roofs and spare land make funded solar and battery storage a natural fit, with no upfront cost.

Dairy farming is surprisingly electricity-intensive: milking systems, bulk milk cooling, vacuum pumps, ventilation and water heating run daily, much of it during daylight. That steady demand means most of the solar generated is used on the farm.

With big livestock-shed and parlour roofs, and often spare land, farms are ideal for on-site solar. A PPA delivers it with no capital outlay, cutting a major cost and adding resilience.

## Why it fits Dairy & livestock farms

- **Milk cooling and milking** — Refrigeration and milking run daily loads that solar offsets directly, giving strong self-consumption.
- **Barn roofs and land** — Livestock sheds, parlours and stores offer large roofs; some farms also suit ground-mounted systems.
- **Resilience and cost control** — Battery storage covers early-morning milking and adds backup for temperature-critical milk storage.
- **Fully funded** — A PPA needs no capital, keeping cash free for stock and the farm business.

## Frequently asked questions

**Can solar run early-morning and evening milking?**

Daytime milking is covered directly, and battery storage carries solar into the early-morning and evening milking when the sun is low, extending the savings.

**We have limited roof but plenty of land — options?**

Yes. Where roofs are limited, a ground-mounted array on less productive land can work. We assess your site, demand and connection to recommend the best approach.

## Funding routes

| Route | Upfront | Payment | Ownership | Maintenance | Accounting | Best for |
| --- | --- | --- | --- | --- | --- | --- |
| Power Purchase Agreement (PPA) | £0 | Fixed rate per kWh | Yours for £1 at end of term | Fully included | Off-balance-sheet (operating cost) | Businesses that want no capital outlay, no risk and no maintenance — just lower bills from day one. |
| Outright Purchase (CapEx) | Full system cost | One-off capital cost | Yours from day one | Optional O&M package | Capital asset | Businesses with capital available that want the strongest long-term return and full ownership. |
| Hire Purchase (HP) | Deposit | Fixed monthly instalments | Yours at end of agreement | Optional O&M package | Asset on balance sheet | Businesses that want to own the system but spread the cost and protect their cash flow. |
| Leasing (Operating / Finance Lease) | Low / none | Fixed rentals (opex) | Return, extend or buy at end | Optional O&M package | Rentals as operating expense | Businesses that want minimal upfront cost and predictable, tax-efficient operating payments. |

**Power Purchase Agreement (PPA)** — Zero upfront. Pay only for the clean power you use.

Pros: No upfront cost or capital outlay; Rate guaranteed at least 30% below the grid; Fully funded, installed and maintained for you; System becomes yours for a nominal £1 at the end.

Consider: A long-term agreement (typically 15–25 years); You don't own the system during the term.

**Outright Purchase (CapEx)** — Own it from day one and keep 100% of the savings.

Pros: Best long-term return on investment; Own the asset and keep every kWh of savings; May qualify for capital allowances / full expensing; No financing or interest cost.

Consider: Ties up capital that could be used elsewhere; You're responsible for maintenance (we can provide it).

**Hire Purchase (HP)** — Spread the cost, own the system at the end.

Pros: Preserve working capital — pay over an agreed term; Own the system outright at the end; Tax-efficient: claim capital allowances and offset interest; Fixed, predictable monthly payments.

Consider: Interest applies over the term; Subject to finance approval.

**Leasing (Operating / Finance Lease)** — Low upfront, predictable rentals as an operating cost.

Pros: Little or no upfront cost; Rentals are typically 100% tax-deductible; Predictable, fixed payments; Flexible end-of-term options.

Consider: You may not own the system at the end (depends on lease type); Subject to finance approval.

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Source: [Commercial solar for Dairy & livestock farms](https://ppafunding.com/commercial-solar-for/dairy-and-livestock-farms) · Contact: 01743 649 888 · info@ppafunding.com · https://ppafunding.com

PPA Funding is an independent introducer operated by DVC Group Ltd (Companies House 10462808), Shrewsbury — not the installer or the funder. The service is free to use; a commission may be earned from partner funders at no extra cost. Content is educational and is not financial or tax advice.
