Energy crops contract to be unveiled at Cereals 2012

A new 10-year index-linked rental or contract farming agreement for growing energy crops is due to be launched at next month’s Cereals event.

The International Energy Crops contract will help miscanthus growers tap into the expanding biomass demand from Drax Power station in Yorkshire. IEC will establish and use the crop for 10 years before returning it to the farmer, who will have a further 10 years or more of crop growth, the firm’s Keith Wilson explains.

Drax recently announced a £7/t increase in the price paid for 2012 miscanthus supplies, which means that growers with 60 miles of the power station can receive £63/t for baled miscanthus this season, he says. Ex-farm prices for miscanthus into Drax have now doubled in the past eight years, he notes.

IEC will also unveil a new venture with German boiler manufacturers and UK installers to stimulate uptake of boiler systems, which provide fuel cost savings and benefit from the Renewable Heat Incentive.

The company will be among a number of renewable energy specialists exhibiting in a dedicated area at Cereals 2012 on 13-14 June at Boothby Graffoe, Lincolnshire. Go to www.cerealsevent.co.uk to find out more.