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Anaerobic Digestion of farm and food processing residues GoodPractice Guidelines Page12 Deciding to develop an AD project Any decision to establish an AD project will be based on an assessment by the farmer or developer of the marginal increased costs (if any) set against the additional benefits and opportunities created. AD will generally be a more expensive capital option for farmers (or food producers) seeking solutions to their residue and/or pollution problems than alternative waste management solutions. Financial and other costs are covered in detail in the Project development section but, in summary, include: • Capital costs in establishing a digester • On-going maintenance and replacement costs • Obtaining planning permission and adhering to other regulatory frameworks • Training for operators. The decision to establish an AD project dealing with farm residues is likely to be based on answering the questions: • Do the extra benefits from the process and the opportunities for possible increased income streams warrant spending the extra (marginal) investment • Do I have the time, inclination and necessary skills to consider it as a viable option? More specifically, the decision process for a farmer or food processor on whether a ‘stand-alone’ AD plant will be viable for their business, or whether they should consider other options (including participating in a CAD project), is likely to include the following questions: • What capacity plant would I require to process my feedstock? • What are the marginal costs for me to consider an AD plant? • What return would I want to consider this extra investment? • Can I adequately utilise the liquor produced? How much land do I have access to? • Can I utilise the energy produced within my farm business? What is the value of this to me? • What price can I get for the energy if I sell it? • Is there a shortfall between the value of the energy produced and the return I require? • Can I make up this shortfall from reduced operating costs, increased yields, sales of compost, income from handling other farm or food processing residues? If a farmer or food processor cannot show a surplus from this process, a stand-alone plant would not be appropriate and they could then consider the benefits of co-operating on a CAD plant, or other options for waste management. All these issues are considered in the Project Development section of these guidelines. A case study of Walford College AD project, including detailed costings, is given in Appendix 8.PDF Image | Anaerobic Digestion Of farm and food Processing residues The development of a sustainable industry
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