Over 90% of landowners are considering renewable energy schemes, according to a Knight Frank survey at the CLA Game Fair today
Date : 23 July 2010
Key points
- 92% of landowners polled by Knight Frank at the CLA Game Fair said they were considering some form of renewable electricity generation schemes on their estate
- 80% said the introduction of the renewable energy feed-in tariff had encouraged them to investigate renewable energy schemes
- Wind power was the most popular form of renewable generation, with 56% of respondents saying they would consider putting turbines on their land. Solar photovoltaic was considered an option by 52% while 28% were interested in hydro schemes and 24% in anaerobic digestion
Christopher Smith, head of Knight Frank’s Renewables and Energy department, commented:
“The results of our survey confirm the appetite of rural landowners for renewable electricity generation. They also show how successful the introduction of renewable energy feed-in tariffs has been in encouraging people to invest in renewable schemes. Of the people we questioned only 8% currently generate renewable electricity on their estates, now we have FITs almost 100% are planning to get involved in some sort of way.
“Because FIT tariffs are guaranteed for up to 25 years they offer landowners a long-term income generation stream. For many estates that have seen their agricultural incomes fall sharply, renewable energy will completely transform their balance sheets.
“On one estate that I looked at two modest 275kw wind turbines will increase the annual income from £150/acre to £400/acre.
“Renewable energy also offers the potential for pension planning. One client, for example, is considering investing his pension pot in a photovoltaic scheme that will cost £350,000, but will generate an annual income of £35,000.
“I believe that renewable energy will become an increasingly common revenue generator on rural estates as almost every estate can benefit in some way.”
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Ends
Notes to Editors
Knight Frank’s Renewables and Energy department can offer bespoke advice on all forms of renewable energy.
Feed-in tariffs were introduce in April 2010 and offer an index-linked payment to anybody producing electricity from renewable energy schemes. The tariffs are available for up to 25 years with the rate dependent on the type and size of the scheme. FITs are paid even if the generator uses the electricity themselves.
Knight Frank LLP is the leading independent global property consultancy. Headquartered in London, Knight Frank and its New York-based global partner, Newmark Knight Frank, operate from 207 offices, in 43 countries, across six continents. More than 6,340 professionals handle in excess of US$886 billion (£594 billion) worth of commercial, agricultural and residential real estate annually, advising clients ranging from individual owners and buyers to major developers, investors and corporate tenants. For further information about the Company, please visit www.knightfrank.com.