Farmers should get renewable energy subsidy, neighbours of projects should get rent: report

The federal government should also set a target for agricultural renewable energy use as part of a national plan to guide the rapid up take of renewables within the sector, the report by Farmers for Climate Action found

Farmers for Climate Action chief executive Fiona Davis said current energy policies did not reflect the critical role farming and regional communities played in the nation's renewable energy success.

"We need a plan to make sure farmers and farming communities can benefit from the roll-out of renewable energy at all levels; the future of Australia's renewable energy and farms depends on it," Dr Davis said.

The report recommends boosting on farm batteries with a subsidy, which would allow local energy to be used locally, reducing the strain on the grid and saving farmers money. It also suggests other forms of incentives for farmers to increase the rapid uptake of on-farm renewables.

"Farmers have the space for small and large renewable energy projects paired with on-farm storage, which would become viable if there were a subsidy available," Dr Davis said.

"Reducing farmers costs can reduce the cost of food on the supermarket shelves and reduce the cost of living for everyday Australians."

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Farmers should also receive an annual rent for hosting transmission lines, as should their neighbours, from either the state or federal governments, to keep money generated by the energy industry within the regions and easy local tensions about new energy projects.

"It is also becoming apparent that farming and renewable energy - when done right - are complementary," the report stated.

"For example, 'agrivoltaics' involves combining energy generation with food and fibre production on the same land, grazing sheep or growing crops under solar panels.

"In addition to a new income stream, it can deliver a range of productivity benefits, including protection for sheep from heat and wind and in horticultural systems, higher soil moisture and reduced need for irrigation."

The FFCA report recommended the federal government allocate funding to establish an agrivoltaics research and knowledge sharing program to boost farm profitability and show communities that agriculture and energy production can co-exist.