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Economic potential of energy crops
The generation of energy from organic matter, such as plants, is called bioenergy. The Update to the Climate Change Plan (CCPu) identifies the significant role that bioenergy could play in delivering Scotland’s legally binding commitment to achieve net zero by 2045.
This research examines the economic potential of perennial energy crops (PECs) for farmers and land-managers in Scotland, as well as the wider economic implications.
The three PECs considered are miscanthus, short rotation coppice (SRC) and short rotation forestry (SRF).
Findings
- PECs have the potential to generate income for farmers and land-managers in Scotland.
- Miscanthus showed the highest average gross margin of the three crops studied but in Scotland there is more suitable land for growing SRC and SRF.
- Farmers and land managers may view PECs as a risky proposition due to uncertainty about market demand and achievable crop sale prices, combined with the need for upfront investment to establish production.
- The most economically and environmentally advantageous approach is likely to be site-specific and determined by local circumstances.
For further information on the findings please download the report.
If you require the report in an alternative format, such as a Word document, please contact info@climatexchange.org.uk or 0131 651 4783.