Energy for Farmers in Singapore: The Dairy Sector

In Singapore, the agricultural sector, including dairy farmers, is under increasing pressure to adopt more energy-efficient practices. Among the various areas on dairy farms that consume substantial energy are milk cooling, water heating, and vacuum pumps. These areas present significant opportunities for energy savings, with each typically accounting for around 20-30% of electricity consumption on a typical dairy farm.

To address this, there is a wide range in total energy use, whether it’s electricity or fuel, due to factors such as fuel consumption and unit costs. Given the often narrow profit margins in the dairy industry, it is crucial for farmers to scrutinize all business costs, including electricity and diesel.

The initial step towards improved efficiency involves identifying the main consumers of electricity and gathering consumption data through regular meter readings or the installation of smart meters. Once these insights are obtained, optimizing energy usage becomes more achievable.

Short-Term Solutions for Energy Efficiency

  1. Lights: Installing timers, photo sensors, or motion sensors can automate lighting control, ensuring lights are turned off when not needed. Implementing dimmable lights in areas with natural lighting can also be effective.
  2. Fans: Turning off or reducing fan usage when temperatures are below the threshold for cow heat stress can save energy.
  3. Refrigeration Temperatures: Setting refrigeration units at appropriate safe temperatures without overcooling can lead to energy savings.
  4. Pressure in Compressors: Lowering air compressor pressure to meet specific needs without exceeding requirements can reduce energy costs and extend equipment life.
  5. Water Heater Settings: Slightly reducing water heater temperatures while keeping them above process requirements can decrease water-heating costs.
  6. Regular Maintenance: Cleaning and maintaining equipment like milk-cooling system heat exchangers, fans, water heaters, and pumps ensure optimal performance and energy efficiency.
  7. Replace Belts: Replacing standard v-belts with cogged v-belts can result in a 2-5% efficiency gain in motors.

Flexible Energy Contracts: A Ready-Made Solution

Flexible energy contracts are gaining popularity among dairy farmers in Singapore. These contracts enable consumers to benefit from fluctuations in the wholesale energy market, presenting opportunities during periods of volatility. By accurately estimating predictable energy demand through smart meters and energy audits, farmers can trade excess energy or top up as needed, offering increased flexibility and cost savings.

The Long-Term Solution: Energy Brokerage for Farmers

Given the demanding nature of farming, particularly in the dairy industry, dairy farmers often lack the time and expertise to navigate energy procurement complexities. Partnering with an energy procurement specialist can be invaluable, as they act as knowledgeable consultants, ensuring farmers secure the best possible energy contracts, saving them both time and money.

How Does This Compare to Dairy Farmers in the United Kingdom?

Well, over at Energy Brokers in the United Kingdom they have some interesting findings when it comes to how dairy farmers operate.

Across the UK, farm businesses are feeling pressure to become more energy efficient. Dairy farmers are no exception to this rule – milk cooling, water heating, and vacuum pumps amount to some serious energy use. However, it is these areas that offer scope for the largest savings. Each of these areas will usually account for around 20-30% of electricity consumption on a typical dairy farm. 

With this, comes a massive range in total energy use – either electricity or fuel. The variation is due to many factors, from fuel use to the proportion of the more expensive day tariff electricity used to, to unit cost. With profit margins often being slim there is a firm need to review all business costs, including electricity and diesel. 

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