Overall, large-scale solar farms offer many financial and environmental benefits. As the cost of solar installations continues to decline, large scale solar is becoming an increasingly attractive option for investors and communities. This coupled by volatility in the energy prices market, there are some particularly compelling financials to consider.
We have done some illustrative financial modelling on a fairly typical scenario –
- Cell Energy will cover all reasonable land agent and legal fees associated with the project.
- You could expect to receive a rental per acre of £900- £1100 depending on grid connection costs and export availability. This would be index linked upwards only.
- Lease duration typically 40 years plus two allowing for construction and de-commissioning of the site.
- Guaranteed income plus opportunity to earn extra through annual maintenance contracts such as hedgerow management and cleaning
A project that utilised 70 acres would earn you £70,000 per annum based on £1000 per ac realising £2.8m in today’s prices.