A resources solution that has been successfully deployed on a number of closed sites in Germany, solar farms located on waste sites could offer the ultimate win/win for renewable energy generation.Words: Adrian Lea, Technical Director, Wardell Armstrong
With soaring energy prices, challenging emissions targets and the demand for greater security of supply, any imaginative and effective new way of harnessing renewable energy should be very welcome. The installation of solar panels on former landfill sites could be exactly the kind of innovation that’s needed. Previously difficult because of stability problems caused by differential settlement, new technological advances are now making this combination perfectly possible – bringing attractive new revenue opportunities and after-use options to landowners and landfill operators.
Ground-mounted solar PV and solar panels are becoming increasingly common throughout Northern Europe particularly in places such as the UK, where higher solar irradiation levels often result in greater electricity yields. Mainly located on agricultural fields, solar farms can vary from five to fifty MW in size, covering areas between ten and a hundred hectares. Typical capital development costs range from £1 million to £1.3 million per installed MW for fully operational assets.
The economics are variable, with the largest and least complex projects normally being the best. Project returns of 8-9% are possible for third party long term investors, with revenues generally based on a Power Purchase Agreement for exported power, plus payments under the Renewables Obligation Certificate (ROCs) or Feed in Tariff (FiT) regime. Returns for landowners able to finance and operate their own projects will typically be higher, and considerably more if the power that’s generated significantly replaces imported electricity from the grid.