English farmers requiring capital for small anaerobic digestion (AD) plants will be able to access up to £400,000 of government finance from next year.
The £3m on-farm AD loan fund was unveiled by Environment Secretary Owen Paterson on 10 October. The DEFRA initiative will enable farms to bid for up to 50% of the capital cost of AD plants of 250 kilowatts generating capacity or less.
Loan seekers will be required to submit a business plan prior to applying. As a further helping hand, grants of up to £10,000 will be available to help farmers put together a business case for AD – and make sure this is the right economic and environmental solution for their farm slurries or manures.