Advantages and disadvantages of solar energy generation
In this guide:
- How to switch to renewable energy
- Benefits of using renewable energy
- How to generate income from renewable energy
- Is renewable energy right for my business?
- Advantages and disadvantages of wind energy
- Generating biomass energy and anaerobic digestion
- Advantages and disadvantages of solar energy generation
- Generating geothermal energy and ground source heat pumps
- Generating hydroelectic power
- Generating our own renewable energy - JH Label Solutions (video)
Benefits of using renewable energy
The business benefits of using renewable energy such as government incentives and saving on energy costs.
Generating and using renewable energy can help you to reduce your business' contribution to climate change and avoid using carbon intensive resources such as fossil fuels.
Advantages of renewable energy
Renewable energy offers a wide range of benefits to businesses, including:
- Improving your environmental credentials and strengthening your brand - customers, investors and other stakeholders increasingly want to deal with businesses which show that they are environmentally responsible.
- A more secure energy supply - fossil fuels won't last forever and supply is increasingly dependent on imports from overseas. Renewable energy sources are naturally occurring and won't run out.
- Exemption from paying duty under the climate change levy - this duty is a tax on the energy used by businesses.
- Building relationships with businesses that have similar values - for example, you may be able to work with other local organisations on a renewable energy project.
- Stable energy costs - gas and oil price rises are reflected in customers' energy bills. Renewable energy sources are not subject to the same price rises as fossil fuels.
- Future proofing - renewable energy use will become more widespread, with legislation already placing targets for its use in certain new developments. Switching sooner rather than later will give your business early experience of renewable energy.
Even if your organisation's core business is not in the renewable energy sector, switching to renewable energy could still provide you with an additional revenue stream.
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How to generate income from renewable energy
How to generate income from renewable energy, including export and feed-in tariffs and green energy certificates.
Generating your own renewable electricity can provide a stable energy supply for your own business' needs. It also presents an opportunity to profit from energy which you produce above your own needs. There are two potential sources of income from small-scale renewable energy generation in Northern Ireland:
- Renewable Obligation Certificates (ROCs)
- export payments
Renewable Obligation Certificates
ROCs provide financial support for renewable electricity generation. ROCs are part of the Northern Ireland Renewable Obligation (NIRO), the main way government encourages renewable electricity generation in Northern Ireland.
One ROC is issued for each megawatt hour (MWh) of eligible output generated by renewables, including electricity you generate and use yourself.
In order to be eligible to receive ROCs you must:
- be registered with Ofgem
- have an Ofgem-approved generation meter installed
The number of ROCs you receive per kilowatt hour depends on the technology you use and the amount of energy you produce. Generators can sell their ROCs either directly to electricity suppliers or to ROC traders who sell on to electricity suppliers.
The NIRO closed to new generation in March 2017 but all accredited generators before that date will receive ROCs for 20 years (to 2037).
Find more information on NIRO and ROCs.
Export payments for renewable energy
If you generate more electricity than you use you may be able to sell the extra electricity back into the grid. Power NI offers an export system for small-scale generators in Northern Ireland.
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Is renewable energy right for my business?
How to assess the energy use in your business and consider your options for switching to renewable energy.
Before switching to renewable energy, make sure that you have done all you can to reduce your need for energy in the first place. This will ensure that the energy you do use has the lowest environmental impact.
Which type of renewable energy is right for my business?
Once you have reduced your need for energy you can consider which renewable energy options are appropriate to meet your requirements.
If you choose to generate your own renewable energy, you will first need to select the best technology to meet your needs. You should consider factors such as:
- your business' current energy use, including energy type, overall consumption and fluctuations in demand
- the energy mix that you will require - some renewable energy technologies can only produce either electricity or heat, while others can generate both
- the practical limitations of different types of renewable energy
Once you have identified the appropriate technology, you will need to carry out a feasibility study. This will assess the practical aspects of installation, such as technical, economic and environmental performance. Feasibility studies are usually undertaken by a specialist renewable energy consultant.
You may also find it useful to speak to:
- other businesses that use renewable energy
- your local council planning department
- installers and suppliers of renewable energy technologies
You could become involved in a large off-site project such as a wind farm or discuss joint renewable energy projects with other local organisations.
Buying renewable energy
You could get your energy supply on a green tariff from a supply company that takes extra steps to reduce emissions from the gas or electricity it sells and gets a higher percentage of energy from renewable sources. Green tariffs may cost slightly more than a traditional tariff and the additional carbon benefit of green tariffs is not wholly clear.
Planning permission for renewable generation
Planning in Northern Ireland falls within the remit of local councils. Although permitted development rights for non-domestic microgeneration have not yet been introduced, legislative proposals for the installation of a range of small-scale renewable energy technologies associated with non-domestic land uses are being refined.
Whilst permitted development rights are not yet available, your development may still go ahead provided you obtain planning permission from your local council. You should discuss your ideas with your local council planning office and obtain planning permission before undertaking any project.
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Advantages and disadvantages of wind energy
Advantages and disadvantages of wind energy, how it works and how to install a wind power development.
In Northern Ireland wind energy is the most common renewable energy technology and it's also one of the most financially viable options.
Wind energy is generated using turbines which capture the natural power of the wind to drive a generator. The large wind farms seen around the countryside generally supply electricity to the national grid. However, the availability of a variety of turbine types and sizes means that you can generate your own electricity supply for use onsite.
Types of wind turbine
The two main turbine types available are:
- Free-standing turbines, which are available in a range of sizes and can be used singularly or in groups. Small free-standing turbines are already in use at businesses throughout Northern Ireland.
- Building-mounted turbines, which are usually installed on roofs. These are not currently widely used, although new designs are beginning to appear.
Advantages of wind energy
- Wind turbines will work well across most of NI. Turbines will operate from low wind speeds of about four metres per second (m/s) but the most successful projects are in areas with an average wind speed of seven m/s or above.
- It is one of the most financially viable renewable energy options and this is improving as the technology develops. The payback period for large, free-standing turbines is typically four to eight years.
- Wind energy could generate a significant proportion of your electricity needs.
Disadvantages of wind energy
- Wind turbine developments often meet significant local opposition at the planning stage due to their visual impact.
- If there is no wind, the turbines don't generate any electricity. This is known as an intermittent technology. You would need a national grid connection for back-up.
Installing a wind power development
You must apply for planning permission from your local divisional planning office if you want to build a wind power development.
To get planning permission you must complete an Environmental Impact Assessment (EIA) if:
- you plan to construct three or more turbines
- the hub height of any of your turbines, or any other associated structure, exceeds 15 metres
Generating wind energy in conservation areas
If the site you want to develop is in a conservation or protected area, you must inform NIEA.
Protected areas can include:
- Areas of Special Scientific Interest
- areas of outstanding natural beauty
- special areas of conservation
- special protection areas
Find out if your proposed site is in or near a protected area.
If your site has archaeological or architectural interest you must inform NIEA.
Good practice for wind energy generation
Wind turbines can generate noise. To limit and control noise you should:
- use a low noise turbine design
- monitor your turbine to make sure you are not causing a nuisance
- locate your turbines away from the boundaries of your site
See how to avoid causing noise pollution, odour and other nuisances.
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Generating biomass energy and anaerobic digestion
How biomass energy and anaerobic digestion work, and their advantages and disadvantages for your business.
Biomass energy accounts for around two thirds of the UK's renewable energy supply. Biomass refers to organic materials, such as wood, straw and energy crops, which can be used to generate electricity, heat and motive power. The energy is released by burning and fermentation.
The payback period for biomass systems is generally five to 12 years, though this can be significantly shorter if free waste wood is available.
Anaerobic digestion is another method of converting biomass into energy. In this process, organic material is broken down by bacteria, in the absence of oxygen, to create methane-rich biogas. This can then be burned to generate heat and electricity. The solid waste from the process is called digestate and can be used in a similar way to compost.
The payback periods for anaerobic digestion plants vary widely, but could be between five and ten years.
Advantages of biomass energy and anaerobic digestion
- You can use waste by-products to generate energy and reduce your waste disposal costs.
- It can be used in combination with a combined heat and power plant to generate both electricity and heat.
- Burning biomass fuels releases lower net carbon dioxide emissions than burning coal and gas.
Disadvantages of biomass energy and anaerobic digestion
- You need to control emissions from burning biomass materials to prevent local air pollution. Any system you install must comply with legislation such as the Clean Air (Northern Ireland) Order.
- Storing biomass fuels can require a large amount of space.
- It can be difficult to find a secure supply of fuel. If you intend to use by-products from your business you must ensure that suitable quantities will be available.
- If you're having fuel delivered, you'll need to consider the environmental impact of fuel transportation.
Complying with waste controls for anaerobic digestion
If you anaerobically digest waste to generate gas for heat or electricity you must have a pollution prevention and control permit or waste management licence.
You must comply with waste regulations including the duty of care. If you are collecting and transporting other people's waste you will need a waste carriers licence.
The Northern Ireland Environment Agency (NIEA) and WRAP (the Waste & Resources Action Programme) have created a quality protocol for anaerobic digestate. If you follow the protocol, you can produce a high quality digestate which can be sold without waste handling controls. For example, if it is not classed as a waste, you do not need to transport it using a waste carrier or with a waste transfer note.
Download the quality protocol for the production and use of quality compost (PDF, 180K).
If you use parts of animals, products of animal origin or food and catering waste you must comply with animal by-product controls.
Prevent odour from your anaerobic digester
You must prevent your anaerobic digester causing an odour nuisance to your neighbours. You must design your digester, storage areas and delivery areas to minimise the escape of odour and liquids.
Reduce your digester's operating temperature and use a two-step digestion process by pasteurising your material first, to reduce odour problems.
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Advantages and disadvantages of solar energy generation
The pros and cons of solar power, how it works and how to install a solar energy system in Northern Ireland.
Solar energy can provide both electricity and heat. It's unlikely that solar energy supply all the energy a business in Northern Ireland needs, but it can provide a significant percentage.
Photovoltaic (PV) panels convert sunlight into electricity. They are available in a variety of formats including cladding, roof tiles and custom glazing. The panels are generally positioned on an unshaded, pitched roof. This allows them to receive as much sunlight as possible.
Solar hot water systems absorb energy from the sun and transfer it, using heat exchangers, to heat water. Solar water heating can heat water to temperatures of up to 65°C. There are a variety of solar water heating collectors available, which are commonly mounted on roofs in the same way as PV panels.
Advantages of solar energy
- Solar water heating can be a very economical system for businesses that need large quantities of hot water, such as canteens.
- Many people find solar panels a relatively attractive addition to a building. They also make it clear you run a sustainable business.
- Planning permission is not always required, although you should always check with your local planning office.
- Solar panels require little maintenance.
Disadvantages of solar energy
- Solar energy is an intermittent technology as it is dependent on sunlight - panels can generate some energy when conditions are cloudy but not at night.
- Solar energy can be expensive to implement, usually with long payback periods of more than 25 years, although this is likely to be greatly reduced with incentives.
- Fitting solar systems on existing buildings can be particularly costly. It is better to install solar energy at the build stage.
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Generating geothermal energy and ground source heat pumps
How geothermal energy and ground source heat pumps work and their advantages and disadvantages for your business.
Geothermal energy and ground source heat pumps (GSHPs) provide a means to access and use the heat energy that is contained naturally in the ground.
GSHPs use underground pipes to transfer heat from the ground to the inside of a building to provide heating, hot water or cooling. Water and anti-freeze is pumped around these pipes to absorb underground heat, which is then delivered to the heat pump.
GSHPs use a renewable heat source, but their heat exchangers must be driven by gas or electricity. They are therefore only classified as a renewable energy technology when the power used to drive them is supplied by a renewable energy source, such as a wind turbine.
Geothermal energy can be derived from geologically suitable areas where heat from the earth's core rises to the surface as hot springs or steam. The energy can be accessed by drilling boreholes into the ground and can provide heating or hot water. In some cases it is used to drive geothermal power plants.
Advantages of ground source heat pumps
- You can also drive GSHPs in reverse to provide cooling.
- GSHP technology is well established.
- GSHPs can be used to supplement a traditional boiler system.
- Planning permission is not always required, although you should always check with your local planning office.
Disadvantages of ground source heat pumps
- Installing a GSHP requires significant civil engineering works, so it is easier to install a GSHP at the build stage.
- The initial installation of GSHPs is relatively expensive with payback periods usually more than 15 years.
- GSHPs are not in themselves classed as a renewable energy technology. In order to be truly renewable, the power used to run them must be supplied by a renewable energy source.
- Geothermal energy is extremely site specific.
Environmental authorisations for closed loop pumps
Closed loop GSHPs pump water and anti-freeze around a self-contained underground piping system. The mixture contained in the piping system absorbs the heat contained within the ground and transfers it to a building via a heat exchanger.
You need authorisation from the Northern Ireland Environment Agency (NIEA) to install a closed loop pump if:
- drilling underground causes groundwater from different underground strata to mix together
- your pump causes changes in groundwater temperature
- your pump is at risk of causing groundwater pollution
Environmental authorisations for open loop pumps
Open loop GSHPs remove groundwater from an underground source.
You should contact NIEA before you start to research whether you can install an open loop GSHP on your site.
If you want to operate an open loop GSHP you may need permissions from NIEA such as:
- a consent to investigate a groundwater source
- a water abstraction licence
- a discharge consent
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Generating hydroelectic power
How hydroelectric energy generation works and the advantages and disadvantages if your business is considering it.
Hydroelectric power uses water flowing through a turbine to drive a generator which produces electricity. The faster the water is flowing and the bigger the drop, the more electricity will be generated. You can either:
- use a water wheel or a turbine for run-of-the-river schemes which use the natural flow of the water to generate hydroelectricity
- store water in a reservoir to be passed though an underwater turbine at pressure
Hydropower is site-specific and you should choose a scheme that suits your site and needs. The payback period for a small system is likely to be over ten years.
Advantages of hydroelectric power
- Hydroelectric power systems are very efficient and convert 70-90 per cent of water energy to electricity.
- Generating hydroelectric power produces no waste.
- Once installed, hydroelectric power systems should run for many years.
- Hydroelectric power is a well-developed technology.
Disadvantages of hydroelectric power
- You may need an additional power supply available to compensate for seasonal variations in water flow.
- Significant development work is required to install small-scale hydroelectric energy equipment.
- You must get planning permission and may need other authorisations such as a water abstraction and/or impoundment licence.
- Hydroelectric power is highly site-specific.
- Hydroelectric power systems require regular maintenance.
Environmental authorisations for hydropower
Even a small hydropower plant can cause water pollution, disrupt fish migration and cause ecological damage if badly designed and built.
If you want to develop a micro-hydro power plant, you will need the correct authorisation from the Northern Ireland Environment Agency (NIEA). To apply, you must submit supporting information including:
- a detailed description of the scheme design
- the scheme location
- the generating capacity of your scheme
- the minimum and maximum volume of water you will abstract to generate power
- river flow where abstraction stops
- your scheme's impact on wildlife, river beds and river navigation
- how you will reduce the impact on fish migration, eg providing fish passages and screens
To develop a hydropower scheme you will need an abstraction or impoundment licence from NIEA if your scheme uses more than 20 cubic metres of water per day.
If you place structures in any waterway that are likely to affect its drainage you must have consent from DfI Rivers.
If you abstract water for your hydropower development you need to consult with the Department of Agriculture, Environment and Rural Affairs (DAERA) to make sure your scheme does not damage fisheries.
If your scheme is in the Foyle or Carlingford catchment areas you must notify the Loughs Agency.
Planning permission for hydropower
If you want to build a hydropower plant you must apply for planning permission from your local divisional planning office at the same time you apply to NIEA.
Generating renewable energy in conservation areas
If you want to develop a site for hydropower that is in a conservation area or protected area, you must inform NIEA.
Protected areas can include:
- areas of special scientific interest
- national parks
- areas of outstanding natural beauty
- special areas of conservation
- special protection areas
Find out if your proposed site is in or near a protected area by using these online interactive maps.
If your site has archaeological or architectural interest you must inform NIEA.
Carry out an Environmental Impact Assessment (EIA)
If your hydropower generating capacity is above 500 kilowatts or if your development is in a protected area, you will need to carry out a formal EIA for your scheme. You must submit this to NIEA and the your local council planning office.
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How to switch to renewable energy
Generating our own renewable energy - JH Label Solutions (video)
Keith Hamilton of the James Hamilton Group explains how JH Label Solutions invested in a solar PV energy system.
James Hamilton Group in Lurgan dates back to the 1920s. JH Label Solutions was established to supply the market with a wide range of both plain and printed labels.
Keith Hamilton, Managing Director of James Hamilton Group, explains how JH Label Solutions invested in a solar PV (photovoltaic) energy system. With the addition of new state of the art printing equipment, along with a growing turnover, energy costs for the company also increased.
An energy audit from Invest Northern Ireland identified the potential for a solar PV installation. Keith explains how he worked with Invest NI, how the arrays were installed, the expected payback periods and the overall benefits for JH Label Solutions.
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