Energy Insights

Oct 01, 2023

Carbon Neutral Solar Power

Solar sharing involves installing solar panels above farmland to allow simultaneous use for agriculture and power generation. This approach supports stable farm income, encourages successors, and utilizes idle farmland. However, crop selection must be appropriate, and temporary farmland conversion must be approved. Yanmar promotes solar sharing as part of its YANMAR GREEN CHALLENGE 2050 to help build a decarbonized society.

Solar sharing, also known as agrivoltaics, involves installing solar panels above farmland to share sunlight between crop production and power generation. In addition to revenue from crops, farmers can earn income by selling electricity to utilities or using it to support farm operations. Approved by Japan’s Ministry of Agriculture, Forestry and Fisheries in March 2013, solar sharing has been gradually adopted. Its success depends on maintaining productive farming while effectively integrating solar power systems.

In some countries and regions, solar sharing operators can benefit from Feed-in Tariff (FIT) programs, which guarantee fixed-price purchases of solar power. Low-voltage solar sharing systems also receive preferential tax treatment for self-consumption, enabling more predictable generation-revenue planning.

  • Under Japan’s FIT program, electricity generated through solar sharing is purchased by power companies at a government-set price for 20 years, providing operators with stable monthly income.
  • This stable income helps attract and support future generations of farmers.
  • Some farmland, such as designated green land, cannot be converted for residential or commercial use. However, solar sharing may still be permitted on such land, if certain conditions are met. This enables income generation from electricity sales, even on farmland with limited or seasonal use.
  • The shade from solar panels can protect both crops and farmers from excessive summer heat. For some crops, the moderated light improves quality by preventing leaf burn and heat damage. Solar panels may also offer frost protection, supporting healthy crop growth in colder seasons.
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  • While solar sharing is compatible with various crops, not all are suitable for this system.
  • In Japan, temporary land-use conversions for solar sharing require renewal procedures at least once every ten years.
  • Farmers must submit annual reports to their local agricultural committees confirming that farming activities remain unaffected.
  • If farming is discontinued, the associated power generation business must also be terminated.
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    Solar sharing offers a potential solution to key challenges in Japanese agriculture, including a shortage of successors, increasing abandoned farmland, and declining income. The Yanmar Group has launched the YANMAR GREEN CHALLENGE 2050 to help build a decarbonized society. Yanmar Energy System is actively promoting renewable energy, including solar and biogas power generation, to support the transition to a more sustainable future. For questions or inquiries about energy solutions, please feel free to contact us.

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