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    Second chance for oilseed rape bio-electricity generation
26/04/05

Arable farmers are being given a fresh opportunity to take up the lucrative “Landmark” contract to grow oilseed rape for bio-electricity generation. The contract offers a guaranteed price of £150/tonne, together with an oil content bonus, while the crop also qualifies for the Government's 45Euro energy crop payment.

When originally launched last November the contract only guaranteed to buy 20% of the crop for industrial processing, with the remaining 80% being sold to best advantage on the open market.

But such is the demand from the renewable energy market that Springdale is transferring all existing contracts onto the more lucrative industrial terms, and is looking to sign up more growers as well.

The harvested crop will be converted into electricity in a new bio-electricity generating plant located at Springdale's headquarters near Rudston, East Yorkshire. The increase in demand has come about as further generating plants are coming on line sooner than expected on disused pitheads, initially in the former Selby coalfield, but with the option to extend the network nationwide.

Anyone taking up the spring contract is guaranteed the chance to be involved in the autumn contract, a fact James Mackay, Springdale's National Sales Manager, says should be of great interest:

“Bearing in mind the higher yield potential of winter-sown oilseed rape, this could help them achieve unprecedented margins from their break crops.

“We are also offering farmers two and three year growing contracts, also on guaranteed prices. These could help remove some of the uncertainty from the next few years and help them plan their businesses effectively as they get to grip with the Single Farm Payment and adjust to the reformed Common Agricultural Policy”.

SPRINGDALE - A BRIEF BACKGROUND: The Springdale Group provides an essential link between research, industry and growers in areas of crop development for non-food applications. The company has a unique blend of agriculture, business acumen and scientific knowledge, and has proven expertise in growing crops used in the fibre, fuel and energy, biocomposites and oleochemical industries.

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