Agrivoltaics (AgriPV) is at a pivotal moment. By combining agricultural production with solar energy generation on the same land, it enables dual land use and creates double value. While its technical potential and ecological benefits are undisputed, market expansion is currently hampered by political uncertainties and grid constraints. Innovative providers like GridParity are breaking new ground with standardized system kits and the attractive FarmerCapital® model—offering economically viable and future-proof AgriPV solutions for all types of agricultural operations.
Political and Economic Challenges: Tariffs and Grid Constraints
Hopes for an increased feed-in tariff of 9.5 ct/kWh for AgriPV systems have been dampened by the lack of EU approval and recent political changes. Currently, the only available remuneration is via the Renewable Energy Act (EEG) at around 6.8 ct/kWh. Many projects were based on the anticipated 2.5 cent bonus and are now economically stalled. Simultaneously, climate change is driving an increase in solar hours—and thus solar output—but the electricity is increasingly curtailed due to overloaded grids and sluggish market adaptation. In some regions, up to 70% of PV output is curtailed on peak days, further undermining project viability.
Economic Viability Through On-Farm Involvement and System Innovation
GridParity and FarmerCapital® focus on cost reduction, self-construction options, and modular system designs. Farmers can contribute their own labor and machinery (e.g., wheel loaders) to reduce investment costs by up to 30%, facilitating project financing and fostering ownership. Critical phases such as ramming up to 2 meters deep for specialized foundations, professional electrical work, and grid connection remain in the hands of GridParity’s expert teams.
New modular kits and system variants are available starting at €348,000 per MWp (DC), with turnkey systems including transformer and medium-voltage connection from €598,000. With farmer participation, levelized cost of electricity (LCOE) drops to 3–4 ct/kWh, even under full grid feed-in without subsidies. Depending on self-performance and electricity market trends, payback periods range from 6 to 8 years.
A Full Range of AgriPV Systems: Solutions for Every Farm Type
With the expansion to nine different AgriPV system variants, the FarmerCapital® concept opens up the full potential of solar agriculture. The portfolio ranges from single-axis trackers with bifacial modules to lean-to and gable roof structures, as well as specialized solutions for high-value crops, extensive grassland, and livestock systems. Each variant is tailored to specific crops, light conditions, and soil types—allowing for economic and technical viability across all farm types and land uses.
Technological Advantages and Flexibility
Tracker-based systems in particular offer 20–30% higher yields by following the sun’s path. They also protect crops from extreme weather and preserve full agricultural usability of the land—ensuring eligibility for EU agricultural subsidies. Additionally, the electricity generated can be used directly on-site for irrigation, cooling, or drying, reducing dependence on volatile energy prices.
Storage Integration and Farm Business Models
To counteract curtailment issues, GridParity offers FarmHub® systems—combining AgriPV with pre-installed, consumption-adapted storage containers (up to 1 MW) and large-scale batteries (e.g., 5 MWh). These systems store surplus solar power for flexible use or grid services, opening new revenue streams and improving grid compatibility. A complete 1 MWp AgriPV system with 5 MWh storage, transformer, and medium-voltage connection can be realized for under €1 million—with initial positive financing commitments from banks.
Investment Security Through Innovation and Farmer Participation
Current challenges facing AgriPV are significant but solvable. GridParity and the FarmerCapital® model demonstrate that cost-effective, flexible, and scalable system solutions can succeed independently of political incentives. The combination of low costs, participatory models, integrated storage, and genuine farmer involvement repositions AgriPV as a real opportunity for the future of agriculture—across all operations, crops, and land uses.
Even under adverse political conditions, AgriPV remains a robust, resilient model—one that strengthens agriculture’s sustainability, economic independence, and climate resilience.
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