A rural supplies co-op says a new electricity product developed for dairy farmers could mean savings of up to 25 percent.
For the first time in New Zealand, dairy farmers are being offered an electricity plan created specifically for their unique energy use.
For Dairy is the latest product from Genesis, which said it recognises the way dairy farmers use electricity is far from standard.
The new plan is being offered to farmers through Fonterra's Farm Source rural supplies co-op.
Farmsource Group Director, Richard Allen told Magic Talk's Rural Exchange that energy represents a significant cost to farmers.
"Farm Source is committed to helping lower on-farm costs and we've been focused on finding the best deal for our farmers so it's great to have Genesis on board and investing in innovations to enable this," he said.
There's also the opportunity for farmers to get even greater value through For Dairy by moving more of their energy use to off-peak and shoulder times.
He said while no two farms are the same, there is the potential for significant savings.
"For the average farmer, with around 500 cows, there's a saving of about 14 percent - so about $350 a month," said Allen.
During the development phase of the product, Magill said one of the participating farmers reviewed his usage through For Dairy and realised an immediate cost saving.
"Instead of leaving the water pump running around the clock, we suggested he get a timer so he could set it to turn on when he needed it, which was during off-peak times, getting the pump warmed up right before the milking schedule and allowing it to cool down soon after."
Listen: Farm Source Group Director, Richard Allen, talks to Rural Exchange about the new For Dairy product.
This article is created for Genesis Energy.