RFM Poultry (NSX:RFP) Investor Relations and Distribution Manager James Powell talks introducing solar panels in Victoria to save funds, reduce environmental footprint and boost revenue. RFP also discusses its 2018 results.
- RFM Poultry recently installed solar panels on a number of poultry sheds.
- It completed a solar installation program on the four Victorian farms it operates at Lethbridge, Victoria.
- RFM engaged the services of solar installation provider Solar Professionals, based at Wagga Wagga, in regional NSW, to install the systems. RFM has previously worked with Solar Professionals on its NSW almond farms, installing solar infrastructure to power irrigation pumps.
- The business observed rapidly rising electricity costs and undertook investigations into a range of energy options and noted improvements in solar technology, potential savings and revenue from grid feed-in tariffs.
- RFM also noted more certainty surrounding government policy and incentives, which lead RFM to select solar as the most suitable option.
- The solar infrastructure across the four farms is expected to generate 508,000 kilowatt hours (kWh) of electricity per annum, with approximately 400,000 kWh hours consumed by the farms and 108,000 kWh exported to the energy grid. This is about a third of the farms energy requirements per annum.
- Financials: Profit after tax of $0.26m, NAV per unit of $1.12, Distributions totalled 7.18 cents per unit (inclusive of franking) for the first two quarters, representing an income yield of 12.0%1 on an annualised basis, Nil interest bearing liabilities and all sheds continue to be compliant with RSPCA guidelines.