The European Union's Green Plan has set ambitious targets for reducing carbon emissions and promoting sustainability in various sectors, including agriculture. The key to achieving these goals is the local integration of renewable energy technologies that meet the specific needs of farmers. In this context, VALUE4FARM project is a beacon of innovation and sustainability. This initiative unites 14 partners, including seven research-oriented partners, three SMEs and three associations. One of the consortium members is the Energy Institute Hrvoje Požar (EIHP).
The VALUE4FARM project started on September 1, 2023, and lasts until February 28, 2027, and is financed from the HORIZON program, with an estimated budget of EUR 6,377,839.88. The project is built on three pillars: efficiency, sustainability and replicability/reproducibility, and the goal is to demonstrate these attributes by improving three local value chains based on biogas and linking sustainable food production with renewable energy production.
In Denmark, VALUE4FARM introduces additions to the traditional biomethane route to respond to the local specificities of large farms. In Belgium, a path to better use existing residual streams for efficient electricity/heat production will be demonstrated, thus answering the mobility needs of small farms. In Italy, hybridization compatibilities will be investigated to create an efficient off-grid biomethane plant.
Sustainable protocols for agricultural crops will be developed based on the specifications of at least 200 farmers, meeting the challenges of the agricultural sector while aligning with renewable energy production. All value chains will promote circularity through nutrient recovery. The adoption of value chains will be facilitated by the strong involvement of farmers from the beginning of the project. Three replication sites have already been selected for the project in Iceland, Italy and Poland, which will serve as testing grounds for implementing successful methodologies and practices.
An assessment of the economic, environmental and social benefits of VALUE4FARM value chains will be widely shared and distributed to relevant stakeholders. The project plans to launch an online decision support tool to encourage broader participation in sustainable agriculture and renewable energy production. This tool will be accessible to all, providing valuable guidance to farmers who want to embark on sustainability.
The role of EIHP in the VALUE4FARM project
EIHP is the leader of the work package 'Implementing solutions for renewable energy on the market'. The goal is to ensure sustainable acceptance and efficient replication of solutions in the project based on renewable energy sources.
The package consists of three tasks:
- Market analysis and design of business models for value chains based on renewable energy sources
This task aims to encourage the commercialization and further use of project results and to generate an ambitious, at the same time realistic, exploitation approach. EIHP will conduct a market analysis for each presented value chain to get a picture of market competitors, obstacles, challenges, advantages and opportunities in the EU and internationally. The market assessment will be continuously updated through dedicated activities to identify potential competitors and new market niches that could be addressed within VALUE4FARM. In parallel, work will be done on designing the first business plans for different value chains. In creating the proposed business models, the circular economy will be considered.
- Increase awareness of energy production among farmers associated with replication sites
Coordinated action will be ensured in Poland, Italy and Iceland to provide a more significant impact of the project. Farmers and entrepreneurs interested in producing biogas and renewable energy sources will be identified to achieve this goal. Local legal documents related to biogas and renewable energy production will be reviewed, and locally available technologies will be assessed. The involved stakeholders will then be trained through field sessions and workshops. In particular, they will be informed about legal aspects, best practices, security and incentives. The ecological and production benefits of natural fertilizers will also be presented to farmers.
- Management of intellectual property rights
This assignment will analyze the intellectual property rights aspects involved in the VALUE4FARM project. Proper management of intellectual property rights is essential for the correct transfer and strategy of further exploitation of the project. Therefore, specific actions will be developed to monitor project results, discover innovative technologies, analyze appropriate protection strategies, and gather partner interests.
EIHP is also the leader of the task called 'Technical-Economic Analysis'. EIHP will cover financial and economic analysis of value chains and will also be involved in other tasks. Based on inputs received from partners related to capital investments and operating costs (prices and volumes) and using the discounted cash flow method, the financial analysis will ensure the profitability of the value chains from the investor's point of view, with the assessment of indicators such as net present value, internal rate return and investment return time. An individualized model of discounted cash flows will be created for each value chain for economic and financial analysis of the project. This will serve as a prerequisite for making an informed investment decision. Based on the performance assessment of each value chain, for those determined to be financially unprofitable from the investor's point of view, EIHP will make an economic analysis that also considers more comprehensive social and environmental benefits and proposed project optimization measures.
For more information about the project visit https://cordis.europa.eu/project/id/101116076
