The Farm Analysis Tool allows for conducting an assessment on farm profitability. It provides entry sheets for adding various farm expenses and incomes and automatically calculates the farm profit margin. It also highlights which fixed and variable costs are most prominent and where savings could have a significant impact. The tool generates a Farm Income Statement, which can be presented to a lending institution. The tool is useful for:
Determining the current level of profitability (pre-investment base line);
Determining the anticipated profitability of the investment (postinvestment projection).
Availability of data on cropping patterns, irrigation techniques, pumping systems, other available pumping alternatives, market, current loan products available for potential SPIS customer, water and energy provision regime in the region, support/advice structures and subsidy schemes available for the region, long-term environmental impact assessment; an annual re-evaluation of farm profitability
A solar powered irrigation system (SPIS) is generally a long-term investment choice to reduce farm operating expenses or increase agricultural productivity or both. This requires an understanding of the farm enterprise, as a business, in terms of all costs and incomes.
Even when the profitability of the farming enterprise is confirmed, this does not automatically imply that an investment into an SPIS is the most sensible choice. This is especially true if other pumping technologies are readily available on the market. A Diesel or Grid-connected electric pump might be more feasible where water pumping is only required for a limited time per year. The Payback-Tool can support in this decision.
The Water Requirement Tool calculates the water requirement for a variety of crops and livestock according to geographic and climatic parameters, supporting advisors and farmers in assessing the amount of water necessary for the irrigation system. This prevents excessive pumping as well as insufficient irrigation.
Local data on crop water needs, monthly precipitation, surface water bodies and ground water aquifer systems, on water licensing and abstraction rights, and water source flow rates; resources provided (for example, by the FAO).
Excessive pumping can lead to groundwater depletion. This means that groundwater is extracted at a rate faster than it can be replenished. Aquifer depletion can lead to loss of ecosystems and wetlands, increased greenhouse gas emissions, land subsidence and social conflicts with other water users. Any SPIS development must therefore be integrated into the prevailing legal and regulatory frameworks and into the local water/groundwater management planning and monitoring.
The Market Assessment Tool considers basic geophysical parameters and provides guidelines and weights to evaluate parameters that inform an enabling business environment for SPIS. The Market Assessment Tool aims to provide information conducting market potential assessments for solar powered irrigation systems within a country or region. It provides parameters for consideration that may be applied by varying stakeholders (including private SPIS companies, policy-makers, financial institutions and development practitioners) in assessing the market potential of SPIS. Parameters used to assess the market potential include geophysical parameters such as solar irradiation, precipitation, land cover and use, and business environment parameters (such as Government Interventions, Development Organization Interventions, Financing, Availability and Cost of Alternative Fuels, Technical Capacity, Awareness of Solar PV Technology, Significance of Agriculture in the Local Economy, Land Access and Tenure, Transport and Communication Infrastructure).
Accurate data on precipitation, land cover and use, and solar irradiation; ground truthing
Identification of target markets for SPIS involves the evaluation of numerous parameters. These may include various geo-physical and business environment parameters. For stakeholders who do not have a set target market in mind or who merely want a high-level overview of potential areas where systems could be set up or utilized, this could prove to be a daunting and time-consuming task.
In assessing market potential for SPIS, stakeholders need to assess the irrigation viability of their target location from a land cover-land use perspective. It is always important to follow up desktop analysis of landcover with actual on the ground visits to the selected areas.
Set up of solar panels in regions of low solar radiation could lead to high set up costs resulting from the use of a greater number of panels. Because of technological advances, solar irradiation is more of an economic consideration than a question of technical feasibility.
The Payback Tool allows for a comparative assessment between income and three different irrigation pumping options. Information required for using this tool includes investment and operational costs for the different pumping systems, anticipated income from agricultural production, and basic economic conditions (e.g. inflation rate). Even when the profitability of the farming enterprise is confirmed, however, this does not automatically imply that an investment into an SPIS is the most sensible choice. This is especially true if other pumping technologies are readily available on the market. A Diesel or Grid-connected eletric pump might be more feasible where water pumping is only required for a limited time per year. The INVEST – Payback Tool considers and compares solar powered irrigation systems with other pumping technologies. Basic data is collected from technology suppliers and the payback period against the farm profit and the different technologies is automatically calculated.
Availability of data on the project/SPIS functional lifetime, capital expenditures / initial capital investment for solar and alternative options, market prices, operating and maintenance costs, macroeconomic variables, tax policies; further advice of financial experts
All calculations need to be based on prices which can be determined but also on estimates and assumptions. They will have to consider the current situation and future scenarios and should compare options for alternative pumping systems (electric, diesel). Different scenarios should be elaborated before taking a decision.
The Pump Sizing Tool allows for the calculation of the pumping head, the required solar PV module capacity, and selects suitable pump technologies. The DESIGN – Pump Sizing Tool helps design the irrigation system so as to ensure that as little pressure as possible is lost in the system. In addition, it serves as a checklist to identify pressure losses, e.g. due to leaks in an existing system.
Technical support of farmers during the planning phase; data on the daily crop water requirement, mean daily global solar radiation for the design month, country-specific costs of PV panel & pump; availability of financing options
Proper sizing of the components of an SPIS is critical, since an SPIS with insufficient capacity will not satisfy the farmers’ needs and an over dimensioned system will induce unnecessary operation and capital costs. Negligence of the sustainable water yield of water sources may result in water shortage and a depletion of water resources, thus having negative impacts on the farm budget and the environment. It is therefore very important to be in close contact with the farmer during the planning phase and to inform him about the advantages and limits of SPIS.
The final design of the PV pump and irrigation system should be left to experienced system integrators who use computer-based system sizing and simulation tools such as COMPASS, WinCAPS and PVSYST, HydroCALC, GESTAR.
Farmers can access training and water user associations to develop irrigation and farming capacity.
High participation rate from farmers
Technical capacities are improved
Training and water use association to develop irrigation and farming capacity
Scaling up the technology and achieving system-level outcomes requires an adequate understanding of the reasons why farmers adopt MRB, based on an insightful assessment of the technology’s efficiency, system performance and impacts.
Through improved agronomic practices, farmers can learn how to cultivate improved crop varieties and obtain higher yield using less irrigation water in a sustainable manor.
Improved crop varieties and agronomic practices
Enabling policy environment for long-term interest in this solution
Reasonable and timely access to the raised-bed machines
High yielding varieties in addition to proper extension and advisory services
MRB combined with the increase of yields, results in the realization of more income with fewer expenses, thus a higher net income. Thus, improving the existing farming system using the communities' indigenous knowledge and skills through innovative approaches is much better than introducing new systems.
