Cost-Saving Power

Fueling profit growth with propane-powered irrigation

Published in the February 2015 Issue Published online: Feb 28, 2015 Irrigation Cinch Munson, Director of Agriculture Business Development, Propane Education & Research Council
Viewed 2519 time(s)

Irrigation is one of the most energy-intensive farming operations, and diesel has long been the fuel of choice for growers. However, with fluctuating fuel prices and increasingly strict emissions standards, many growers are finding an attractive alternative option—with propane.

Propane is approved by the Clean Air Act as an alternative fuel, and it is already a trusted and reliable fuel source for growers. Propane is used on nearly 40 percent of the nation’s farms to power a variety of applications, so it’s no surprise that growers are looking to new generations of propane-powered engines for their irrigation needs. New engines from trusted manufacturers such as Ford and GM, and companies like Origin Engines, PSI and SRC Power Systems, provide performance to rival that of conventional engines while cutting operating costs and reducing harmful emissions.

If you haven’t explored propane-powered irrigation for your agribusiness lately, here are five reasons why you should give propane another look.


Growing Your Bottom Line

With volatile fuel prices and increasing input costs, growers always need to keep an eye on bottom-line expenses. Propane irrigation provides a cost-efficient solution when compared with conventional fuels.

When the EPA tightened emissions regulations in 2004, diesel engine manufacturers racked up huge expenses to develop technology that complied with new Tier 4 standards. For growers, that meant sharp price increases for EPA-certified diesel engines.

The good news is that EPA-certified propane irrigation engines typically cost less up front than their diesel counterparts and over time cost less to operate. A two-year study from the University of Nebraska found that growers can save as much as $8,000 annually with a new propane engine versus a similar diesel engine.
Propane is also a clean fuel, which means fewer engine deposits and particulate matter. Cleaner engines translate to additional savings for growers. Propane engines are reliable, and many producers find them to have a longer life span than diesel engines.


Proven Efficiency and Performance

As emissions standards became more strict, the Propane Education & Research Council (PERC) saw the need for engine options that help farmers become more efficient and cost-effective. Propane irrigation has been around for a long time, but we saw an opportunity to improve the technology.

In 2010, PERC began working with the nation’s top manufacturers to develop more than 20 new generations of propane engines, which are available to producers in all 50 states. New propane engines are available in a variety of sizes, from capacities of 4.3 liters up to 22 liters.

New spark-ignited propane engines feature closed-loop fuel controls that keep them running at peak load efficiency. This optimizes fuel use without sacrificing horsepower or performance. Modern propane engines consume about 1.6 gallons of propane to generate the same power as 1 gallon of diesel. With the differences in fuel costs, this results in a net savings to operate the engine.


Maximizing Savings with Propane Incentives

PERC offers opportunities for growers to accelerate their savings through the Propane Farm Incentive Program. Funded by sales of propane nationwide, the research program offers growers $400 per liter of fuel displacement, up to a maximum of $5,000, toward the purchase of propane irrigation engines. In exchange, growers provide performance data and feedback for one growing season. PERC uses that data to further improve propane technologies to benefit agribusinesses nationwide.

Post-season survey data from the 2013 program shows that growers are saving up to 56 percent on fuel costs by switching to propane irrigation. In addition, they love the simplicity and power of the new generation of propane engines. Nearly 96 percent of 2013 Propane Farm Incentive Program participants rated the performance of their new propane engine as either a 4 or a 5 on a five-point scale. In addition, 96 percent said they would recommend propane irrigation engines to other producers.

In addition to the Propane Farm Incentive Program, some states offer additional incentive programs for propane irrigation and other farm equipment. Check with your state propane gas association to learn if you may be eligible for additional incentives. For more information about the Propane Farm Incentive Program, visit propane.com/farmincentive.


Alternative Fuel Advantages

Investing in propane irrigation not only means more green in growers’ pockets, but it benefits for the environment as well. The new propane engines are available with EPA and CARB certifications, and the engines cost less than Tier 4-compliant diesel engines. Propane-powered engines produce up to 24 percent less greenhouse gas emissions than comparable gasoline engines and 11 percent less GHG emissions than diesel engines.

Propane is also an abundant, domestically produced alternative fuel, which helps keep prices low. With nearly 90 percent of American propane supplies coming from the U.S., propane is a cost-efficient solution for growers who want to buy American when it comes to fueling their farms.

 

Optimizing Your ROI

New generations of propane engines can help producers lower their total operating costs without sacrificing performance or power. With PERC’s new Propane Irrigation Engine Cost Calculator, growers can estimate their potential fuel savings and ROI for irrigating with propane in comparison to conventional fuels.

The calculators are available for use either online at propanecostcalculator.com, as desktop tools, or as mobile applications for phones or tablets. By inputting variables such as required horsepower, estimated hours of usage on the engine, and current price per gallon on diesel, growers can easily see the savings with propane as enjoyed hourly, annually, or over a period of up to five years. The mobile apps are available as free downloads in app stores for iOS and Android devices.

 

If you feel that a switch to propane irrigation might be the right decision for you, PERC encourages you to visit propane.com/agriculture for resources, and to locate a propane provider in your area. If you’re already buying propane for other uses on your farm or in your home, you may be able to save even more money with a fuel agreement for a new irrigation engine. On the website, you can find information about available engine brands and models to help you locate an equipment dealer in your area.

Now is the perfect time for growers to revisit propane irrigation and see how new engine technology and clean, American-made energy can help cut costs and grow profits.