AG Energy Outlook
The rising demand for fossil fuel based energy, as well as the accompanying rise in energy costs, is predicted to continue at a rate of 2 percent per year for the next 25 years. That means by 2030, use of coal will increase 53 percent, petroleum usage will rise 34 percent, and natural gas consumption will increase by 20 percent.

Agricultural producers will remain among the largest seasonal fuel consumers in the United States and face significantly increased operating expenses due to the inflated cost of energy. The extraordinary prices of gasoline, diesel fuel, natural gas and petroleum-derived input products such as fertilizer, chemicals and propane will continue to be an economic burden for rural America.

But unlike most businesses, farmers will be unable to cover increased operating costs because they cannot set prices for their products. However, suppliers will certainly be passing along their cost increases to them. Conversion to renewable energy resources like the sun and wind will be key to sustaining profitability.

Environmental Concerns
The rising demand for fossil fuels presages increased concern about greenhouse gases and their effect on the world climate and environment. Some sources estimate that livestock farms are a bigger contributor to global warming than automobile emissions.

Farmers pride themselves on their stewardship of the land, and no one is more connected to it than they are. Global warming concerns resulting from greenhouse gases are yet another reason why converting to renewable-energy solutions makes sense for American agricultural producers.

Carbon Credits
Today farmers have increased opportunity to participate in economic incentive programs that reward the reduction of pollution emissions. By reducing pollution emissions under expected levels, producers can earn carbon credits. These credits can then be sold to businesses that exceed their allotted emissions. Earned carbon credits can be traded much like any other agricultural commodity, and with the energy outlook looking toward more fossil fuel consumption and the resulting emissions, producers have a real opportunity to cash in.

Energy Independence
Imagine running an operation or a household completely on solar and wind power, and being completely unaffected by the volatile prices of the world energy market. It may seem like an unattainable dream, but the more we use renewable energy resources the less dependent America will be on foreign oil. Farmers now have the opportunity to exercise their own independence and lead the way for the entire country.