Energy is a major operational expense for many UK farms, particularly those using machinery, irrigation, heating, refrigeration, livestock housing or automated feeding systems. Whether operating arable, dairy, poultry, pig, horticultural or mixed farming, energy costs vary widely depending on farm size, activity type, season, and use of specialist equipment. Farms increasingly rely on both electricity and gas (or LPG/diesel/heating oil) to power their operations and maintain animal welfare standards.
Typical monthly farm energy usage
| Farm type | Electricity (kWh/month) | Gas/LPG/oil (kWh/month) |
|---|---|---|
| Small arable or mixed farm | 1,500–4,000 | 1,000–3,000 |
| Medium livestock or dairy farm | 4,500–9,000 | 3,500–9,000 |
| Large poultry, pig or horticulture farm | 10,000–25,000+ | 10,000–30,000+ |
Livestock farms, especially dairy, pig and poultry units, consume significantly more energy due to heating, ventilation, refrigeration and water systems. Arable farms tend to have lower usage but may see seasonal peaks during grain drying or irrigation.
Estimated monthly farm energy cost ranges
A medium livestock or dairy farm usually spends between £1,485 and £3,150 per month on total energy costs. This includes both electricity for milking equipment, pumps and refrigeration, and gas or LPG for heating livestock buildings and water.
| Farm size/type | Electricity cost | Gas/LPG/oil cost | Total monthly energy cost |
|---|---|---|---|
| Small farm | £390–£1,040 | £110–£390 | £500–£1,430 |
| Medium dairy or livestock farm | £1,170–£2,340 | £315–£810 | £1,485–£3,150 |
| Large poultry, pig or horticulture unit | £2,600–£6,500+ | £900–£2,700+ | £3,500–£9,200+ |
Costs include standing charges and typical LPG or oil usage where mains gas is unavailable. poultry farms using infrared heating or brooding lamps may exceed these figures during winter.
Which farming operations use the most energy?
| Activity or system | Electricity (kWh/month) | Gas/LPG/oil (kWh/month) |
|---|---|---|
| Livestock heating (pig/poultry houses, calf sheds) | 400–2,000 | 3,000–12,000 |
| Refrigeration (milk tanks, cold stores) | 500–3,500 | N/A |
| Milking parlours & pumping | 400–1,800 | N/A |
| Irrigation and borehole pumping | 300–2,000 | N/A |
| Grain drying | 500–2,500 | 2,000–10,000 |
| Ventilation and humidity control | 300–3,000 | N/A |
| Lighting for agricultural buildings | 250–1,200 | N/A |
| Greenhouse or polytunnel heating | 800–4,000 | 3,000–15,000 |
| Office, accommodation and welfare | 200–800 | 200–600 |
Heat-intensive livestock and horticulture units account for the highest combined electricity and fuel costs.
Key drivers of farm energy costs
Livestock housing and welfare
Heating, ventilation and lighting for poultry, pig and calf units are major contributors, with temperature control needed year-round.
Seasonality
Heating costs rise sharply in winter, while electricity peaks in summer months for irrigation, milking cooling and ventilation.
Fuel type
Rural farms often use LPG or heating oil instead of mains gas, costing 15–30% more per kWh.
Equipment age
Older milking machines, grain dryers and ventilators may use 20–40% more energy than modern energy-efficient models.
Automation and technology
Smart farming, robotics, climate control and electric machinery increase electricity demand but can improve production efficiency.
Seasonal impact on energy costs
| Season | Typical increase | Main reason |
|---|---|---|
| Winter | +30% to +60% | Heating for livestock, greenhouses and workshops |
| Summer | +15% to +35% | Irrigation, refrigeration, ventilation and cooling |
| Autumn harvest | +20% to +40% | Grain drying, machinery energy usage |
| Spring | Baseline | Moderate heating and lighting demand |
How to reduce energy costs on UK farms
| Strategy | Saving potential | Notes |
|---|---|---|
| Install infrared or zoned heating for livestock | 15–30% | Direct heat reduces wasted energy |
| Fix ventilation and slurry pump inefficiencies | 10–25% | Oversized equipment causes energy waste |
| Upgrade milk tank refrigeration systems | 15–25% | Modern units are much more efficient |
| Use LED lighting in sheds and barns | 10–18% | Long operating hours make LEDs cost-effective |
| Invest in solar PV or wind turbines | Up to 40% reduction | Ideal for daytime farm electricity loads |
| Switch to fixed or seasonal energy tariffs | 8–15% | Helps budget during peak seasonal usage |
Why energy management matters for UK farms
Energy can account for between 5% and 18% of total operating costs on UK farms, rising to more than 25% for high-intensity poultry, pig, dairy or horticultural units. Energy-efficient farming improves margins, enhances animal welfare, supports compliance with sustainability goals, and reduces reliance on volatile fuel markets.
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FAQ
A medium livestock or dairy farm usually spends between £1,485 and £3,150 per month on total energy costs. This includes both electricity for milking equipment, pumps and refrigeration, and gas or LPG for heating livestock buildings and water.
A small arable or mixed farm typically uses between 1,500 and 4,000 kWh of electricity each month. This covers lighting, pumping, refrigeration and machinery. At an average rate of 26p per kWh, electricity costs range from around £390 to £1,040 per month.
Most livestock and poultry farms spend more on heating fuels such as LPG, oil or gas, especially in winter. Dairy and arable farms often spend more on electricity due to pumping, milking, refrigeration and machinery.
Heating poultry or pig housing, milk chilling, grain drying, greenhouse heating and ventilation systems are among the highest energy users. Heating alone can consume more than 10,000 kWh of fuel per month during winter on intensive farms.
Large poultry or pig farms may use between 10,000 and 30,000+ kWh of gas or LPG monthly for heating, brooding and climate management. This often costs £900 to £2,700+ depending on tariff and weather conditions.
Yes. Energy bills can be reduced by 10% to 25% by zoning heating in livestock buildings, installing LED lighting, improving insulation in sheds, sealing draughts and conducting regular maintenance on pumps, fans and refrigeration systems.
Winter energy bills can increase by 30% to 60% due to increased heating demands for livestock housing, greenhouses and workshops. Rural farms using LPG or heating oil may see higher price spikes due to fuel delivery costs.
Yes. Solar PV and wind turbines can offset up to 40% of electricity costs, especially for farms with high daytime energy usage. Some farms also benefit from biomass boilers, biogas units and heat recovery systems.
Energy typically represents 5% to 18% of farm operating costs. In heating-intensive sectors such as poultry, pig or horticulture, this can exceed 25%, especially during colder months.
Yes. Fixed or seasonal energy tariffs help farms manage budget fluctuations and protect against rising fuel prices. Many farms benefit from dual fuel contracts and tariffs designed specifically for agricultural premises.