High electricity prices creating headaches for SA irrigators

Earlier this month the Default Market Offer from the Australian Energy Regulator projected power prices highlighted power prices were set to rise by up to 22 per cent in SA from 1 July.

South Australian Council of Social Service chief executive officer Ross Womersley said the rise in power prices would lead to South Australians spending a large percentage of their budget and would be felt by many.

"Ultimately energy prices continue to rise, and this means South Australians will continue to spend more of their budgets on ensuring they have an essential service," he said. "The impact of ongoing rising energy costs is felt most acutely by those South Australians who can least afford it."

Paringa almond farmer Drew Martin said the rise in electricity prices was a particular concern for the horticulture industry.

"All the horticulture industries are really under the hammer at the moment, as far as commodity prices go," he said.

"Fertiliser prices are through the roof, diesel prices are through the roof and now electricity prices."

The cost of living across SA was rapidly rising, as the margins for growers are tested, Mr Martin said.

"Growers are price takers and not price makers, so our margins are just getting completely squeezed," he said.

"Even for almond growers that have had quite a good time for the last few years, they're not going to make a profit this year.

"I just think energy prices is just one of those areas in Australia that we shouldn't really be paying at a high cost."

A particular struggle faced by many irrigators is the ability to save water and electricity, Mr Martin said.

"We've all been told to save water and use water wisely, so the way they set up now as the best way to do that, is to irrigate small amounts every day," he said.

"The flip side of not wasting water sometimes is actually using more energy.

"We're trying to be efficient irrigators to save water, but that's not gonna save any electricity."

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To battle the rising energy prices Mount Compass dairyfarmer Perrin Hicks designed a solar shade in 2019 and said he had experienced multiple benefits from the invention.

"Because my dairy was pretty old, there was silos shading the roof and the hay shed's not much better and no one would put solar panels on the roof of our dairy," he said.

"Obviously as dairy is a big user of electricity, with hot water and milk cooling, it was something that we needed to do, especially with the rising costs.

"With nowhere else to put the panels on, I designed a frame to hold them up over the yards, so I'll get two benefits. I'll save electricity, but offsetting with (solar) PV and the cows will get to stand under the shade."

Mr Hicks said he had been spending approximately $80 an hour on irrigation.

"If you're using a 20 kilowatt pump and it's costing you 40 cents a kilowatt to put power in, then it's costing you $8 an hour," he said.

"When you've got nine irrigation pumps going, that's $80 an hour."

SA Murray Irrigators chair Caren Martin said many people were looking to different initiatives to combat the rising electricity prices.

"Most people have been getting on with these things themselves, solar-powered pumps are a thing now and a lot of our farming groups have invested in on-site generation," she said.

"We can't rely on the grid to be reliable."