Heifer International, Ministry of Energy introduce solar energy solutions to dairy sector

UGANDA – Heifer International, in collaboration with the Ministry of Energy, has embarked on a project to provide solar energy solutions to dairy cooperatives reliant on diesel generators to tackle the operational costs incurred by dairy farmers in Uganda’s dairy sector.

The project, supported by Solar for Sustainable Income in Diary (SSID) through the Powering Renewable Energy Opportunities (PREO) program, aims to install solar photovoltaic systems in dairy cooperatives in Kiboga and Sembabule districts.

According to William Matovu, Country Director of Heifer International, the initiative is set to address the significant operational costs faced by dairy cooperatives, with many spending up to 40% of their total operational expenses on fuel and generator maintenance.

“Chilling milk is one of the value addition steps that farmers in the dairy sector have to practice on a daily basis in order to protect the milk from going bad,” he said.

By transitioning to solar energy to power milk chilling plants, the initiative seeks to reduce milk losses and operational costs significantly.

“Although some farmers have access to reliable electricity, the majority depend on either diesel or petrol generators to chill the milk, in the process, spending about sh300,000 per day to service the generators.”

He added that the reliance on diesel generators not only increases costs but also contributes to unreliable energy sources, resulting in power outages and reduced milk quality.

Over the past 12 years, Matovu noted that Heifer International has supported over 87 dairy producer organizations and installed more than 244 milk collection centers across Uganda.

However, approximately 197 of these centers operate solely on diesel generators, exacerbating operational challenges and reducing profit margins.

“They rely on generators and spend as much as 40% of their total operational costs on fuel and maintenance of generators. With the rising fuel prices, the cost of operation has increased by over 50%, drastically reducing the profit margins,” he added.

An exemplary case is the Dwaniro Dairy and Livestock Farmers Cooperative Limited, where milk losses at the Migina Milk Collection Centre have been reduced to zero.

With 197,321 liters of milk chilled monthly, the cooperative has slashed power costs from US$36,450 to US$18,170 annually, enabling farmers to save up to 46% of their earnings from milk sales.

In addition, Matovu emphasized the potential impact of the project, envisioning increased procurement volumes, higher milk quality, and greater revenues for processors, producer organizations, and farmers.

Furthermore, the initiative aims to reduce cooperatives’ operating costs by 30% and decrease carbon emissions from generators by 90%.

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