What are Dairy Farms Paying for Electricity?
A 1998 study by Gary Frank and Jenny Vanderlin, Milk Production Costs in 1998 on Selected Wisconsin Dairy Farms
(http://cdp.wisc.edu) indicated that Dairy farmers are among the highest users of energy in the farm sector . Energy costs
per cow have been estimated by the Center for Dairy Profitability in a 1998 study on Wisconsin dairy farms. The following
table provides a break down of milk production income per cow verses the utility costs per cow, based on herd size
categories.
|
Net Farm Herd Size |
Total Costs |
Utilities cost per cow |
|||
| Income/cow | Average/cow | Average | Maximum | Minimum | |
| 50 cows or less | $694 | $2,577 | $71.11 | $191.73 | $10.78 |
| 51 to 75 | $800 | $2,714 | $67.95 | $185.25 | $19.03 |
| 76 to 100 | $862 | $2,860 | $66.94 | $129.74 | $27.24 |
| 101 to 150 | $742 | $2,990 | $65.02 | $106.86 | $23.77 |
| 151 to 250 | $631 | $2,977 | $54.35 | $106.86 | $32.13 |
| More than 250 | $607 | $3,346 | $49.24 | $100.48 | $10.33 |
In Wisconsin, 89% of the herds are under the 100-cow total herd size. This size category has the highest utility costs per
cow on average. Utility costs average between 0.3% and 7.4% percent of total costs per cow across the herd size
categories. An effective public benefits program could be designed to assist farmers in lowering utility costs per cow. This
program should include funding for energy audits, rewiring programs, motor upgrades and education on energy
conservation. Other livestock and grain farmers also could benefit from such a program. Maintaining the vitality of the
agriculture sector of Wisconsin, the largest single section of the economy, ensures benefits for all people of the state.