Access to milk chilling tech a boost for farmers
A project dubbed Pay-As-You-Save (PAUS) will make it easier for Fonterra farmers to access next generation milk chilling technology and enjoy the benefits that come with it.
Milk chilling systems are critical in ensuring milk gets to the required temperature of 6°C or below within two hours of milking, but the units represent a significant capital investment for farmers and can become increasingly costly as they age. Older units also use Hydrofluorocarbons (HFCs), which is a coolant gas that is being phased down in New Zealand and across the globe and are much more limited in terms of their technology and features.
The PAUS initiative, launched in November, offers Fonterra farmers the option to lease new cutting-edge systems rather than having to purchase them as they’ve typically done in the past. Benefits for farmers and the environment, include:
• Hassle-free maintenance: full servicing of the chilling units overseen by Cool Group as part of the lease agreement.
• Cost effective: farmers have lease payments deducted from their monthly milk cheque from Fonterra, with the option to extend the lease when it rolls over or buy the unit at any point.
• Electricity savings: the units generate hot water, unlike most existing systems where heat is wasted. Farmers can use this for cleaning the milking shed and make significant savings on their electricity bill. This feature, combined with system efficiencies, mean Dairy Shed power consumption can be reduced by up to 30 per cent on average.
• Reduced emissions: the leased units use fourth generation refrigerants instead of HFCs. They have shown a reduction in CO2e of up to 80 per cent compared to older systems.
• Milk quality benefits: milk snap chilling to 6°C or below to comply with milk chilling regulations. Older systems can struggle to achieve this, particularly as they age.
• Improved technology: the units deliver transparent data and allow real-time remote monitoring.
“After years of wrestling with rising repair costs and aging chilling systems, the PAUS initiative will be a game-changer for Fonterra suppliers like me,” says Timaru farmer Bruce Murphy, who has been an early adopter of the technology.
“The hassle-free nature of the scheme means I have more time to do other things on the farm and its leasing model eases the financial burden. The benefits of extra hot water, lower power bills and the environmental aspects really help sustainable farming and improve milk quality.”
Anne Douglas, Group Director of
Fonterra Farm Source, says the cooperative was keen to be involved given the project brings both short and longterm benefits.
She said it delivered value to Fonterra farmers through improved efficiencies while also helping lower on-farm emissions.
“It’s an exclusive deal that we can offer in large part because of the scale of our co-operative and strength of our partnerships.”
PAUS has been set up as a subsidiary of Cool Group, a New Zealand-owned and operated company whose other subsidiary, Coolsense, is an Original Equipment Manufacturer (OEM) specialising in commercial and industrial chilling systems.