DairyTalk 372: The Biogas Economy Trap: When Climate Gains Bypass the Farmer - by Helmut Demmelhuber

This episode draws on a technical article examining the economics
of renewable natural gas projects on dairy farms. The analysis
shows that operating costs often exceed revenues from gas sales,
making profitability dependent on environmental credits and
policy incentives. In many cases, long-term agreements transfer
the ownership of these credits to external developers, while
farmers retain capital exposure and operational risk. The article
evaluates how contract design redistributes value and highlights
the importance of floor pricing and credit participation. It also
outlines a practical framework for calculating the true
profitability gap and negotiating stronger positions with
processors and investors. With comments on a "The
Bullvine"-article (April 11th, 2026) by Andrew Hunt:
https://www.thebullvine.com