Renewable energy and rural economies are often talked about in a “love and marriage” sort of way: you can’t have one without the…OTHer. For instance, rural, agriculture-based economies can be dependable sources of wind power, biomass energy, and biofuels – but how much can we really squeeze out of America’s farmers, ranchers, and foresters?

A University of Tennessee study examined the impacts of agriculture and forestry contributing to a national goal of getting 25 percent of our energy from renewable sources by the year 2025, without compromising the quantity or quality of food, feed, and fiber.

The study examined two scenarios. 1) The impacts of producing 25 percent of America’s electricity and transportation fuels from renewable resources (using wind, solar, etc in addition to biomass and biofuels) and 2) How agriculture and forestry exclusively could supply 25 percent of America’s total energy. Here a few of the key findings of the second scenario:

* The projected annual impact on the nation from producing and converting crops into energy would be more than $700 billion in economic activity and 5.1 million jobs in 2025, most of that in rural areas.

* With a goal of producing 25 percent of our energy from renewable sources by the year 2025, the total addition to net farm income could reach $180 billion, as the market rewards growers for producing clean energy. In 2025 alone, net farm income would increase by $37 billion compared with U.S. Department of Agriculture’s projections.

* Higher market prices means saving government payments in the neighborhood of $15 billion.

Note: These numbers assume continued advancement in technology and significant shifts in crop patters. This study was funded by the 25 x ’25 Steering Committee, the Energy Future Coalition, and the Energy Foundation.

University of Tennessee: 25% renewable energy by the year 2025: Agricultural and economic impacts

Renewable Energy Access: Renewable energy roadmap: Rural America can prosper