| Summary: | Although cow manure is a valuable natural fertilizer, it is also a source of extreme greenhouse gas emissions, mainly methane. For this reason, this study aims to determine the impact of investments in a biogas plant on the energy and economic aspects of the operation of a dairy farm. A farm with a breeding size of 600 livestock units (LSU) was adopted for the analysis. In order to reach the paper’s aim, the analysis of two different scenarios of dairy farm functioning (conventional–only milk production, and modern–with biogas plant exploitation) was conducted. The analysis showed that the investment in biogas plant operations at a dairy farm and in using cow manure as one of the main substrates is a more profitable scenario compared to traditional dairy farming. Taking into account the actual Polish subsidies for electricity produced by small biogas plants, the scenario with a functioning biogas plant with a capacity of 500 kW brings €332,000/a more profit compared to the conventional scenario, even when taking into account additional costs, including the purchase of straw to ensure a continuous operation of the installation. Besides, in the traditional scenario, building a biogas plant allows for an almost complete reduction of greenhouse gas emissions during manure storage.
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