Choose right renewable energy supply
START: GET QUOTES FROM THREE SUPPLIERS
The cost of a solar plant varies from R45 000 to R10m – but long-term benefits far outweigh the costs.
Against the backdrop of a weak economy, businesses face further challenges when it comes to sustainable power supply. According to the 2020 CSIR Energy Report, South Africa will likely face an energy shortage for at least the next 18 months.
The reality is that power interruption is hitting small and medium-sized businesses particularly hard. The power outages cause productivity declines, which translate to lost revenue. Renewable energy is a sustainable solution for the future.
For a business to survive and thrive in the years ahead, it is essential to invest in an alternative power solution. Here’s how to choose a renewable energy solution:
Selecting a supplier
The first thing is to search for a reputable supplier. It’s best to choose a solar installer once you’ve reviewed their certifications, licences, track record and reputation in the market.
Wido Schnabel, chair of industry body the SA Photovoltaic Industry Association, says one ideally wants a supplier with a strong South African presence.
“This means you are looking for a company with an office and staff in South Africa so that you know you will have strong after-sales support,” he advises.
Schnabel suggests that you appoint an independent consultant at the outset to guide you through the process. Just as you would before taking your car in for repairs, you should get three quotes from different suppliers before you choose one.
Choosing the right equipment
A holistic renewable energy solution will include solar panels, an inverter, and a battery. Find out what the warranty is on the equipment. Solar panels degrade and become less efficient over time. The equipment usually carries a 25- to 30-year warranty.
The supplier should be able to remotely log on and see how much energy is being produced, check that the inverter is functioning correctly and see if the system has logged any faults. While you don’t need to service the equipment, it will need to be cleaned regularly.
Monitoring your investment outcomes
When you select your supplier or installer, they should start by doing an energy analysis. A power meter is placed into the distribution board to measure the profile of your energy usage. This will tell your installer what your peak loads are, what your permanent loads are and what your daily power usage levels are.
The supplier reviews historical and measured data and satellite data to determine what solar radiation levels you are likely to get. Then the installer can run a simulation to tell you how much energy you are likely to get each month and what your cost-savings benefits are likely to be.
The expected capital cost of a solar plant is linked to the current energy requirements and can vary from R45 000 to in excess of R10 million. However, the long-term benefits in terms of cost-saving and business sustainability far outweigh the upfront costs.
Durham is head of alternative energy solutions at FNB Business