By investing in solar for your home or business, what you would have spent on grid electricity now goes towards funding your solar investment and boosting the value of your own property asset. Right now, solar delivers between an 18-25% return on investment each year based on electricity savings, far outstripping any other investment vehicle where you could place your money.
Consider this financial model of a 3.3kWh grid-tie solar PV system and a 200-litre solar geyser for a 4-person family household with an electricity bill of R2000 per month at a rate of R1,85/kWh:
Total cost of investment: R75 000
– 3,3KW Solis grid tie PV system: R54 000 incl Vat & installation
– 200-litre Kwikot Solar geyser: R21 000 incl Vat & installation
Expected Savings from 200l Solar Geyser:
Average electrical consumption of geyser: 15kWh per day
Expected solar saving on electrical geyser: 70%
Total expected monthly saving: R583/pm (15kwh x 70% x R1.85/kWh x 30 days =315kWh/pm)
Expected Savings from 3,3 kW PV system:
Power generation per day: 15kWh per day
Power generation per month: 450kWh per month
Total expected monthly saving: R832/pm (450 kWh per month x R1.85 per kWh)
Expected combined Savings per month: R1415 per month – equivalent to 70% of current bill (765kWh saved per month)
Return on investment:
Total expected savings year 1: R16 697
Total investment: R75 000
Return on investment year 1: 23%
Savings based on an annual 10% escalation on the electricity price every year:
Year 2 savings: R18 727 (R1561/pm)
Year 3 savings: R20 655 (R1721/pm) *solar investment fully pays for itself in 3.6 years
Year 4 savings: R22 766 (R1897/pm)
Year 5 savings: R25 062 (R2088/pm)
10 yrs cumulative savings: R280 000
Without any intervention, today’ R2000 electricity bill will cost R383 000 over 10 years. By going with the above solar solution, this family will save a huge R280 000.
*All calculations are an approximation based on a R2000 per month electrical bill for an average family of four. Each case will have some variation based on the particular parameters of each house.
Solar Finance sorted
One Energy offers competitive monthly finance options. With every Eskom increase that comes each year, you’ll be saving more and more and protecting your pocket against the impact of hyperinflationary increases. So, instead of paying exorbitant electricity bills for absolutely no return, you’ll be investing your money into your new resources, saving thousands over the long term and increasing your property value. Talk to us about our competitive finance solutions.