Page 10 - Energize October 2021

NEWS

How to understand and compare solar proposals

Energy expert and MD of Oragen Energy, Johan Cilliers, shares some insight into what consumers
who want to invest in a solar PV system, should look out for.

Things to consider before signing on the dotted line. 5. Project schedule
From the time that you accept and sign the proposal until the
1. Size and high-level explanation of the proposed solar system. solar system is commissioned (up and running) can take several
The size of the solar system is based on the number of solar panels weeks. A project schedule normally includes a timeline for design,
and is normally expressed in kW or MW in the case of larger systems. development, project kick-off date, site set-up and installation.
An average three-bedroom house might require between 3 - 10 kW Depending on the size of the project, it can take from as little as two
of solar, depending on the energy consumption and appliances in the to three days to several weeks for larger projects.
house. The proposal should include the total amount of energy that
the system will generate in kWh, as well as an illustration of where the 6. Project electricity rates (tariffs)
system would be installed. A solar company will be able to show electricity saving (or avoided
cost of electricity) based on your electricity bill from the body
2. Main components of a solar system corporate, municipality or Eskom. To do this, the solar company as
The system will consist of PV panels and an inverter to convert DC from a minimum, normally needs 6 to 12 months of electricity bills to
the panels to AC for your appliances. A battery would be useful to tide determine your consumption and what type of tariff you are on. The
you over periods of load shedding; a charge controller manages the solar company needs to take all of these into account to determine
charge and discharge rates of your battery and the balance of system what the saving will be if you invest in a solar plant.
will include DC/AC disconnects, combiner boxes, circuit breakers,
fuses, rapid shutdowns (fireman’s switch), surge devices, among other 7. Investment Analysis
components which may vary from system to system. A full list of For larger installations a solar company should include a cumulative
components should be included in your proposal cash flow analysis over a 10 or 20-year period in their proposal. Solar
project investments normally have a fast return during the early
3. Warranties and guaranties years of operations and taper off toward the end of the period. A
A proposal should include two types of warranties. Firstly, the cumulative cash flow analysis will show how quickly you will get your
manufacturer warranties for the main equipment, i.e., solar PV panels, money back on your investment.
battery and inverter. Secondly, you need warranties and guarantees
from the solar company: a workmanship warranty, plant production 8. Payment terms
guarantee, and an Electrical Certificate of Compliance, and in some Be clear on the payment terms and milestone dates before your
cases monitoring and maintenance commit. Many solar companies only purchase the main equipment
when the customer signs the proposal and would need a fair size of
4. Project description the installation costs to be paid upfront, especially for residential
The proposal should clearly indicate what is included, i.e., design, solar systems.
all the above-mentioned components, SSEG (a system connected to
the wiring on your premises which is connected to the distribution A more complete explanation can be
network), mounting structures, cables, breakers, cable trays, logistics found by clicking here
and installation, insurance, trenching, etc. It should also outline what is
excluded, i.e., structural sign-off, roof structure repair, water proofing
(beforehand), replacement of roof (in the case of asbestos roofs, etc.). About Oragen Energy
A good solar company will also include clear and well-defined terms Oragen Energy is one of the leading providers of fully
and conditions in the proposal. integrated energy solutions in South Africa. It is backed by its
parent company, Dartcom, a proudly Level 1 B-BBEE company
with 42 years of experience. When it comes to selecting an
alternative energy solution there is no one-size fits all product
which will exactly meet every customer’s needs. Oragen offers
quality-driven, customer energy needs analyses, consultation,
design, engineering, installation, and commissioning of fit-for-
purpose energy solutions. There are also flexible ownership
options, including an outright purchase, or financial solutions
based on a power purchase agreement (PPA) or capacity
charge agreement (CCA) over an agreed period, ranging from
10 to 20 years.

Contact Johan Cilliers, Oragen Energy, Phone 012 345-7530,
info@oragen.co.za

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