How much can solar save you, and how long until it pays back?

See how much your plant can save with solar, and how fast it pays back for farms, factories, warehouses, offices, Gauteng plants, office parks, shopping centres, plants and Gauteng businesses.

Short answer

Solar saves money on every kWh your plant uses while the sun is up. Payback depends on how well your daytime load matches solar production, your tariff, the system cost and tax treatment. We calculate it for your specific plant from your own bills. If capital is a constraint, ask us about PPAs, leasing or purchase options.

What drives your saving

Four factors determine your plant’s savings and payback:

Daytime load match

Size the array to your daytime base load. Exported power earns far less than the tariff you avoid, and some municipalities require zero export.

Tariff structure

On time-of-use tariffs (e.g. Eskom Megaflex, City Power TOU), solar offsets peak and standard-period energy. A battery can also cut demand (kVA) charges.

System cost and tax

Roof type, mounting, inverters, storage and grid-connection work. Tax incentives for renewable energy may apply. Check the current rules with your tax adviser.

Escalation, degradation and maintenance

Larger annual tariff increases shorten payback. Panels lose a little output each year, and maintenance has a cost.

The method: how we calculate payback

  1. Gather 12 months of bills or interval-meter data, plus your tariff name.
  2. Build the load profile: kWh by hour and by time-of-use period.
  3. Size the PV (and any battery) to the daytime base load.
  4. Model annual yield (kWh per kWp per year for the site’s orientation and tilt).
  5. Year-1 saving = self-consumed kWh × avoided tariff (by time-of-use period) + any demand-charge saving − maintenance.
  6. Simple payback = net installed cost (after any tax benefit) ÷ year-1 saving. A fuller model adds escalation and degradation year by year.
Commercial and industrial solar installation

Worked Example (illustrative only)

InputExample value
System sizeExample: 200 kWp
Annual yieldExample: 200 kWp × 1,600 kWh/kWp = 320,000 kWh
Share self-consumedExample: 95% → 304,000 kWh
Average avoided tariffExample: R2.00/kWh
Year-1 savingExample: ≈ R608,000
Installed costExample: R2.4 m
Simple payback (no tax benefit, no escalation)Example: ≈ 3.9 years

Example figures only, to show the arithmetic. Your plant’s numbers will differ.

What we need from you for an estimate

  • 12 months of electricity bills (or interval-meter data)
  • Your tariff name
  • The site address or roof drawings
  • Your operating hours and shifts
Industrial solar

Frequently asked questions

What’s the typical payback for factory solar in South Africa?

It depends mainly on daytime load match, tariff and system cost, so we calculate it for each plant from its own bills.

Do I need batteries?

Not usually for savings alone. Batteries make sense for peak and demand-charge reduction or backup. See battery energy storage (BESS).

Can I sell excess power back?

It depends on the municipality. City Power requires zero export until feed-in approval is in place, and Ekurhuleni requires a 4-quadrant meter. See SSEG applications.

What if I can’t fund the capital cost?
How big a system can my roof take?

A site assessment confirms usable roof area and structural capacity.

Get a payback estimate for your factory

Send us your bills and tariff details and we will model your plant’s savings and payback.

Request a payback estimate or call 082 464 2531.

Get a payback estimate for your factory

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