How to Get the Best Solar Panel Quote
With sunny weather year-round, South Africa offers ideal conditions to go solar. But navigating the process of getting accurate solar panel quotes requires some savvy. Follow this guide to find the best deal when installing a PV system on your South African home.
Understanding Quotation on Solar Energy Pricing
As a baseline, research the typical cost per watt to install residential solar power in South Africa. Pricing varies by province and local factors, but generally ranges from R65 – R120 per watt according to the Council for Scientific and Industrial Research.
For a 5kW solar system, that translates to around R325,000 – R600,000 in total turnkey cost before incentives. Recent pricing trends show solar panel and component costs dropping, so newer quotes may reduce these averages.
Checking South African solar energy forums like Go Green or ESASA to see what others in your area paid can also provide a ballpark estimate. This context helps evaluate the competitiveness of quotes.
Get Quotes from Multiple Local Installers
When requesting solar quotes, you should get proposals from at least 3 installers in your province. Getting multiple bids allows you to compare pricing and find the best deal.
Search online for top-rated solar companies in your metro area and compare their offerings. Look for installers who have been in business for 5+ years and have certifications from the South African Photovoltaic Industry Association (SAPVIA) and other bodies.
Check consumer review sites like HelloPeter for ratings from past customers. The most competitive quotes will often come from installers with superior ratings and demonstrated expertise.
Compare Detailed System Designs
Reputable solar installers will provide a detailed system design and quote that includes:
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- Site plan – This shows where all components like panels, inverter, and batteries will be placed around your property.
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- Equipment chosen – Review panel brands, inverter specs, and racking equipment types selected. Look for tier 1 equipment brands for quality assurance.
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- Production estimate – Quotes should project your site-specific annual kilowatt hour production estimate accounting for direction, tilt, shading, etc.
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- Cost breakdown – Get clear line items for panels, racking, inverters, electrical, labor, permits, etc. Watch for hidden fees.
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- Incentives – Your discounts from upfront rebates, tax credits, net metering savings, etc. should be detailed.
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- Electricity bill savings – Quotes should illustrate your return on investment based on offsetting your utility purchases each month.
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- Financing details – Review available financing terms, monthly payments, interest charges, length of loans, and any fees.
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- Warranties and guarantees – Check coverage terms on equipment, installation, production output, etc. Longer warranties typically signify greater confidence.
Thoroughly compare the technical elements of each system design and the cost breakdowns. Get clarification from installers on any unclear aspects.
Consider the Quality and Services
Along with pricing, solar quotes may differ significantly in proposed equipment quality, included services, and installer expertise. Read the fine print! Key factors to assess include:
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- Equipment ratings – Panels and inverters should be certified and backed with at least 10-year product warranties from the manufacturers.
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- Monitoring services – Many providers include production monitoring and alerts when output dips. This helps optimize system performance.
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- Workmanship warranty – Installers should guarantee workmanship for at least 5-10 years in case of defects like leaking roofs.
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- Maintenance plans – Some quotes bundle periodic cleaning and maintenance services for 1-2 years after installation to maximize productivity.
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- Customer service – Check response time guarantees and support contact options like online portals for submitting questions.
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- Company track record – An installer with hundreds or thousands of flawless local installations offers more assurance.
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- Electrician credentials – For complex installs, look for seasoned licensed electricians on staff.
Remember, the cheapest upfront quote may cost you more down the line if equipment fails prematurely or you pay out-of-pocket for repairs.
Financing Options to Reduce Upfront Costs
Coming up with cash to purchase a solar system outright can be challenging. South African providers offer a few options to finance panels over time, including:
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- Solar loans – You can borrow money specifically to purchase a solar system and make payments over 5-10 years. Interest rates are around 8-12%.
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- PPA/Lease – These allow little to no upfront cost and contract you to buy solar energy generated onsite from a third party. But you won’t own the system.
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- Add to home loan – Some homeowners add the cost to their mortgage when constructing or refinancing their home. This provides low-interest financing.
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- Credit card financing – Putting solar on a rewards credit card to earn points can make sense if you pay it off during an intro 0% APR period.
Discuss these alternatives with installers to understand costs and tradeoffs. Financing increases the total spend but may enable you to go solar when cash is limited.
Leverage South Africa’s Solar Incentives
South Africa offers some helpful incentives and rebates for residential solar:
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- Residential Renewable Energy Feed-in Tariff – Eskom pays you for excess solar energy fed into the grid under this program. Rates vary over time.
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- SSEG Rebate – This national rebate covers 15-25% of small-scale solar system costs up to R18,000 for homes under 100 kW.
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- Eskom Rebates – Additional local rebates up to R15,000 are available in some municipalities.
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- VAT Exemption – Solar panels and installation are exempt from the standard 15% VAT.
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- Import Duty Exemption – Importing solar equipment from abroad avoids typical import duties.
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- Low-Interest Rates – The prime rate dropped significantly, providing affordable financing.
Your installer will help you capitalize on every solar incentive available. The savings can be substantial, so make sure rebates are applied and detailed in the quote.
Consider Oversizing Your Solar System
It often makes sense to get quotes for a system sized 10-30% larger than your current electricity usage. This buffers for increased future consumption from an electric vehicle, appliance upgrades, etc.
Oversizing also optimizes the system to produce more energy during sunnier parts of the day, allowing excess power to be exported to the grid for credit. A right-sized system ensures your solar panels can sustain most of your electricity needs.
Get Quotes for Battery Storage Too
Adding a home battery bank lets you store solar energy and use it when the sun isn’t shining. Get quotes both with and without storage batteries to understand the costs and benefits.
Quality lithium-ion batteries can raise the system cost by R50,000 or more but provide backup power and maximize solar capabilities. Evaluate if the investment makes sense for your situation.
Understand the Full Value Proposition
When comparing solar quotes, look beyond just the upfront installation costs. Consider:
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- Expected solar production and offset on your utility bill each month.
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- Projected long-term electricity cost savings over the system’s lifetime.
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- Increased home resale value from going green.
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- Costs you will avoid from rising conventional electricity rates.
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- Backup power and energy independence
Crunch the numbers with interactive calculators like EDSOL’s solar savings tool to quantify the total value. This ensures you choose the optimal system providing maximum return.
Talk to Local Solar Experts
Speaking with qualified solar advisors can provide personalized guidance on finding affordable quotes for your property’s needs. Local experts consider all the above factors when designing proposals.
Reach out to multiple solar providers in your area of South Africa for consultations. Many provide free site evaluations and work with you to tailor the ideal system design and quote.
Questions to Ask Your Solar Installer in South Africa
Once you’ve received quotes from several installers, you’ll want to interview each one further before deciding who to partner with. Here are key questions to ask:
What experience does your company have installing solar power systems in South Africa?
Choose an installer that has successfully designed and installed many solar systems locally in your province over the past 5-10 years. They should have deep expertise in navigating regulations, permitting, utilities, and factors unique to South Africa. Be wary of new pop-up installers with little track record.
What solar panel brands and inverter models do you use?
Quality equipment is vital for long-term performance. Ask for reputable tier 1 solar module brands like Jinko, Lumos, Peimar, Suntech, and inverter manufacturers like Huawei, Sungrow, Solis, and Goodwe. Established brands generally back products with longer warranties.
Do you provide monitoring of the system’s performance?
Many installers offer monitoring services to check your system’s productivity each day and flag any potential issues. Monitoring enables you to verify the solar output matches projections.
What is your estimated timeline for completing the installation?
A typical rooftop solar installation in South Africa takes 2-4 weeks from contract signing to commissioning. Get clarity on the installer’s process and timeline for your situation.
How will you handle all permitting and paperwork?
Choose an installer that manages the entire permitting process with your municipality and local utility to get your system approved. They should also assist with solar rebate paperwork.
What are your warranty and guarantee terms?
Quality installers will guarantee workmanship for 5-10 years. Make sure solar modules have 20–25-year manufacturer warranties and inverters have 10+ year warranties to cover any defects.
Who will provide maintenance and repairs?
Solar systems require little routine maintenance, but it’s good to ask what the installer offers in terms of checkups, cleaning, and servicing. Also, confirm who handles repairs if issues crop up.
What insurance coverage do you carry?
Reputable solar firms have general liability insurance and workman’s compensation policies to protect your home and their workers during installation and service. Ask for documentation.
Can you provide references from past clients?
Quality installers should be happy to provide client references and testimonials. Speaking to past customers gives helpful insights into their experience.
How will you handle recycling old panels and batteries?
Proper recycling of decommissioned solar panels and batteries is important. Ask about their responsible disposal processes at the end of system life.
What payment schedule do you follow?
Most will require a deposit upfront with the balance due upon completion. Make sure all costs and payment expectations are clearly outlined before signing.
Do you have financing options available?
If paying cash upfront is challenging, the installer may offer solar loans, leases, or power purchase agreements to fund your system over time. Understand all terms.
Optimizing Your Solar System Design
Your installer will make recommendations for optimizing the system design for your unique home and energy needs. Here are key considerations:
Panel Type and Efficiency
Higher efficiency panels produce more watts per square meter but often cost more. Most installers offer a choice between standard panels (15-18% efficient) and premium panels (19-22% efficient). Decide whether the extra output is worth added cost.
Panel Orientation and Tilt
In South Africa, north-facing panels tilted 20-30 degrees provide the highest annual electricity production. Work within site constraints, but get as close to optimal orientation as possible.
Shading Avoidance
Even small shaded areas on panels can drastically reduce system output. Use string inverters and microinverters to get around minor shading. For large shade obstructions, relocate panels to avoid shadows.
Roof Condition
If your roof needs replacement soon, installing a new solar roof system that integrates panels and waterproofing may save on total costs. This avoids having to remove and reinstall solar later.
Inverter Pairing
Grid-tied solar systems need inverters to convert solar DC current into AC power for your home. Make sure your inverter’s power rating and voltage specifications match your planned array size and local grid voltage.
Electrical Upgrades
Older homes may need upgraded electrical panels to integrate solar. It’s best to identify and complete any required upgrades proactively so these costs don’t surprise you.
Energy Efficiency First
Boosting your home’s energy efficiency prior to solar installation will allow your panels to offset a larger portion of your overall usage. Add insulation, upgrade appliances, switch to LEDs, etc.
Future Usage Increases
If you plan to add electrical vehicles, air conditioners, or other major new loads, increase panel wattage at least 20% over current needs to accommodate future growth in consumption.
Battery Storage
Adding solar batteries provides backup power during grid outages. This also allows storing excess solar generation during the day for use at night. Get quotes with and without storage.
Aesthetic Design Factors
For maximum curb appeal, you can choose all-black panels or panels with black frames and black back sheets. Microinverters also avoid putting large inverter boxes on the exterior of your home.
Crunching the Numbers on Solar
It’s important to closely evaluate the financial projections when comparing solar quotes. Focus on these key details:
Projected Solar Output
Do energy production estimates seem realistic based on your roof space and location? Highball production numbers can misrepresent potential savings.
Utility Bill Savings
Offsetting your current electricity spend by 50% or more is typical with an adequately sized system. Does projected utility bill reduction align with your typical usage and rates?
Payback Period
With incentives factored in, payback periods of 4-7 years are common. Beware of payback periods for purchased systems exceeding 10 years.
Cash Purchase vs. Financed Price
Calculate the total amount you’ll pay over the full financing term. How does that compare to buying outright? Understand the total cost difference.
Resale Value Addition
A solar system may add R200,000 or more in value to your home when you eventually sell. Is this reflected?
Solar Financing Considerations
If financing through a solar loan, lease, or PPA, be sure to analyse:
Interest Rates and Fees
What interest rate and fees does the solar loan or lease charge? How does it compare to other financing options like a home equity loan?
Length of Contract
Financing agreements can range from 5-20 years. Make sure you are comfortable with the length of commitment and required monthly repayments.
Future Flexibility
Understand options to buy out a lease, remove leased panels, or pay off a loan early. Will you incur hefty early termination fees?
Ownership Implications
With a lease/PPA, the installer owns the system so you miss out on tax credits and incentives that make ownership appealing.
Getting the Best Solar Quote for Your Situation
There are many variables that impact the optimal solar system configuration and financials for your particular home. Work closely with installers during consultations and get clarification on any unclear details in their quotes.
The best solar installer will work diligently to tailor every aspect of the system design, equipment packages, and financing structure to match your needs. Dedicated South Africa providers understand how to maximize value for customers given the country’s unique solar landscape.
With climate changes already impacting South Africa through droughts, going solar provides energy security and independence for decades to come. Comparing quotes thoroughly ensures your family can realize the greatest savings while supporting local economic development through job creation.
With abundant sun, affordable panel pricing, and helpful incentives, there is no better time to invest in a solar system. Get started today in comparing quotes to maximize long-term savings. Harnessing the sun will keep money in your pocket for decades to come!