KDM explains regulation, benefits for solar users

enhancement motive. The main purpose of the policy is to promote safety which is linked to embedded generator installations in and around the municipality. There are some private entities and citizens that have installed embedded generators that may not be in line with various prescripts of law such as the Electricity Regulations Act. The municipality seeks to get an inventory of such installations and to have these installations registered formally should they not have undergone a formal application process,” the Municipality stated.

While the Municipality came under fire from opposition parties after the item came before Council, KDM has attempted to allay any fears, adding that the policy takes into account the objectives of the Energy Action Plan which was issued by national government.

And, says KDM, there is an added benefit for consumers.

“following the announcement of finance minister Enoch Godongwana's 2023 budget speech, it was indicated that individuals who install rooftop solar panels will be able to claim a rebate of up to 25% of the cost of the panels but limited to a maximum of R15 000 per installation. “There would be a regulatory framework to be followed such as certificates of compliance that will be required by the South African Revenue Services to prove such installations. Such certification is issued by the municipality. The Municipality has further clarified that the said tax benefits are dependent on the following conditions: a. Only new and unused solar PV panels qualify, to ensure that the capacity is in addition to what the country already has in place. The panels can be installed as part of a new system, or as an extension of an existing system. b. Only solar PV panels with a minimum capacity of 275W per panel (design output) qualify for the rebate. Other components of a system batteries, inverters, fittings or diesel generators and installation costs do not qualify. Portable panels will also not qualify. c. Solar PV panels must be installed at a residence that is mainly used by an individual for domestic purposes. The installation will have to be proved with a certificate of compliance in terms of the Electrical Installation Regulations, 2009 to ensure safety of the installation and compliance to electric regulations. d. The solar PV panels must form part of a system that is connected to the mains distribution of the private residence. e. The rebate applies to qualifying solar PV panels that are brought into use for the first time in the period from 1 March 2023 to 29 February 2024.