Make your move to solar power easier … thanks to the government
The Treasury has urged people and businesses to apply for the solar power loan scheme.
People and businesses who wish to buy solar systems but cannot afford to, including those in Randfontein and Westonaria, can apply for a loan scheme which will make the move to solar power easier.
This was announced by the National Treasury recently and forms part of the government’s plan to mitigate the country’s power crisis.
According to the treasury, the loan covers solar rooftops, batteries, inverters, and other installation-related costs. The Energy Bounce Back Loan Guarantee Scheme is an initiative aimed at alleviating the impact of continuing difficulties resulting from the unreliable power supply for small businesses and households.
To qualify for the loan, Treasury said small and medium enterprises (SMEs) needed to have a maximum income of R300 million. Qualifying businesses can get up to R10 million as a loan to install solar panels. Treasury also said that households could get up to a R300 000 loan.
“The scheme is being launched to the benefit of both households and small businesses. It is part of an initiative to help alleviate the ‘negative’ impact of continual difficulties resulting from unreliable power supply,” Treasury said in a statement.
Meanwhile, the scheme is expected to last until August 2024.
This was reiterated in the budget speech delivered by Finance Minister Enoch Godongwana. At the time, Godongwana said the loans for SMEs would work on a 20 percent loss basis which means that the government would carry 20 percent of the loss on defaulted loans, so banks don’t carry the whole loss themselves.
