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Cape Town sets new record for solar PV installations

09 March 2023

Cape Town Mayor Geordin Hill-Lewis has announced that February 2023 was the best month on record for new Solar PV installations in Cape Town. This as residents look to capitalise on the City’s Cash for Power programme to help end load-shedding over time. 

'We are energised by data showing February to have shattered all records for Solar PV installation applications to the City of Cape Town. The City has received 1 040 solar PV installation applications so far this year, with just over 600 of these in February making it the biggest month to date. January and February alone account for an impressive 11% of all Solar PV applications received since records began in 2018. This is encouraging progress towards more and more businesses and residents helping us to end load-shedding over time by selling their excess power for cash. This is exactly the market response we were hoping for by making recent policy changes to end the net consumption requirement so that we can pay actual cash for power, instead of just crediting municipal bills. We also ran an extensive radio campaign in February calling on residents to take advantage of these exciting policy shifts. New national tax incentives will further enhance the viability of solar PV investment,' said Mayor Hill-Lewis.

Cape Town is the first city in the country to offer households and businesses cash for their excess rooftop solar power. The City is set to start paying businesses cash for power before June, and residents will be able to start selling power for cash later this year. 

Cape Town is forging ahead with its three-phase procurement for Load-shedding Protection, with the goal of protecting residents from the first four stages of Eskom's load-shedding.

How to take part in Cape Town's cash for power initiative  

Commercial customers Residential customers
Available: now in addition to the existing credit offset against monthly account. Available later in 2023 in addition to the existing credit offset against monthly account.
PV system and inverter required. See this guide. PV system and inverter required. See this guide.
Installers must apply to the City to authorise the system for grid connection. See this guide. Installers must apply to the City to authorise the system for grid connection. See this guide.
The City does not charge an authorisation fee. The City does not charge an authorisation fee.

Authorised customers will be placed on the applicable Non-Residential Small Scale Embedded Generation tariff. See here: tariff

Meter changes are required where applicable.

Authorised customers need to install a specialised Advance Metering Infrastructure or AMI meter. Cost is approximately R12 850.

*The City is looking at how to bring the cost down for households

An additional Advance Metering Infrastructure (AMI) administration fee may also be applicable. The cost will be quoted as part of the authorisation process where applicable. A monthly Advance Metering Infrastructure (AMI) administration fee will be applicable.
  If you are not on the Home User tariff already, you will be moved to the Home User tariff. See: tariff

Credit roll out: Immediate: The City will measure the amount of energy fed into the City grid. The credit will be reflected on the monthly municipal account:

Commercial customers will be credited with 73,87c p/kWh (2022/23) plus 25c p/kWh incentive for each kWh fed into the City grid.

*There is also a little used commercial tariff of 60,91 c p/kWh for customers wishing to account for the green benefit.

Credit roll out: later in 2023

The City will measure the amount of energy fed into the City grid. The credit will be reflected on the monthly municipal account:

Residential customers will be credited with 78,98c p/kWh (2022/23) plus 25c p/kWh incentive for each kWh fed into the City grid.

Credit offset against monthly electricity account.

If some credit remains after the offset, the City will pay this to the customer. Payments will only be made on amounts over R5 000 and on a monthly basis. Amounts of less than R5 000 will be held back until the total exceeds R5 000, and will then be paid.

Credit offset against total monthly municipal account and all accounts linked to the same business partner number.

If some credit remains after the offset, the City will pay this to the customer. Payments will only be made on amounts over R1 000. Amounts of less than

R1 000 will be held back until the total exceeds R1 000, and will then be paid once per year.

How much can be sold by a customer?

The amount of energy that they can produce is limited by the size of their system which is limited by the size of their connection to the City grid.

How much can be sold by a customer?

The amount of energy that they can produce is limited by the size of their system which is limited by the size of their connection to the City grid.

How to apply

Visit: applicationforms

to get the application forms. Submit via email.

How to apply

Visit: applicationforms

to get the application forms. Submit via email.

For more tips and guidelines for the City metro, please see: SSEG FAQs.



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Published by:
City of Cape Town, Media Office

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