For those looking to power their homes and businesses during Eskom's recent Stage 6 load shedding, solar power has become an attractive option. However, the initial investment for installing solar PV panels can be quite expensive. There are many banks in South Africa offering incentives for businesses and small companies to make the switch to solar power. The average cost of a solar panel installation for a small home is around R60 000 - R105 000, not including batteries and other associated costs. Additionally, there is a tax benefit on solar panel installations with an additional 28% off these costs making it slightly more affordable.
| Absa | Nedbank | Standard Bank | FNB | |
| Loan offered | Scheduled repayments at upto 100% loan to cost. |
- 60% company debt, and 40% equity from the bank. - Asset based finance and term loans up to 100% of project cost. |
- Depending on borrower's financila position, the bank will consider funding up to 100% of the installation costs. - Scheduled repayments |
Up to R50 million for a period of 10 years. |
| Security required | Project-specific and additional security might not be required. The installation is seen as part of the collateral. | Security can be taken against the asset but often is taken against the underlying balance sheet of the client. | Collateral- based contractual agreement. | Utilizing equity in commercial property as collateral. |
| Limitations | Individual projects as small as 30 kWp and upt o 1 MW. | No minimum size, but Nedbank must be the sole primary banker. | Typical finance for projects up to 999 kWp. Larger investments are evaluated on a case by case basis. | - |
| Term of debt | 5 to 10 years | Up to 10 years. | Up to 10 years. | Up to 10 years. |
| Interest rate | Risk dependent | Risk dependent | Risk dependent | Risk dependent |
