The Rand Aid board has approved a plan to expand the use of solar power at its independent life-right villages following frequent electricity interruptions over the past year.
Residents at Elphin Lodge, Inyoni Creek and Thornhill Manor will now be compensated for the value of solar systems installed at their units.
When a life-right unit is sold and already has a solar installation, a surcharge will be added to the selling price, and the departing resident will receive compensation based on the depreciated value of the system. Solar installations will be depreciated over seven years.
Rand Aid CEO Gert Coetzee says the aim is to encourage residents to invest in solar while ensuring fairness when units change hands.
In addition, when vacant units are refurbished for new residents, a basic solar system will be installed as part of the upgrade. The proposed system includes eight solar panels, a 5kW inverter and a 5.1kWh battery, with a surcharge of R50 000 added to the selling price.
Residents will remain responsible for maintenance of the solar system, and all installations must be approved by village management and carried out by Rand Aid-approved suppliers.
The board considered several other options but decided against them. Allowing residents to draw funds from the 70% termination benefit to pay for solar installations was rejected because solar components have limited lifespans, particularly batteries, which are costly to replace. This could have led to repeated drawdowns over time.
The board also decided not to allow residents to rent solar systems from external providers at this point in time. If a contract ended when a resident moved out, the equipment could be removed, potentially causing damage and leaving Rand Aid responsible for repairs.
Solar at Tarentaal village
Tarentaal village, which offers rental accommodation, has a grid-tied system that consists of solar panels and inverters, but no batteries. This means the system generates power during the day and helps reduce electricity costs, but it shuts down during load-shedding and does not provide power at night.
Residents are therefore encouraged to use electricity-intensive appliances such as kettles, irons, washing machines and tumble dryers during the daytime when solar power is available.
Electricity used at night still comes from City Power, so limiting appliance use overnight can help keep costs down for everyone.
Coetzee said Rand Aid will investigate the possible installation of batteries at Tarentaal in the next financial year.
