Employee Solar Incentive Program
Designed for responsible business and a sustainable future
What is it?
Simply put: Companies invest in solar PV heating systems on behalf of their employees, make a return, contribute to climate action and help their employees save on energy cost.
Expanded: Employee incentive scheme leveraging tax incentives to provide employees with an energy cost savings as a bonus incentive at no upfront cost as an effective loan repaid over 5-years without additional tax implications to employees.
Why do it?
Employees
Reduce their energy costs, improve their living conditions under laodshedding and help them take an affordable hot shower powered by renewable energy.
Environment
Take climate action by investing in renewable energy assets that replace Eskom’s dirty fossil fuel energy and contribute to a more sustainable future.
Returns
Internalise the Section 12B tax benefit permitted and generate a return from your solar PV investement to generate an effective tripple-bottom-line return.
Employee Benefit
There are several models for implementation avaialble to companies and as an example the following can be implemented:
Company installs system with monthly repayment from employees.
- R349 per monthly repayment escalating at 7% p.a.
- Savings dependent on usage and yield
- Typical forecast price increases included
- Typical 5-year IRR = 10,4%
- Typical 10-year IRR = 25,9%
- Assumes average Eskom price increase of 9% (10-year)
- Tax internalised
