South Africa's photovoltaic system deployment has entered an accelerated period
The South African Ministry of Finance plans to take measures to promote the application and promotion of photovoltaic systems, including tax relief and adjustment of loan plans. Cyril Ramaphosa, President of South Africa, released the news in his State of the Union address a few days ago.
Ramaphosa said that these measures will help to install their own photovoltaic systems in household and enterprise users, which is a key part of South Africa's plan to end the load reduction crisis. In the 2023 budget plan released on February 22, the Minister of Finance of South Africa, Enoch Godongwana, will announce how household and business users can benefit from the tax incentives of rooftop photovoltaic systems.
In addition to providing tax relief, the South African Ministry of Finance will also adjust the loan plan to help small enterprises invest and install photovoltaic systems. The plan, which was not fully utilized after the COVID-19 outbreak, will be updated to provide more support for small businesses.
Banks and financial institutions will also be allowed to borrow directly from the fund to facilitate the leasing of photovoltaic systems to small enterprises. It is expected that these measures will promote enterprises to install more photovoltaic systems and help South Africa transition to a cleaner and more sustainable energy system.
The South African government's efforts to promote photovoltaic systems are part of a broader plan to address the country's ongoing load reduction crisis, which has led to frequent power outages and blackouts. By encouraging the use of more renewable energy, the South African government hopes to improve energy security and reduce dependence on fossil fuels.
