Grid tie PV systems use a grid tie inverter to convert DC power from your solar panels into AC power for your property, but they do not include batteries for backup. These systems are approximately half the cost of hybrid systems because they do not require batteries. Grid tie systems generate electricity from the sun but do not provide backup power during outages. However, with the absence of load shedding, grid tie systems offer better economic value, as there’s no need for additional backup. If load shedding returns in the future, grid tie systems can be coupled with a battery inverter (either AC or DC) to provide backup power, offering flexibility without the initial high cost of hybrid systems.  

A hybrid PV system uses a hybrid inverter that converts DC power from both the PV panels and batteries into AC power, and can also charge the batteries from the PV panels or AC power. It may also integrate features like diesel generator support. Due to these additional functions, the hybrid inverter costs more than twice the price of a grid tie inverter. Hybrid systems (PV panels + hybrid inverter + batteries) cost about twice as much as grid tie systems. While hybrid systems are more economical than diesel generators for backup during load shedding, they are not needed if there is no load shedding.  

Power factor (PF) measures how efficiently your business uses electrical power, with a value between 0 and 1. Managing your power factor is crucial for reducing peak demand costs, especially if your electrical tariff includes a demand charge (Rand per kVA). For example, a PF of 0.8 means you're using 25% more apparent power than actual power, leading to higher demand charges. Power factor correction improves efficiency, raising PF to 1, reducing the apparent power needed and lowering demand charges. Power factor correction is cost-effective, with a payback period of just a few months.  

Phase balancing involves distributing your power demand evenly across the three phases supplied by your utility. Managing this balance is crucial for reducing peak demand costs, especially if your tariff includes a demand charge. If your business uses single-phase systems, it’s likely that one phase will have a significantly higher demand than the others. For example, if your total demand is 100kVA but one phase is using 50kVA, your demand will be charged at 50kVA x 3 = 150kVA, resulting in a 33% higher charge. By balancing demand across phases, you can lower your total demand charge. The process typically involves rewiring your distribution board or reticulation system, with a payback period ranging from a couple of months to a year.  

Peak Demand Shaving helps reduce your business's demand charges by using a battery and inverter system. The battery charges during low demand and discharges when demand exceeds a preset level, preventing peak demand from spiking. For example, reducing your demand by 30kVA could save you R6,000 per month. The system typically requires an investment of R600,000, with a payback period of around 8 years. The payback time depends on your business load profile and utility rate—higher charges lead to quicker savings.  

PV (photovoltaic) systems convert sunlight into electrical energy, reducing your reliance on grid power and lowering electricity costs. Even without load shedding, PV can help you save money by generating clean, renewable energy and reducing your overall energy expenses.

Time of Use (TOU) arbitrage involves shifting energy usage to off-peak hours when electricity rates are lower, helping reduce your overall energy costs. By monitoring and adjusting your energy consumption to match lower rate periods, businesses can significantly cut their utility bills. This can be implemented with smart energy management systems or scheduling energy-intensive tasks during off-peak times, optimizing energy use without compromising operations. The savings depend on your energy consumption patterns and the price difference between peak and off-peak rates.