With the state of the world and inflation high on people’s minds, many are wondering where the right investments are to put their money. Is solar energy in kenya a good investment? What are the inflation trends? While no one but you can make the right decision for you and your family’s financial goals, there is data that points to why now is the best time to invest in solar energy.
In this post we discuss 5 reasons why transitioning to solar is a smart investment this year.
#1—Solar Energy can increase the value of your home
Like many other home improvements, solar energy can also increase the value of your home. According to research by the National Renewable Energy Association, homes with solar panels sell for, on average, 17 to 20 percent more than homes without. However, the most significant difference between solar and other home improvement projects is that solar pays you back almost immediately through energy savings on your electricity bill.
#2—Avoid power outages
Solar photovoltaic (PV) systems installed with an accompanying solar battery backup system can avoid disruptions from power outages caused by severe weather or even rolling blackouts due to excessive demand or instability in the grid. This means that your home will remain powered even if there’s a power outage by Kenya Power.
#3—Rising electricity prices
According to the Kenya Energy and Petroleum Regulatory Authority (EPRA), electricity prices have increased for the last 20 years at an average of 1.4 percent annually, with an 8 percent, one-year increase between 2021 and 2022. The future could reflect similar or worse price increases, which only serves to say that investing today in solar energy is a wise financial move that will pay dividends for years to come. With Solar power in Kenya, you’re guaranteed a fixed power cost for over 25 years!
#4—Renewed tax incentives
The recently passed VAT amendment Act extended the exemption of solar products from Value Added Tax (16%). This means that you will get solar products at a lower price compared to any other purchases since you will not be charged taxes. The renewed tax incentive offers huge savings for anyone considering the installation of solar panels.
#5—Connectivity is limited
As the popularity of solar has grown and more property owners add solar, there is a dark little secret that few people are aware of—limited connectivity. In most cases, private solar photovoltaic (PV) owners install systems that require connectivity to the power grid via their local utility company. Although utility companies are supposed to serve the public, they are still businesses, and private solar photovoltaic installations are, unfortunately, a threat to their revenue. As a result, some, not all, utility companies have limited the number of privately owned solar PV systems they allow to be connected or significantly delay those connections as a means of deterring new installations and securing the capacity on the grid for themselves. Because of this, it’s crucial for those genuinely interested in going solar to act now and get their system installed and operational as soon as possible.
Ready for Solar? Consult a solar expert today.
Interested in our Solar Power installation services in Kenya? Call us today on 0715 020605. Alternatively, you can email us and a member of our team will get back to you as soon as possible. We install solar power systems in Nairobi, Kiambu, Ngong, Kajiado, Kitengela, Athi River, Machakos, Coast Province, Rift Valley, North Eastern, Central, Nyanza and countrywide for domestic and commercial clients.