Society of sustainable energy in the South of Africa (SESSA) has welcomed the Government allocation of R4.7 billion dollars for the campaign of the solar water heater, according to Minister of finance Pravin Gordhan confirmed in his budget speech this week (February 22).

 

The goal of the campaign is a million installations by the end of 2014, so far 160 000 solar water heaters have been installed under the program reimbursement Eskom leaving about 000 840 will be installed in 34 months.

 

Commenting on the announcement of Gordhan, SESSA acting-CEO, Theo covarían, said that the commitment of the treasure was especially welcome, given the uncertainty that has characterized the sector in the past 18 months. During this time, the solar water heater rebate doubled... only to be reduced twice within months. These actions caused confusion since households rushed to the market but just as quickly canceled their orders when reimbursement was reduced. The cost for companies was significant, since they were caught for the first time with values very little and then with too.

 

They covarían said that the assignment R4.7 billion sent a strong signal that the Government was moving beyond the rhetoric and that the necessary political will to achieve this goal was growing. However, warned that financing (for reimbursement) by itself does not guarantee the goal would be met.

 

He explained: "the return of solar water heating was introduced for the first time in early 2008, but since then, only 39 424 demands of high pressure in the system have been processed, i.e. slightly more than 240 per week." The situation is less bleak for the sector of the installation of low pressure with 117 038 processed requests, but this program has been pursued by the poor quality of systems and facilities.

 

"SESSA estimated that 1 million installations is more likely to occur if the program is based on a solid business plan and they focus not only on the monetary value of the return and the payment of the same." Key topics include greater consultation with industry, awareness-raising campaigns, the financing of training initiatives and on a well thought out strategy that is made public so that the business sector can respond "."

 

They covarían also praised the intention of the Government to increase taxes on electricity produced from non-renewable sources from July 1, 2012, as well as its tendency to the introduction of a carbon tax.