TAX INCENTIVE TO INCLUDE INVERTERS AND BATTERIES

Efforts are underway to add inverters and batteries part of solar PV systems to the list of tax incentive qualifiers.

That’s according to electricity minister Kgosientsho Ramokgopa who announced the news during a media briefing about the current state of the Energy Action Plan.

During his briefing, Ramokgopa said that solar rooftop installations had increased by more than double to more than 4,500MW since July 2022.

The government wants more rooftop solar options to be made use of by households and businesses, especially since tax incentives were announced by Enoch Godongwana, the finance minister in February.

News24 reports the following:

·        - Government is offering a 25% tax incentive to households on their solar PV panels.

·        - The incentive has been effective since 1 March 2023 and will run until 29 February 2024.

·        - Claims are capped at R15,000.

Qualifying claims currently only apply to solar panels and not to inverters or batteries. Ramokgopa aims to extend the incentive to include inverters and batteries as well.

Image credit: Reuters