Are we ready for businesses to go off-grid? Francois van Themaat, co-founder and managing director for large projects at Sustainable Power Solutions (SPS), suggests that going off-grid is no longer just a backup option; it's the strategic choice for energy security, sustainability and predictable costs.
all. Space constraints limit the feasibility of high-demand facilities such as data centres or dense urban buildings, which may instead rely on wheeling or embedded energy solutions. For businesses with sufficient rooftops, land, or even the ability to create additional space through carports and storage areas, going off-grid makes strategic sense. Electric vehicles with vehicle-to-load (V2L) capabilities, now readily available in South Africa at competitive prices, offer additional options for creative load management. The projects SPS has implemented in the hospitality sector in the Seychelles, Kenya and Botswana demonstrate that fully off-grid op- erations are both technically feasible and eco- nomically viable. However, new developments should incorporate off-grid planning from the start, as buildings designed to maximise solar exposure and utilise unshaded areas can help avoid the high costs of grid connection, reduce operational risk, and create more attractive, sustainable properties for tenants or buyers.
E nergy technology and econom- ics are finally aligning. For years, complete energy independence seemed out of reach. Technology was expensive, storage options were limited, and generating enough power to run a busi- ness off-grid felt impractical. That is changing rapidly. Modern solar panels capture sunlight far more efficiently, while battery storage enables businesses to use that energy at night or when clouds block sunlight. South Africa is particularly well-positioned to benefit, with abundant sunlight across much of the country. Nature has shown us the way; each tree is, in essence, a small factory. A tree’s leaves capture sunlight and convert it into energy to grow and produce fruit. The tree’s trunk can be thought of as a battery which stores energy, for when it is needed. Off-grid systems operate on a similar principle at an industrial scale, turning sunlight into reliable, usable power for businesses. Costs have dropped dramatically. Solar panels are now more than 80% cheaper than a decade ago, while batteries, the key to energy storage, have fallen nearly 90% in price over a similar period. With improved efficiency and large-scale production, self-generation is becoming increasingly competitive with traditional grid electricity, turning a long- dreamed-of possibility into a practical reality.
of cloud cover. Today, well-designed off-grid systems can supply 95% or more of an opera- tion’s energy from clean sources, with diesel used only during extended periods of heavy cloud or rain. This approach provides three key benefits: predictable costs, reliable supply and a lower carbon footprint. Businesses are no longer subject to volatile electricity tariffs, puni- tive regulations or intermittent grid supply. Operations can run smoothly, while sustain- ability performance increasingly meets global expectations for export-focused companies. Increased financing and accessibility options Historically, the upfront cost of going off-grid was a major barrier. That barrier is now chang- ing thanks to innovative financing solutions. Models such as Power Purchase Agreements (PPAs) and Energy-as-a-Service (EaaS) enable businesses to adopt off-grid systems without a large upfront investment. Providers take responsibility for design, installation, moni- toring and maintenance, including component replacement for the duration of the contract. Performance guarantees ensure that clients are compensated if energy targets are not met. These arrangements allow businesses to focus on running their operations while enjoying the benefits of reliable, sustainable, and cost-effective power. For many, off-grid energy is no longer only feasible but also financially sensible. Strategic considerations and opportunities Off-grid solutions are not a one-size-fits-
Off-grid energy as a strategic advantage
Off-grid energy has matured from a niche experiment into a strategic business solution. Falling technology costs, innovative financ - ing models, and the urgent need for reliable power provide companies with a clear reason to take control of their energy. For C&I busi- nesses with sufficient space, the choice is ob - vious: off-grid energy is cheaper, cleaner, and more predictable than staying tied to the grid. In the next five years, off-grid energy is set to become mainstream in South Africa. Businesses that embrace it now gain resil- ience, operational certainty, and sustainability advantages that will give them a competitive edge well into the future. https://sps.africa/
What off-grid really means in practice
Going off-grid reqwuires a deliberate decision to disconnect from the utility grid. All energy needs must be generated on-site using a com- bination of solar panels and battery storage, with a diesel generator for extended periods
32 ¦ MechChem Africa • March-April 2026
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