CONTRACTORS’ CORNER
4
Critical risks of fire safety in residential environments ASP Fire is drawing attention to the significant fire risks in residential environments, stressing the importance of proactive fire-safety management at the household level. While fire protection in commercial and industrial sectors is highly regulated, domestic fire safety is often underestimated. “Fire risk in residential properties is frequently ASP Fire recommends a structured approach to residential fire risk, encompassing both engineering controls and behavioural practices. Measures include regular inspection and certification of electrical systems, installation of smoke detection and alarm devices, provision of portable fire extinguishers in high-risk areas, and development of clear evacuation procedures for occupants. “Fire-safety engineering is about more than compliance;
overlooked, yet the potential consequences are no less severe than in industrial facilities,” comments Michael van Niekerk, CEO of ASP Fire. “The same principles of fire prevention, detection, and suppression that are standard in industry should be applied, in a scaled manner, to the home environment.” Key contributors to domestic fire incidents include compromised electrical installations, overloaded distribution boards, faulty appliances, open-flame devices, and inadequate housekeeping. Van Niekerk cautions that such risks, while often perceived as minor, create conditions where fire can ignite and spread rapidly. “The growth rate of a typical residential fire is exponential. Within three to five minutes, conditions can become untenable. Early detection and suppression are therefore critical.” Africa, with new international investors earmarking substantial equity to support this growth. With over 750 business clients and 140 MW of installed capacity under management, SolarSaver’s approach prioritises operational cost certainty and transfers performance risk away from clients, providing a hassle-free path to affordable clean energy. “For any business owner, the fundamental question is always: ‘Am I paying as little as possible to operate my business?’” explains Lance Green, head of sales at SolarSaver. “When considering a move to solar energy, this question becomes complex, with various solar financing models presenting different risks and rewards. Many businesses are better served treating solar like a utility: pay for reliable, delivered energy, not for the headaches of asset ownership, replacements, and performance risk.” Why ‘rent’ is not a swear word Green says that while the instinct to own an asset is strong in business, it’s not always the smartest financial move for solar assets. “Businesses don’t own their connection to the national grid; they simply pay a utility for the power it supplies. SolarSaver applies this same logic to solar energy. By offering a fully serviced, funded model, we remove the significant upfront capital expenditure and the ongoing responsibilities of ownership.” “This structure aligns our incentives directly with our clients: if the system doesn’t produce power, we don’t get paid,” Green adds. “This transforms solar from a capital purchase into a predictable, low-cost operational expense.” Predictable costs in an unpredictable world One of the greatest challenges for businesses is forecasting long-term operational costs, especially with volatile electricity tariffs. The SolarSaver model provides a high level of cost certainty. “Even for complex off-grid operations, such as remote lodges, clients know exactly what their energy will cost for the duration of our term agreement, whether that is a 10- or 20-year term,” says Green. “This fixed-rate structure offers a powerful hedge against the escalating tariffs of traditional utilities, delivering significant savings and budget stability over the life of the term agreement.” When evaluating how to procure solar, decision-makers typically face three paths: an outright cash purchase, a straight asset finance lease from a bank, or a fully serviced solution like SolarSaver’s. Each has distinct implications for a business’s balance sheet and operational risk profile.
it is about risk management,” stresses Van Niekerk. “Applying proven methodologies at the residential level significantly enhances resilience and reduces the likelihood of catastrophic outcomes.” As a specialist in holistic fire-risk management solutions, ASP Fire provides consulting, system design, and compliance auditing services across commercial, industrial, and residential sectors in South Africa and beyond. The company continues to advocate for a culture of fire awareness supported by sound technical interventions.
Enquiries: www.aspfire.co.za
SolarSaver expands innovative risk-free solar model SolarSaver has announced the continued expansion of its fully serviced, CAPEX-free solar model that treats solar as a renewable utility for businesses across Southern
they can access unique tax incentives or grants that require ownership and deliver significant near-term benefits. It can also be attractive for organisations with access to cheap internal capital and a strategic mandate to own critical infrastructure.” Owning a solar installation ties up capital in a long-lived but depreciating, performance-sensitive asset that will ultimately require refurbishment or replacement. Solar modules degrade and parts have finite component life. Batteries need replacement at least every 10 years, depending on duty cycles, and commercial- grade inverters offer up to 15 years’ capacity in good operating conditions. End-of-life arrives with a lumpy CAPEX requirement to replace all or part of the system, and owned systems can lag behind the rapid pace of technological advancement. Total cost of ownership isn’t just the purchase price; it includes degradation, component replacements (notably inverters and batteries), maintenance, insurance, and underperformance risk, says Green. “Even if you have the capital to fund solar assets outright, you still need to take care of maintenance and insurance, typically via a service level agreement (SLA), with an outside company. Annual SLA costs are typically 2.5% of the capital purchase price. And is your maintenance and cleaning company invested in the output of the solar asset if they don’t own the asset?” Green explains. Bank asset finance While a straight asset finance lease from a bank may eliminate the initial CAPEX, it introduces other variables. The bank’s primary interest is in the loan’s repayment, not the performance or longevity of the solar installation. This model results in full asset ownership at the end of the finance term and potential balance sheet advantages. However, Green says the cons are significant. “If financed, the business is exposed to rising rates, fees, and refinancing risk, as well as taking on the responsibility for maintenance, insurance, and repairs. Critically, if the system underperforms or fails, the loan repayments continue regardless, creating a scenario where you pay for an asset that isn’t delivering on performance.”
SolarSaver’s fully serviced solution SolarSaver’s model is fundamentally different. It is a comprehensive energy service where the client pays only for the power produced or a fixed monthly rental, with zero capital outlay, explains Green. SolarSaver designs, funds, installs, and manages the system for the duration of the agreement, usually a 20-year term. “The primary advantage is the complete transfer of risk,” says Green. “SolarSaver is responsible for all maintenance, component replacements, insurance, and continuous performance monitoring. Our revenue is tied directly to the system’s output. For a grid-tied system, clients are only billed for the green energy produced. If the system is down, they simply use the grid as before and receive no bill from us.” For a hybrid or off-grid system on a fixed rental, clients are not charged for any days the system is offline. This guarantees that the interests of the client and SolarSaver are perfectly aligned: maximum uptime and optimal performance. Peace of mind through performance-aligned billing The difference in accountability is stark. “With a bank- financed system, underperformance is the client’s problem,” says Green. “With SolarSaver, it’s our problem. This structure provides complete peace of mind that the system will remain operational and efficient.” SolarSaver teams provide full monitoring and support, ensuring operational continuity without burdening the client’s internal resources. Clients have absolutely no risk and a guarantee that their solar asset is always working for them. The bottom line is that solar is an infrastructure asset that depreciates physically and economically, requiring vigilant lifecycle management, says Green. Business leaders should not be attached to ownership, but rather evaluate a fully serviced, CAPEX-free model against a traditional purchase using their own energy usage data. “The numbers will speak for themselves, proving that the smartest hassle-free, CAPEX-free way to go solar is to treat it like the utility it should be.”
Comparing the models Outright purchase
Green says ownership remains a viable option in specific scenarios. “Businesses might consider outright purchase if
Enquiries: www.solar-saver.net
SPARKS ELECTRICAL NEWS
JANUARY 2026
Made with FlippingBook flipbook maker