know about solar

solar pannel Did the world turn black when you saw your latest electricity bill? If so, you are not alone. The heat demands air conditioning, electricity providers demand fistfuls of money, the International Monetary Fund demands higher tariffs and Russian President Vladimir Putin demands Ukraine’s annihilation. But it is impossible to explain the concoction of reasons to a toddler who just wants to sleep with a teddy bear while the AC is running. Harnessing solar power is a happy solution for those who can afford it.                                           Here are some factors to consider before opting for a solar solution:

Quality

One can take a gander down Regal Chowk in Karachi and pick up a solution that costs a few hundred thousand rupees compared to a million-plus option that a branded supplier could provide but it comes with its set of drawbacks. The solution providers at the lower price end tend to import a container of solar paraphernalia and hire an everyday electrician to install it. Given its technical nature, the lack of support may create some issues.

One can take a gander down Regal Chowk in Karachi and pick up a solution that costs a few hundred thousand rupees compared to a million-plus option that a branded supplier could provide but it comes with its set of drawbacks.

The solution providers at the lower price end tend to import a container of solar paraphernalia and hire an everyday electrician to install it. Given its technical nature, the lack of support may create some issues.

Shoddy-quality solar panels can cause short circuits and sparks. In the best-case scenario, the system will shut down and you will be chasing after the supplier that may or may not be able to provide after-sales service.

“Even if a top-tier branded solar solution was installed in your house, it can act up a year or two after purchase,” says Musa Khan Durrani, the head of business and planning at SkyElectric. “You call up your local supplier but he may have switched his business to real estate and suggests you contact the manufacturer directly. “In the worst-case scenario, the sparks from inferior quality panels can start a fire,” cautions Mujtaba Raza, CEO of Solar Citizen.

Financing

How can one afford n Rs1m-plus solar system? The State Bank offers financing at a flat six per cent rate, which is not linked to the Karachi Interbank Offered Rate. Generally, the tenure of the loan is three to five years with a down payment of 20pc equity.

Depending on electricity consumption and the amount spent on the solar solution, what you owe the bank could tally up to a smaller figure at the end of the month compared to your bill. For example, if you spend Rs25,000 a month paying off the bank when your electricity consumption is at Rs40,000, you will be saving money, even with a loan.

Keep in mind that while electricity tariffs increase, the amount of instalments remains constant so your savings will increase in proportion to the rise in energy rates.

However, banks take months to process solar loans, industry insiders complain. Given the technology involved, panels and assorted parts are imported and the rapid depreciation of the rupee jacks up prices. A few months down the road when the loan is finally processed, the cost of the package could have risen as well.