Sustainable Power Solutions (SPS) has introduced a buyout model that can convert existing solar and battery systems into immediate capital for South African businesses.

SPS is a pan-African funder, developer and operator of solar PV and battery storage plants in the commercial and industrial markets.

SPS says many companies have, over the past decade, invested heavily in renewable energy to reduce electricity costs and to mitigate the impact of loadshedding.

The company believes that while these systems continue to deliver savings, the capital tied up in them can potentially limit business growth and reinvestment opportunities.

SPS’s new buyout model enables businesses to recover up to 100% of their original investment and, in some cases, related costs, such as roof strengthening or facility upgrades, while they can continue to benefit from renewable-energy savings and system reliability.

Through the buyout model, SPS purchases clients’ existing solar and battery systems and reimburses them for the full installation cost.

In return, businesses enter into a ten- to 20-year power purchase agreement with fixed tariffs, which provides electricity cost predictability.

“This creates immediate capital relief for businesses, allowing funds to be reinvested into their core operations,” says SPS chief growth and marketing officer Anja Visagie.

“At the same time, enterprises continue to benefit from renewable-energy savings and operational resilience, without carrying the operational, compliance and maintenance burdens themselves.”

SPS believes that many businesses underestimated the long-term demands of managing solar and battery systems.

The company says that effective operations and maintenance require ongoing technical expertise, regular cleaning and strict compliance with evolving regulations.

Systems that are poorly maintained or non-compliant can underperform, lose potential savings, and even become uninsurable.

SPS says it will remove this burden by taking full responsibility for compliance, insurance and performance management.