As electricity tariffs continue to rise, squeezing household and small business budgets, a new solar company has entered the market with stokvel and crowdfunding models aimed at making renewable energy more affordable and accessible.
Ipeleng Power Solutions (IPS), founded by entrepreneur Ipeleng Mhlanga, 32, launched in Johannesburg this week, offering solar system design, installation, maintenance and cleaning services. The company targets households, small businesses and communities that lack access to conventional financing.
Its approach centres on community-based financing. In the stokvel model, groups of families or business owners contribute fixed monthly amounts into a shared pool, which is then used to finance solar installations for members in phases.
The crowdfunding model invites contributions from the wider community, with funds going towards installations for households or businesses that might not qualify for traditional loans.
Both models spread costs over time and are intended to lower the barrier to entry.
Mhlanga said the approach is designed for those who would otherwise be excluded. “The idea is to make solar accessible to people who would not be able to afford it upfront. This allows people to own power collectively, rather than waiting years or relying on expensive financing,” she said.
The launch follows Eskom’s implementation of an average tariff increase of 8.76% for direct customers from 1 April, after approval by the National Energy Regulator of South Africa. Municipal customers are expected to face increases of about 9% from July.
Mhlanga said the easing of load-shedding has not resolved deeper challenges. “While load-shedding has eased, the core issues facing South Africans have not disappeared. Electricity remains expensive, unreliable in many areas and inaccessible to some communities,” she said.
“There are communities that still experience power interruptions daily and some that have never had consistent access to electricity.”
South Africa’s transition to renewable energy has raised concerns about affordability and inclusion, with policymakers and industry stakeholders emphasising the need for a just transition that ensures low-income households and small businesses are not left behind.
Keynote speaker pastor Tumelo Mushi called on businesses to respond to the needs of the communities in which they operate.
“The vision is not just about building something for yourself, it is about serving people and responding to real needs in communities,” he said, adding that “when you are given a vision, it comes with the responsibility to act and to build something that can impact others”.
Businesses should focus on building sustainable enterprises that can continue to serve communities over time, he said. “It is not just about starting something; it is about building something that lasts and makes a difference.”
Electrical engineer Reanetse Sekabate said affordability remains a barrier to wider adoption of solar systems. “Solar is a long-term investment, [because] you invest today and over time it starts paying itself back,” he said.
Off-grid systems provide full independence from the grid but require higher upfront costs, particularly for battery storage. Hybrid systems, which combine solar and grid electricity, are more commonly used in residential settings.
He said system size, battery capacity and installation costs vary depending on energy needs and usage patterns.
Solar installations remain costly for many households, including those using alternative financing models. Business mentor Modise Moloi said financial discipline is critical for sustainability in the sector.
“A business must make profit. If you don’t treat people as clients, you will have products that are not paid for,” he said, adding that “you cannot separate purpose from sustainability. If the numbers don’t work, the business won’t last”.
He said pricing, cost management and marketing are essential, adding that companies must consistently engage potential customers.
The event included participation from international and regional stakeholders.
A representative from a Chinese manufacturing company said the company is exploring partnerships with local businesses in the solar sector.
Entrepreneur Imran Thabang Makama said there are opportunities for expansion into other African markets facing energy constraints. “There are opportunities across Africa,” he said.
Speakers said access to solar energy remains limited, with adoption largely concentrated among higher-income households and businesses.
Mhlanga said IPS aims to expand access through its service offering and financing approaches.
“We are building solutions that allow people to take ownership of their power over time,” she said.
Mhlanga noted that the company will provide ongoing maintenance and customer support services.
While Eskom’s electricity supply has stabilised in recent months, with improved generation performance reducing load-shedding, rising tariffs continue to affect households and businesses.
“We are not just responding to load-shedding; we are addressing energy independence,” Mhlanga added.
As electricity tariffs continue to rise, squeezing household and small business budgets, a new solar company has entered the market with stokvel and crowdfunding models aimed at making renewable energy more affordable and accessible. Ipeleng Power Solutions (IPS), founded by entrepreneur Ipeleng Mhlanga, 32, launched in Johannesburg this week, offering solar system design, installation, maintenance
