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Solar underperformance could be costing SA farmers more than they think

MANY farmers investing in solar energy assume that once their system is installed, savings and efficiency will follow automatically. But that is not always the reality.

Underperformance is a serious risk that can quietly drain profitability, increase operational costs, and even disrupt core activities like irrigation, cold storage, or processing. If the solar system isn’t generating the power that it’s planned for, the consequences could include paying more for electricity than anticipated, falling short of operational goals, or even breaching sustainability-linked agreements.

According to Candi Solar South Africa, the reality is that many agricultural operations experience a shortfall in solar performance due to poor installation, inadequate maintenance, and a lack of proper monitoring. Without a clear strategy to manage these risks, a solar investment may not deliver the expected returns.

Causes of under-performance

“Solar system performance can be affected by various factors, notably poor installation, inadequate system maintenance, a lack of quality data, and inadequate health and safety infrastructure,” says Richard Flamand, country lead at Candi Solar South Africa.

For example, solar panels installed without the correct orientation and tilt, as well as improper panel sizing, or the use of lower efficiency panels, will result in sub-par performance. Dirty or damaged solar panels as well as component failures like inefficient inverters, wiring issues or defective panels, will also reduce efficiency and decrease energy output.

A lack of proper maintenance and expertise can result in declining performance over time, while inaccurate data analytics make it difficult to identify issues before they escalate, and could even lead to non-compliance with industry regulations or legal penalties, according to Candi Solar South Africa.

“What we’re seeing is that businesses often don’t have a clear strategy for managing these challenges, which directly impacts the bottom line,” notes Flamand. “Most businesses don’t account for performance issues in their initial financial planning, creating unexpected gaps in projected savings. Even when performance issues are identified, many organisations lack the expertise to address them effectively.”

Safeguarding solar investments

One of the core challenges in agricultural solar adoption is that most systems are sold and installed with little to no long-term performance oversight. Once the system is operational, it’s often left to the farm to manage – despite limited on-site technical capacity or access to performance monitoring tools.

To address this, some solar providers are beginning to offer performance-based asset management solutions. These models are designed to link system oversight directly to actual energy output, creating greater accountability and more reliable long-term savings.

One such solution, launched by Candi Solar, is Solar ProtectPlus, which integrates monitoring, preventative maintenance, and performance guarantees into a single offering. The service includes financial compensation for measurable underperformance, proactive system repairs, and real-time analytics that help detect and resolve issues early.

This model aims to shift the burden of solar system management away from the farm and onto a provider that is financially invested in delivering consistent energy output. By aligning service incentives with system performance, farms may gain greater peace of mind that their solar investment will meet the expected returns.

While still relatively new in South Africa, these kinds of models are gaining ground internationally and could represent a broader shift in how agricultural solar systems are managed and protected.

Raising the bar for solar asset performance

As more farms turn to solar for energy security, operational efficiency and sustainable growth, performance assurance is becoming a central part of the conversation. Energy savings are no longer just about system installation – they depend on consistent, long-term performance.

Performance-linked models offer a new way for agricultural operations to reduce the risks of underperformance, avoid unexpected costs, and maximise return on investment. As this approach becomes more widely adopted, it may set a new standard in how South African farms approach solar – ensuring it delivers not just clean energy, but reliable, measurable value.

“Solar ProtectPlus transforms the energy landscape by providing complete protection against underperformance while ensuring optimal system efficiency. We are effectively removing all the uncertainty, complexity and risk from solar asset management. This means businesses can focus on their core operations while we ensure their solar investments deliver maximum value,” concludes Flamand.