Alternative energy systems: Solar inverter systems

Introduction

Over the past three years, alternative energy systems — including battery backup power storage — have become increasingly common as fixed, permanent improvements to buildings. These systems may include generators and electrical inverters, with or without solar panels that supplement the energy supply. Costs can vary widely, ranging from about R30,000 to over R500,000, depending on the user’s energy requirements. Typically, these permanent installations are integrated into a building’s electrical distribution board with switchgear, allowing for immediate, uninterrupted power when municipal supply is interrupted or load-shed.

For the purposes of this article, we will focus on the risks associated with such systems and the responsibilities of owners using inverter setups, whether solar or non-solar.

Risks

It has become increasingly evident that solar panel installations can cause damage to roofing structures and affect long-term maintenance costs. The introduction of additional electrical wiring and components in roof and ceiling spaces has also become more common. In community scheme environments, particular care must be taken to ensure that the integrity of common property roof structures is not compromised and that the rights of other owners are not infringed.

As solar panels are external fixtures, they may also be vulnerable to theft or malicious damage. Full theft cover can usually be obtained through an additional insurance premium, subject to application.

Battery systems present further risks, especially certain high-capacity types that may overheat due to inadequate ventilation or poor installation. It is now widely recognised that lithium-ion batteries, in particular, are susceptible to spontaneous combustion or explosion, and such fires cannot be extinguished using standard firefighting equipment.

Responsibilities

All permanently installed inverter systems must be accompanied by a valid certificate of compliance, issued by an independent, suitably qualified, and approved electrician.

Owners are required to inform their insurers of the full details, nature, and extent of the system installed. This ensures that the improvement is correctly recorded for insurance valuation purposes and allows the insurer to assess any increased fire risk to the building as a whole.

In commercial or industrial environments, where packing and storage activities often occur, it is critical that no combustible materials are stored or stacked near these installations.

Insurers may, in some cases, impose additional warranty conditions requiring enhanced fire protection measures or equipment.

Conclusion

By ensuring that your installation complies with regulations and by providing your insurer with full and accurate disclosure of the system, you can have confidence that you are properly covered in the event of a fire or other damage related to the installation.

Failure to disclose these material improvements to your insurer could seriously prejudice you as a property owner