Township businesses are increasingly turning to solar power to stay sustainable and energy independent.
• Load-shedding costs South Africa’s economy an estimated R4 billion per day, according to Business Tech.
•A Netbank survey with the Township Entrepreneurs Alliance that over 60% of township businesses stop operations during power cuts, while nearly two-thirds have cut jobs as a result.
• Informal trade in South Africa is valued at more than R160 billion annually, supporting millions of households Stats SA, 2022.
A single solar panel rests on the roof of MaZulu’s stall, angled just enough to catch the late afternoon sun. The cables run into a small grey box tucked behind her counter, next to stacked bread loaves and cooking oil. The faint buzz of the battery is easy to miss under the crackle of hot oil, but the strip of lights above her serving hatch tells the story they stay bright even when the rest of the street falls into darkness.
Load-shedding is not just an inconvenience in Soweto; it is a business killer. For small traders, every hour of darkness means lost sales, spoiled food, and restless customers. But one local vendor, known as MaZulu, is rewriting the rules of township entrepreneurship with a solar panel, a fryer, and South Africa’s favourite township meal, the kota.
For years, MaZulu ran her small kota stand on electricity from the grid. Each afternoon, as school kids poured out of classrooms, she would prepare steaming loaves stuffed with polony, cheese, chips, and atchar. Business was steady until rolling blackouts began to cut into her trade.
“Kids don’t wait for electricity,” she said with a laugh, frying chips under her solar-powered light. “They want their kota hot, with cheese melted, even if Eskom is off.”The change came last year when she signed up for a pay-as-you-go solar package from a local energy provider. Instead of paying tens of thousands upfront for panels and installation, she pays a daily fee that adjusts with her sales. “If I don’t sell, I don’t pay. It’s like rent for the sun,” she explained.
According to Tech-Financials i-solar was founded to transform how low-income households access affordable solar energy removing the high upfront cost barrier and enabling folks to pay as little as R1 per day via mobile money so they can finally own their own power.
Street food is a pillar of the township economy. While exact numbers are hard to pin down, Stats SA data shows that millions of households rely on informal traders for daily meals. In Soweto alone, the fast-food informal sector supports thousands of families.
Informal trade in South Africa is valued at more than R160 billion annually
On an average school day, MaZulu sells 60 to 80 kotas, bringing in around R2,000 in revenue. Before solar, two hours of load-shedding would slash her sales by up to 30%, with chips left half-cooked and fridges failing. Now, she says, she can run her fryer, lights, and
card machine without disruption. “The only time I close early now is when the bread runs out.” This shift is about more than convenience: it’s survival.
Eskom’s current tariffs for small businesses average around R2.80 per kWh Eskom Tariff Book 2024. For a trader like MaZulu, running a fryer, fridge, and lights for about 10 hours can use up to 10 kWh per day, costing roughly R28 under normal conditions.
On paper, solar looks more expensive. But the difference is reliability. “R28 for Eskom is cheap until load-shedding hits,” she said. “When the power goes, I can lose R600 in sales in just one evening. That’s my real electricity bill.”
Over a month, MaZulu spends a few thousand rand on solar. But because she estimates solar saves her at least R6,000 in lost sales each month, she sees it as an investment, not a cost.
The stakes are high. Nedbank’s research shows that power cuts are the single biggest obstacle township traders face, ahead of crime or stock shortages (Nedbank Report, 2023).
Township entrepreneurs operate on thin margins; even a R500 daily loss can mean a child going without school shoes. South Africa is facing a twin crisis of unemployment and energy insecurity. Informal trade, worth more than R160 billion annually, acts as a safety net formillions excluded from the formal economy (Worldbank). Yet its growth is stunted by unreliable infrastructure.
Township businesses leaning towards soler power stay sustainable and energy independent.
Economist Lumkile Mondi of Wits University agrees that solar adoption is more than a business choice. “For township traders, reliable energy is the difference between staying in the market and closing down. Solar leasing models are lowering the barrier to entry, but adoption is still uneven,” he said.
Not all traders can afford the leap. A few streets from MaZulu, 34-year-old vendor Bongani Mokoena still runs his spaza shop on the grid. Bongani Mokoena’s spaza sits in silence during load-shedding, his fridge is off and meat slowly spilling while a candle on the counter flickers against shelves of warm cooldrinks. Where MaZulu keeps serving hot kotas under steady light, Bongani counts his losses; he estimates losing R400 to R600 weekly when fridges fail during load-shedding (Al Jazeera, 2023).
“You need money to save money,” he said, standing next to a silent freezer filled with thawing chicken. “If I had a pay-as-you-go solar option on cash, I’d take it tomorrow. But with three kids and school fees, sometimes you just push through the dark.”
Energy researchers point out that prepaid, small-scale solar models like the one MaZulu uses could scale township resilience. “We’re seeing a trend where township traders are early adopters of fintech and pay-as-you-go services,” said Nthabiseng Molefe, an energy researcher at the University of Johannesburg. “They are practical, adaptive, and quick to see value.”
Still, barriers remain. Upfront installation costs, even when structured as daily payments, can be daunting for low-turnover vendors. While solar makes sense for high-volume businesses like MaZulu’s kota stand, smaller stalls selling vetkoek or amagwinya may not generate enough sales to justify the cost.
A study by S. Ngcongwane indicates that township small, medium, and micro enterprises (SMMEs) are increasingly considering solar energy as a viable alternative to unreliable grid electricity. The research highlights that many township SMMEs are exploring solar energytechnology adoption to enhance their operational efficiency and reduce dependence on the national grid.
Back at her stand, MaZulu is less concerned with the financial equations and more with her customers. For her, the kota is not just about feeding Soweto, but about keeping a township tradition alive.
“People say township businesses are small, but my kota stand puts my kids through school,” she said, wiping her hands on her apron. “If the sun is shining, I’m working. That’s freedom.”
While South Africa debates energy reforms, township entrepreneurs like MaZulu are already adapting. For them, solar power is not just about escaping Eskom or addressing climate change: it is what keeps food on the table, and hope within reach.
FEATURED IMAGE: Solar Power fuels township businesses as rising energy costs bites by Lindelwa Khanyile
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