Solar systems sales surge in Israel amid electricity price concerns

According to data from the Enerpoint company, in the first half of 2022 there was a 12% increase in the installation of solar systems using photovoltaic technology.

 Photovoltaic array at the National Solar Energy Center, Jacob Blaustein Institutes for Desert Research, in the Negev Desert of Israel. (photo credit: Wikimedia Commons)
Photovoltaic array at the National Solar Energy Center, Jacob Blaustein Institutes for Desert Research, in the Negev Desert of Israel.
(photo credit: Wikimedia Commons)

The increase in electricity rates by 8.6% at the beginning of August, along with an earlier increase of 2.2%, and the expectation of continued price increases in accordance with the worldwide price hikes of oil has led to the rise in demand for installing solar panel systems in private homes.

There are several companies operating in the solar market whose economic model is installing systems at their own expense while guaranteeing current income and return on investment. The Enerpoint company, acquired by the automobile importer Colmobil, is one of the largest solar system installers.

Installing a home solar energy system on a 120 square meter flat roof produces 28,927 kWh in the first year. The

expected annual income for the client is NIS 13,885 per year with a yearly return of 14%. The investment in installing the system is returned within 6.5 years.

According to Enerpoint data, in the first half of 2022, there was a 12% increase in the installation of solar systems using photovoltaic technology in private homes, and it’s expected that by year’s end this will rise to more than 20%. 

 Solar panels (illustrative) (credit: FLICKR.COM) Solar panels (illustrative) (credit: FLICKR.COM)

This trend showed significant growth in July and the first days of August.

This trend also correlates with the government's decision to have 20% of electricity production from renewable energy sources by 2025 and 30% by 2030.

CEO of Enerpoint Nir Peleg: "The high electricity prices have led the solar energy field to a worthwhile investment that generates passive income for the property owner; these are green systems. The annual returns are double digits and the risk is low."