Wheeling
Solar finance glossary · South Africa
Quick definition
Wheeling is the arrangement under which electricity generated at one site is delivered to a customer at a different site using the existing transmission or distribution network, with the network owner charging a use-of-system fee and the energy itself being sold under a bilateral contract between generator and customer.
In South Africa, wheeling lets a business buy renewable energy from a solar or wind plant it does not host, for example because its roof is too small or its premises are leased. It requires a wheeling agreement with the national utility or the relevant municipality, a supply agreement with the generator, and metering at both ends so that the energy injected and consumed can be reconciled and credited on the customer's bill. Losses and network charges reduce the net benefit.
Regulatory changes since 2021, including the removal of the licensing threshold for private generation and the growth of municipal wheeling frameworks, have expanded the market, and energy traders now aggregate multiple generators and customers. Availability and pricing still differ materially between municipalities.
ArkFlow is a software platform that facilitates modelling a wheeled supply alongside on-site generation in a customer's financial proposal.
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Solar PPAs in South Africa: Pay for the Power, Not the Plant →A solar PPA lets a South African business pay per kilowatt-hour produced with zero upfront. The provider owns and maintains the plant; it is yours at term end.
ArkFlow is a software platform that facilitates solar finance origination. It is not a bank, lender, credit provider, tax adviser or financial adviser. This definition is general information, not a credit offer or advice. Funders make their own credit decisions and tax treatment should be confirmed with a registered practitioner.