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Preheat oven to 100°C/90°C fan forced. Combine potato, onion and salt in a large bowl. Lay a clean tea towel or large piece of muslin on a work surface. Place potato mixture in the centre, wrap to enclose, then squeeze out as much excess liquid as possible.
Place the potato mixture in a clean large bowl. Add egg, flour, pepper and nutmeg, and mix well to combine.
Add enough oil and ghee to a large non-stick frying pan to cover the base, about 2 tablespoons of each and place over medium high heat. In batches, and adding more oil and ghee as needed, drop heaped tablespoons of the potato mixture into the pan, then use the back of the spoon to flatten each into a pancake about 10cm in diameter. Cook for 2-3 minutes on each side or until golden brown and cooked through. Transfer to a wire rack set over a baking tray and place in the preheated oven to keep warm.
Arrange the pancakes on a serving platter. Season and serve with apple sauce alongside.