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Solar Terminology Explained: A Glossary of Common Terms

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We break down the terminology and mechanics of solar energy systems to demystify this increasingly popular form of renewable energy.

Solar energy can be a wise solution for homeowners seeking more sustainability. It’s an efficient and environmentally friendly alternative to fossil fuels. However, some solar terminology can be confusing, especially for those without solar energy knowledge. This guide will acquaint you with the concept of solar energy, common solar terms, and how solar can help you save money on energy bills.


Understanding Solar Energy

Solar energy is a power source that harnesses sunlight and converts it into forms of usable energy. Since solar electricity comes from the sun, it offers homeowners a more sustainable alternative to traditional fossil fuels. The amount of power generated by solar is typically measured in kilowatt-hours (kWh).

Solar energy has been in the news for some time. It is popular in the transportation sector, with solar companies producing solar-powered vehicles such as cars, buses, and boats. When a vehicle uses solar energy, it can recharge using a battery rather than relying on fossil fuels for power generation.

Homeowners can also install a series of solar panels—also known as a solar array—on their homes. These solar panels are easy to install and allow people to save on energy bills while being environmentally friendly.


Solar Panel Basics

Solar panels convert sunlight, which is composed of particles of solar energy called photons, into electrical power using photovoltaic (PV) cells. The solar cells that make up each solar panel contain semiconductor materials. When exposed to light, the semiconductor absorbs its energy and transfers it to negatively charged particles called electrons. 

There are many types of solar panels with varying efficiency levels and prices. 

Solar Panel Efficiency

Solar panels are renewable power sources that allow you to lower your monthly electricity bills while reducing greenhouse gas emissions. Electrical devices and circuits occupy a lot of energy grid space, while solar panels have very little effect. Solar panels generate a flow of direct current (DC) electricity through the photovoltaic effect when exposed to sunlight through an inverter. 

Types of Solar Panels

There are three primary types of solar panels, although many distinct brands and styles are available. Here are the three types you should know about:

  • Monocrystalline solar panels: These are also known as mono panels and are made from a single silicon crystal. They’re most common for residential use since they feature an efficient design perfect for smaller spaces. Monocrystalline panels come in either passivated emitter and rear contact (PERC) panels—made with an extra conductive layer on the backside of their PV cells to increase energy absorption—or bifacial panels, which can absorb light on both faces and at a higher rate than PERC panels. Bifacial panels are best for highly reflective surfaces, such as white commercial roofs and canopies.
  • Polycrystalline solar panels: This type of solar panel is made with older technology. While this makes polycrystalline solar panels more affordable, it also makes them less efficient.
  • Thin-film solar panels: Thin-film solar panels are the least efficient of the three types, making them a good option for small commercial buildings or industrial solar operations. They have a sleek appearance and blend in with most roofs.

Of the three, monocrystalline solar panels typically last the longest, with an average life span of 25 years or longer. They also require the least amount of roof space. Polycrystalline solar panels are also long-lasting but tend to be less efficient. Thin-film solar panels are the least expensive option but are also the least efficient and require the most space. Talk to a home improvement expert for personalized recommendations if you’re considering solar panels.

Solar Panel Position and Location

Changes in sunlight throughout the day can impact your solar panels’ efficiency. If the skies are overcast, the solar panels will absorb less solar energy through an alternating current. However, high temperatures can also negatively affect energy absorption because heat generates greater resistance and slows electrical currents, making solar panels less efficient and reducing their output.

If you’re preparing to install solar panels, carefully consider their placement. According to the Department of Energy (DOE), the best placement for solar panels in the continental U.S. is facing roughly south, tilted between 15 and 40 degrees. This allows the panels to stay in the sun longer. However, there’s no one-size-fits-all solution for solar panels. Consider factors such as roof size and any obstructions, such as large trees in your yard, before deciding on placement. The direction is more important than the panels’ angle. Ground-mounted solar panels can be installed anywhere with sufficient sun exposure and open space. 

You can also install a solar battery for excess energy storage. Solar batteries can power off-grid systems or provide backup power for grid-connected systems during outages. 


Pros and Cons of Solar Energy

Going solar is a big decision that can majorly impact your finances and lifestyle. Its benefits include significantly reducing energy bills and your overall carbon footprint. Solar energy is a cleaner and more environmentally friendly choice, allowing you to access an emissions-free power source. Shifting to solar energy can also increase your home value

Still, there are some potential drawbacks to solar energy. Solar panels can be expensive. The total cost varies based on your home size and location, the installer, and your chosen materials. The Lawrence Berkeley National Laboratory estimates that the national average cost of a residential solar power system is $3.80 per watt. 

Switching to solar energy can also raise your property taxes because solar panels increase your home’s value. You may even need to make changes to your homeowner’s insurance policy. Before scheduling an installation, check your policy to see whether your provider covers solar. 

There are certain tax incentives and special offers designed to mitigate solar panel installation costs, and many solar installers provide financing options to those who qualify. This includes property tax exemptions (in some states). 


Solar Panel Installation

Before installing solar panels, dedicate some time to research and planning. Assess the condition of your roof. If it requires replacement, consider doing this before adding solar panels. You can also get the work done in conjunction with the solar panel installation.

Check with your homeowners association (HOA) before scheduling any solar installation projects. Some HOAs may restrict or prohibit solar panel installation, while others encourage solar power initiatives. You should also look into pricing and establish a budget for solar panels. This includes evaluating your energy bill and researching available tax credits and incentives for homeowners in your area. If you’re eligible for federal, state, local, or utility incentives, factor that into your budget. Talk to your local utility company to see if they have policies regarding solar power initiatives.

Consider whether you want to work with a professional installation company or take a DIY approach. While it is more expensive to work with a professional, you’ll have the assurance that they will do the job correctly and to your exact specifications. Installing solar panels yourself can help you save money, but it can also be challenging if you don’t have previous experience with this type of project. Before installing a solar system on your own, do plenty of research so you’re prepared.


Net Metering Explained

Net metering is an electric billing tool that uses the electric grid to bank any excess energy your solar panels produce. With the net metering system, your utility company will credit any energy you don’t use back to you.

Net metering can make solar power systems more affordable by accounting for seasonal differences in solar production, spreading energy over time. Net metering also has benefits for the energy company by reducing transmission costs.


Our Conclusion

If you want to live a more environmentally friendly lifestyle and embrace a clean, renewable energy source, consider investing in the solar industry for your power output. Solar panels help lower your energy bills and can contribute to a more robust electrical grid. There are different solar panel types, each suitable for specific installations. 

If you want solar panels, research what style and type is best for your home. Decide whether to work with a professional installation company or do it yourself, since that will affect project costs. There are ways to make solar energy more affordable, such as tax credits, incentives, and net metering.


FAQ About Solar Terminology

What is solar energy?

Solar energy is energy from the sun converted into electrical energy. Solar energy is a clean, renewable energy source that can be used to heat, cool, and light homes and businesses.

How do solar panels work?

Solar panels convert energy from the sun into power. They can power a home or commercial residence, converting sunlight into electricity by using photovoltaic (PV) cells. Solar panels help homeowners to save money on utility bills and reduce greenhouse gas emissions.

What is net metering?

Net metering is an electric billing tool that uses the electric grid to bank any excess energy produced by your home’s solar panels. This excess energy is then spread out over the remainder of the year, helping to account for seasonal differences in solar production. Net metering benefits utility companies as well as homeowners.

How many solar panels do I need for my home?

Most homes need 15–20 solar panels, but the number you need depends on your roof size and energy needs. The best way to determine this is to talk to a professional installer.

What are the benefits of solar energy?

There are many benefits to solar energy. In addition to being a renewable resource, solar energy is cost-effective. You’ll spend less on your monthly utility bill and increase your home’s value over time.

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