Solar power systems are the future of energy generation all over the world, and solar panels are its most important components. The reason why solar panels are important is that they absorb energy from sunlight and use that energy to generate electricity. Over the past few years, the Australian solar market has witnessed hundreds of manufacturers making their way into Australia from all around the globe. We all know that solar panels come with a long lifetime of 25 years; some even last longer than the assured period of time. Before you purchase or install solar panels, it is essential to get a proper idea about the warranties that come with them. This is because the installation of solar panels is an expensive investment, and you cannot replace the panels once every few years. Solar panel warranties are important, and understanding that importance is a must for every homeowner switching to solar. At Compare Solar Quotes, we understand the value of each and every customer’s hard-earned money spent to switch to solar. Therefore, in this guide, we will discuss why the solar panel warranties are important.
What is Solar Panel warranty?
When it comes to solar panels, they lose a certain but small percentage of their efficiency with each passing year. This means that every year the amount of energy the solar panels generate decreases by a small amount. However, solar panel manufacturers ensure that over the period of 25 years, the energy output of the solar panels decreases by only 10 to 20 per cent. This trust in the panels is ensured by the performance warranty, which states that the solar panels will perform at 80 to 90 per cent of their original energy output after 25 years of service.
Types of Solar Panel warranties
Solar panels come with two types of warranties, and both of them are important in their own ways. These two types are:
- Performance Warranty
As we discussed above, the performance warranty of solar panels ensures that the product will meet the solar panel energy output requirement after 25 years of service. Typically, solar panels lose up to 20 per cent of their energy output by the end of their lifetime.
This percentage is divided into two portions: the panels will withhold 90 per cent of the production capacity by the end of 10 years, and the panels will degrade to 80 per cent within the rest of the lifetime. The purpose of this warranty is to reduce the amount of electricity homeowners import to power their homes from the mains electricity grid.
If, in any case, the output decreases less than the expected percentage, the performance warranty will be applied, and you can replace the solar panels under this warranty.
- Product Warranty
The second type of warranty that solar panels come with is the product warranty, also known as the material warranty. This warranty covers all sorts of defects in the solar panels or in the manufacturing process. In the majority of cases, the product warranty covers the cost required to replace solar panels that have defects, faulty wiring, rusting, and so on.
In a few cases, the warranty will also cover the labour costs required in replacing the panels. Whether the labour costs will be covered or not solely depends on the solar panel manufacturer. However, even if the plan does not cover the labour cost, it will still allow you to save a significant amount of money on solar panel replacement. Not only that, but it will also make sure that you have a new solar panel instead of the faulty one.
How long do Solar Panel warranties last?
The amount of time that the solar panel warranties last typically depends on the warranty and the manufacturer that manufactures the solar panels. Performance warranty typically lasts for about 25 years, and some even last for a longer period of time.
On the other hand, a product warranty typically lasts for a shorter period of time compared to a performance warranty. Most of the solar panel manufacturers offer a product warranty that ranges between 12 to 15 years. However, there are a few solar panels that come with a product warranty of 25 years. While the performance warranty is the same for almost each and every solar panel manufacturer, the product warranty usually depends on the manufacturer.
However, one of the most important things to take care of when it comes to solar panel warranties is the installation plan. If the installation is not done properly or if there are any shortcomings in the plan, then the manufacturer has the right to cancel the warranty. This will cause the homeowners to bear the costs of solar panel replacement by themselves.
Solar installer warranty
Another solar panel warranty to take about is the warranty provided by the solar installer. In the Australian solar market, there are a few solar installers who offer this warranty to their customers. In this warranty, the solar installer will cover the costs of replacement along with labour costs and so on in case there is a problem with the solar panel installation process.
There are often instances when the solar panels do not work as efficiently as they are supposed to, and that often occurs due to a problem during installation. The solar installer warranty typically lasts for about 5 years from the day of installation.
We all know that solar panel installation is one of the most expensive additions to a home. It allows people to reduce their dependence on grid imported electricity by switching to solar. However, there are a few risks involved with solar panel installation, such as faulty panels or wiring, inefficient performance, faulty installation, and so on.
In order to tackle these situations, solar panel warranties are extremely important. Before purchasing solar panels, check for the performance and product warranty along with the conditions. Do not forget to discuss the solar installer warranty with your solar installer.