Solar Panels Work

A solar PV rooftop system is an essential component of a roof and is expected to work 20 years. Because it is costly, warranties must be a key aspect of the purchase decision. In this article we will discuss warranties, risks associated with warranties, and tactics on how to offset these risks.

Solar panels: Manufacturer’s warranty. Virtually all solar panel manufacturers offer the same warranty. For solar panels, the industry standard is 5 years on parts and labour, and 25 years on 20% output degradation. It is well known however, that the typical life span for solar panels is much more than 20-25 years. For example, solar farms built in the mid ’70s still generate electrical power to this day. However if you would prefer extra assurance, you may consider purchasing an extended warranty or panels with warranty above the industry standards (obviously these will cost more).

Solar panels: Waiving of warranty due to manufacturer’s bankruptcy. There is a probability that the panel manufacturer will go out of business and will not honor the warranty. In this situation, consider that the typical lifetime of photovoltaic panels is a lot more than 20-25 years and may not require use of the warranty at all. Besides, all solar panels sold in North America and used in grid tie installations are subjects to strict certification (UL, TUV, etc). Thus, a panel failure within the warranty lifespan is a pretty infrequent event and the likelihood that the manufacturer will go out of business and not honor the warranty is pretty remote as well.

Inverters: Manufacturer’s warranty. Almost all manufacturers of inverters offer a similar warranty. For inverters, the industry standard is 5 years on parts and labour. It is well known that the typical life span of an inverter is around 15-20 years; so the possibility that you will have to change the inverter during the 20 year timeframe (e.g. span of FIT contracts in Ontario) is not unlikely. For this reason, you may consider buying extended warranty or inverters with warranty above the industry standards (clearly these will cost more).

Inverters: Waiving of warranty due to manufacturer’s insolvency. There is a probability that the inverter manufacturer will go out of business and will not honor the warranty. Contrary to the solar panel industry with hundreds (if not thousands) of suppliers, the inverter industry has no more than 10 major players with well established market shares. Thus, the possibility that the manufacturer will go out of business and not honor the warranty within the warranty lifespan is pretty remote.

Installer’s warranty. There are no industry standards. Installers may offer you warranty for their labour and extended warranty for parts of a PV system. The extended warranty is practical if you want to lock your expenses and reduce possible downtime of the system.

Installer’s warranty: Waiving of warranty due to installer’s insolvency. There is the possibility that the installer may close shop and will not honor the warranty. With a huge number of players (80,000 installers in California alone) this is a quite possible scenario. To offset this risk, consider installers who have been in solar or adjacent businesses (e.g. roofers, HVAC) for a long period of time. In this case, they have navigated through ups and downs of economic reality and have much better chances of making it through in the long run.

Roof warranty. Any roof penetration (which is almost certain for rooftop installation) almost certainly waives roof warranty. In order to offset this risk while installing a PV system, look into dealing with a business that does both roofing and solar PV installations.

About The Author

Gennadi Saiko is a green energy activist and blogger. To learn more about investment in photovoltaics visit Solar PV Installation or his blog Solar Technologies

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