Solar Sales, Overview And Definitions

When it comes to solar power, there are a lot of terms that get thrown around. If you’re new to the solar scene, all of these terms can be incredibly confusing. What’s a PV panel? What’s net-metering?

Don’t worry, we’re here to help. In this blog post, we’re going to give you a quick overview of some of the most important solar terms. By the end of this post, you should have a much better understanding of how solar power works.

PV Panel

A PV panel is the most important component of a solar power system. PV panels are made of silicon cells that convert sunlight into electricity. The electricity produced by PV panels can be used to power homes, businesses, and even entire cities.

Net-Metering

Net-metering is a billing system that allows solar customers to sell excess electricity back to their utilities. Under net-metering arrangements, utilities will provide solar customers with a credit for the electricity they produce.

This credit can be used to offset future electricity costs. In some cases, solar customers may even receive a check from their utility for the excess electricity they produce.

Solar Lease

A solar lease is a financing arrangement in which a solar developer owns, operates, and maintains a solar power system on a customer’s property. Solar leases are often used by businesses and government entities that want to go solar, but don’t have the upfront capital to purchase a solar system.

Solar Power Purchase Agreement (PPA)

A solar PPA is a financing arrangement in which a solar developer owns, operates, and maintains a solar power system on a customer’s property. Solar PPAs are often used by businesses and government entities that want to go solar, but don’t have the upfront capital to purchase a solar system.

Solar Rebate

Solar rebates are incentives offered by utilities and governments to encourage the adoption of solar power. Solar rebates can take the form of cash payments, tax credits, or even free solar panels.

Solar Incentive

Solar incentives are incentives offered by utilities and governments to encourage the adoption of solar power. Solar incentives can take the form of cash payments, tax credits, or even free solar panels.

Solar Tax Credit

Solar tax credits are incentives offered by federal, state, and local governments to encourage the adoption of solar power. Solar tax credits can take the form of a reduced tax bill or a refundable credit.

Feed-in Tariff

A feed-in tariff (FIT) is a policy that requires utilities to purchase electricity from renewable energy projects, like solar power plants. FITs typically guarantee a fixed price for the electricity produced by the renewable energy project.

This fixed price is often higher than the market price for electricity, making FITs a powerful incentive for solar development.

Renewable Portfolio Standard

A renewable portfolio standard (RPS) is a policy that requires utilities to source a certain percentage of their electricity from renewable energy sources. The percentage required by an RPS can vary, but is typically between 10-30%.

Solar Renewable Energy Credits

Solar renewable energy credits (SRECs) are credits that solar power system owners can sell to utilities in order to meet their renewable portfolio standards. One SREC is equivalent to one megawatt-hour (MWh) of solar electricity.

Solar Grant

Solar grants are financial incentives offered by federal, state, and local governments to encourage the adoption of solar power. Solar grants can take the form of cash payments, tax credits, or even free solar panels.

Solar Loan

Solar loans are financing arrangements in which a solar customer borrows money from a lender to pay for their solar power system. Solar loans can be used to finance the purchase of a solar power system or to finance the installation of a solar power system.

Solar Debate

The solar debate is the ongoing debate over the merits of solar power. Proponents of solar power argue that it is a clean, renewable, and affordable source of energy. Opponents of solar power argue that it is expensive, unreliable, and inefficient.