Renewable energy use is seeing unprecedented growth around the world. In fact, wind and solar accounted for 12% of global electricity in 2022, driving down electricity-related emissions to record lows. As the benefits of solar and wind become more widely known, and as costs of green energy go down, more people are adopting the technology to lessen their fossil fuel dependence.
The simplest way for business owners to glean these benefits is by installing solar panels at their locations. But a solar installation project can be intimidating, with lots of unknown variables and terminology. Of course, the best way to demystify solar is to work with an energy-as-a-service company who can manage solar panel installation—and even pay for panels without you needing to spend money upfront. Even so, it is a good idea to familiarize yourself with some of the lingo, so you can better understand what solar entails and some of its surprising benefits.
We already created a glossary of solar terminology for beginners in another blog post, which you can read here. But now we're going even deeper, helping to define advanced solar energy terms for anyone looking to learn even more.
Micro-Inverter: Inverters are the part of a solar energy system that make the energy produced by the panels usable by converting the currents. A micro-inverter is a smaller type of inverter that attaches underneath each individual solar panel and maximizes the amount of energy converted from every panel. The alternate type of inverter is called a string inverter, which typically includes one larger inverter working for an array of solar panels that are wired together.
Balance of System (BOS): A solar energy system involves a lot more parts than just the panels themselves. BOS refers to all the components aside from the panels, such as inverters, wires, switches, fuses, mounting systems, and more.
Solar Canopies: Installing solar panels directly onto a roof or the ground is not always an option, and canopies are an increasingly popular alternative. Solar canopies can be put over car parking lots, patios, or gardens, and they provide additional benefits such as shade wherever they’re installed. Plus, they often allow for more surface area to be covered with panels than is often available on a roof.
Here’s a great example. At Budderfly, we recently installed solar panels on a drive-thru canopy at a Sonic location in New York.
Interconnection: Interconnection is a process that involves getting permission from your local authority to connect to the utility grid with your solar system. This allows you to take power from the grid if and when the solar system is not generating energy. There are different requirements for getting this permission depending on where you live, and the process can take a few weeks. If you work with an EaaS provider, they can use their expertise to help you sort it out as efficiently as possible.
Fixed Tilt: This describes a type of solar panel installation in which the panels are set at a certain angle vertically to maximize the amount of sunlight they receive. The ideal installation angle varies by location, as the sun hits differently at various latitudes.
Azimuth Angle: This is a geometric term that measures the sun’s position, and for solar panel installation is another consideration. Unlike the vertical tilt angle, though, the azimuth influences horizontal orientation, by helping determine which way the panels face relative to North or South.
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Efficiency: You’re probably familiar with the term “energy efficiency,” which means using the least amount of energy possible to do the same amount of work. Solar panel efficiency is a bit different: it refers to the amount of energy a panel is able to generate from sunlight. So, if there are two panels of the same size and location, a higher-efficiency model will be able to create more usable energy in the same amount of time.
Peak Sun Hours: These are times when the sun’s intensity reaches an average of 1,000 watts of energy per square meter within an hour. Naturally, these are the times when solar panels will be able to generate the most energy. Peak sun hours can vary by time of year, season, and geographic location. So warmer climates, for example, will typically have more peak sun hours. However, solar panels are worth installing even in locations with fewer peak hours.
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Renewable Energy Certificates (RECs): RECs are essentially proof that a person owns one megawatt-hour (MWh) of energy generated by a renewable resource. This electricity can be transferred to the grid, and RECs can then be sold to businesses who may be looking for carbon credits to offset their own carbon footprint.
Dollars Per Watt/Dollars Per Kilowatt Hour. Dollars Per Watt is one way that people assess the true cost of a solar panel system, by dividing the total cost by the wattage of the solar system. Another way to measure solar panel cost is LCOE or Levelized Cost of Energy, which shows how much it actually costs to produce the energy. Dollars Per Watt is often considered best for comparing different solar panels’ costs, whereas Dollars Per KwH is more useful for comparing solar energy costs to grid energy costs.
There are so many factors to consider before you start your journey to solar energy: cost, logistics, maintenance, and more. An energy-as-a-service company like Budderfly has deep expertise on all things solar, and we’re helping businesses across the U.S. get all the benefits of solar without the cost or stress. Want to learn more and to see if solar could be a good fit for you? Contact us today.