What Warranty Do Solar Panels and Inverters Carry?

Posted in: Solar Power, Panels & Batteries
Solar Flow Team
December 12, 2022

It’s not just about picking the best solar panels & inverters for your system; you also need to make sure they’re covered by a good warranty.

You need to ensure that they are protected in case they break or cause other issues. However, the guarantee on these devices is not without its caveats, since there are essentially four different warranties that must be taken into account. Take a look below to learn about some of the most common product warranties.

When comparing prices for solar energy systems and installation, there are a number of guarantees to think about. Among these are:

Warranty on Solar Panel Efficiency (25 years)
Product warranty for solar panels (10 to 25 years)
Warranties for inverters (5 to 10 years)
Warranty for faulty installations
Warranty for the entire system

Is the Warranty on Your Solar Panels Reliable?

Some of your panels aren’t producing as much energy as they should be, but you’re not worried because you have a 25-year warranty on your solar array.

You try calling your installer, but there is no answer. The company, it seems, is no longer operational. When your solar panel warranty expires, the relief you felt at first quickly gives way to anger at being abandoned.

The aforementioned situation is all too prevalent, and we frequently receive calls from clients in desperate need of assistance after their initial installer has gone out of business.

It is believed that as many as one-third of all solar systems are abandoned because their original installers and/or manufacturers are no longer in operation. One-third of solar-powered homes have no contact with the firm that installed their panels, and if you’re not vigilant, you could become one of them.

Why is Australia the chosen location for this tragedy?

Well, alas, businesses trying to take advantage of customers will jump at the chance to cash in on anything subsidised by the government. When done by trained professionals, solar energy systems are a marvel of modern technology. There have been over 750 liquidations or cease-and-desist orders for solar installation businesses since 2011.

Because of this, it’s important to steer clear of low-cost solar systems, which may come with empty guarantees and low-quality components, or a price that seems to be for about the same solar system but is significantly lower than other bids.

When examining the system’s warranty, there are a number of aspects to keep in mind. We’ve included a breakdown of the various solar system warranties available so that you may make an informed decision about both the system and the installer.

Warranty on Solar Panel Efficiency

Solar panels typically come with a 25-year performance warranty, while some manufacturers offer 30-year warranties. Many solar panel installation businesses will advertise a 25-year performance warranty, but this warranty rarely extends to cover the cost of repairs or replacement.

After 25 years of use, any decent panel should be able to maintain output at 80% or higher of its initial rating. Because returning the panels to the nation of manufacture would be inconvenient, knowing who your importer is is essential under Australian consumer law.

Some companies that are concerned about this possibility offer free prepaid insurance to guarantee that the warranty would be maintained even if the company goes bankrupt. Theft and malfunction are just two of the many things that are covered by the comprehensive insurance offered by some companies.

WARNING: It is imperative that you review the policy’s exclusions and any fine print before making a claim. It’s possible to lose both warranty as well as insurance coverage if the manufacturer paid for their own product insurance on an annual basis rather than paying for it all up front.

Warranty on Solar Panel Product

The typical panel product warranty period is between ten to fifteen years.

Depending on the panel installation firm and their policies, some panels come with a 25-year product guarantee. When compared to the panel performance warranty, this one is notably shorter and different. However, a common misconception seems to be that this particular warranty also covers the panel’s performance. That could trick consumers into thinking they’re covered for a longer duration than they actually are.

Almost without exception, solar panels used in a residential or commercial PV system will continue to function reliably for decades after installation. However, issues with solar panels may arise on occasion, so if you do have a problem with a panel after installation, know that it will not render the remainder of your system unworkable.

Depending on the cause of the panel loss, the remainder of your system may be able to continue operating without the failed panel. However, panel failures can infrequently affect the functionality of nearby panels. It is the product warranty insurance which will pay to have a defective solar panel replaced.

Differentiating Between a Product Warranty and a Performance Warranty

If you want to tell high-quality panels from low-quality modules, look at the performance warranty instead of the product warranty. A product warranty ensures that the device will function as intended, whereas a performance warranty ensures that a certain system will produce a certain percentage of its peak capacity even after 25 years.

Warranty on the Inverter

The inverter produces alternating current (AC) when DC power is fed into it.

Typically, a 5-year warranty is provided on inverters, however longer warranties of 10-years or more may be obtained through optional upgrades. These enhancements are typically supplied at the point of purchase or the installation, and they do not come cheap. Affordability is key when considering the worth of additional warranties, which might be a decent investment provided they don’t cost too much.

If placed correctly and nothing catastrophic happens to it, like a lightning strike, a high-quality inverter should last for at least a decade. Air temperatures, mains grid voltage, and mains power reliability are only a few of the variables that can affect the lifespan. Even the greatest equipment can be harmed by repeated large electrical spikes, which are created by heavy loads like electric motors.

Dust, heat, ventilation, and pests or vermin like mice or ants are all potential lifespan-reducing factors. Look for extended inverter warranties to protect yourself from financial loss due to unexpected failure. Minimum tenure recommendation is five years. It’s not uncommon to see a manufacturer’s guarantee that lasts for five years, with an additional five-year extension available for purchase.

Warranty on the Installation

The installer, not quite the maker of the panels or other parts of the system, will provide any necessary warranty for the labour involved in the installation. The typical duration of such a guarantee is either one or two years. Warranty periods for installations can sometimes reach ten years, however this is unusual and also problems will typically become apparent within the first several months after installation. Your ability to make educated decisions regarding your system is directly related to the amount of information you have about it. Since guarantees on installations are often nebulous, it’s important to check for the following:

To what extent does the installation guarantee apply?
Who is responsible for the warranty—the store or the subcontractor?

Finding out who is responsible for the warranty in the case that the solar installation is outsourced from the original solar business is crucial. The solar vendor may offer a warranty on installation, but if they don’t execute the work themselves, they’ll have to rely on the warranty offered by the sub-contractor, which will likely be much shorter.

A phone call to the installer should always be within reach. That’s why it’s crucial to work with an installation that also offers devoted service. Smaller installers can take months to complete service work, which is unacceptable if the solar system has indeed been disabled in the meanwhile.

Obtain details regarding the installation warranty’s duration and scope of coverage by inquiring about them. It’s possible that some businesses would charge you $200 or even more just to have someone come out and look at your solar system.

Warranty for the Entire System

A reliable solar energy provider will stand behind their work for at least 5 years after installation, if not longer.

Inquiring About Warranties With Your Installer: What Questions Should You Ask?

Make sure you enquire about the company’s warranties before deciding on an installer for your solar PV panels and inverters. Even though the installer may have told you there is a 25-year warranty, you should know that it does not cover all. Assuming it does cover the panels’ functionality, the warranties on the rest of the job are likely to be much shorter. It’s crucial that you know exactly what you’re paying for.

If There Are Problems or Safety Concerns With a Product, Who Should You Contact?

Getting in touch with your installer should be your first step if you’re having problems with a product or notice something that could pose a safety risk. They know all there is to know about the work they did for you, and they also know everything there is to know about the companies that made the materials they used. Repairing any potential safety hazards or other issues as soon as possible is essential, regardless of whether or not your solar panels and inverters are still covered by warranty. If you take good care of your solar panels system and inverters, they will last you a long time and save you money.

Only Buy From Reputable Brands

If you’re going to invest in solar PV panels for your residence or company, you should go with the best in the business.

Choose a manufacturer that brings:

Having a solid financial foundation.
Make sure it’s more than simply a serviced office inside the CBD with a phone or a receptionist if it’s an Australian office; it could be your only source of assistance if your installer has gone out of business.
Long-standing relationships with Australia’s leading wholesalers, or, even better, a manufacturer like LG, which is sizable enough to negotiate direct contracts with Australia’s best installers.
An International Solar Power Portfolio (It is imperative that the highest quality solar panels be used for these projects, hence it is imperative that proper due diligence be performed)
A substantial vertically-integrated industrial base (more than just an assembler)
The presence of a reputable R&D division

There are two key issues that consistently arise when people buy off-brand products. Either the results are subpar, or the parts wear out and need replacing. In the initial year or two, most inexpensive systems work well, and you write a fantastic review. However, by the third or fourth year, when you’ve made your money back, problems begin to arise.

Here, a lot of people figure out what makes a number of these systems so cheap. The system fails, and there is no means to contact the company or file a claim under the warranty.

Most Reliable Solar Panel Warranty

If you can, get a warranty that covers the entire solar installation. While some of the best solar panel installation businesses provide warranties of up to ten years, this is not the case everywhere. All of the solar power system components installed by a Clean Energy Council Approved Solar Retailer come with a minimum 5-year warranty.

The Onus of Care Lies Squarely With the Merchant

The advantage of this arrangement is that the solar dealer will fix any malfunctioning or underperforming components of the system. The quality of a solar panel installation company can be judged in part by whether or not they offer a warranty covering the complete system.

The Australian Consumer Law

Additionally, you need to know your protections as a client under Australian law. All solar goods sold in Australia must meet the performance and durability standards set out in the country’s Consumer Law. Otherwise, you have consumer protection rights for:

Substitute or fix
Contract Termination
Damages and losses are compensated for

The installer and perhaps manufacturer may decide whether or not to honour your rights to a repair, cancellation, or compensation under the Consumer Protection Act. A legal advisor should be sought out in this situation.

FAQs About Solar Panels

How Long Is a Solar Panel Warranty?

What is a solar panel warranty? A solar panel has two warranties: a performance and equipment guarantee. A solar panel’s performance warranty will typically guarantee 90% production at 10 years and 80% at 25 years. An equipment warranty will typically guarantee 10-12 years without failing.

How Long Is a Typical Solar Panel Lifetime?

25 years. Solar panels, also known as photovoltaic or PV panels, are made to last more than 25 years. In fact, many solar panels installed as early as the 1980s are still working at expected capacity

What Happens to Solar Panels After 10 Years?

A panel with a degradation rate of 1% per year will be 10% less efficient after 10 years. In fact, 78% of systems tested had a degradation rate of less than 1% per year. That means that after 25 years of use, about 4 out of 5 solar panels still operate at 75% efficiency or better.

What Happens to a Solar Panel After 25 Years?

Most solar panel companies will provide a standard 25-year warranty for the expected life expectancy of the solar panels. After 25 years, your solar panels won’t necessarily need to be replaced; however, their ability to absorb sunlight will be reduced.

What Causes Solar Panels to Fail?

Generally, solar modules can be expected to degrade by 0.5% to 3% a year. There are four main factors that contribute to normal degradation, all from natural causes: thermal cycling, damp heat, humidity freeze and ultraviolet (UV) exposure.

Conclusion

One-third or more of all solar systems end up being left unmaintained because the company that installed it or made it goes out of business.

The average homeowner with solar panels has no further communication with the company that installed them.

Many manufacturers of solar panels stand behind their products with a performance guarantee of up to 30 years.

Under Australian consumer legislation, it is crucial to know who your importer is. If the manufacturer has paid for their own product insurance, it is possible that the warranty and insurance coverage will be voided.

If a solar panel is damaged, the damage will be covered by insurance. Consider purchasing an inverter with a longer warranty to avoid financial hardship.

Possible life expectancy-shortening elements include: dust, heat, ventilation, and pests/vermin like mice/ants.

The value of supplementary warranties depends heavily on their cost. Any necessary warranty for the labour involved in the installation will be provided by the installer, and not the manufacturer of the panels or other parts of the system.

Such a warranty will typically last for a period of one or two years. However, it is not unheard of to see installation warranties that last for ten years or more.

Before hiring an installation, make sure to ask about the company’s guarantees. An honest solar energy company will guarantee their work for at least five years. Whether or not your solar panels and inverters still have a warranty, fixing any problems as quickly as possible is critical.

Content Summary

It’s not just about picking the best solar panels & inverters for your system; you also need to make sure they’re covered by a good warranty.
Take a look below to learn about some of the most common product warranties.
When comparing prices for solar energy systems and installation, there are a number of guarantees to think about.
It is believed that as many as one-third of all solar systems are abandoned because their original installers and/or manufacturers are no longer in operation.
There have been over 750 liquidations or cease-and-desist orders for solar installation businesses since 2011.
Because of this, it’s important to steer clear of low-cost solar systems, which may come with empty guarantees and low-quality components, or a price that seems to be for about the same solar system but is significantly lower than other bids.
When examining the system’s warranty, there are a number of aspects to keep in mind.
We’ve included a breakdown of the various solar system warranties available so that you may make an informed decision about both the system and the installer.
Many solar panel installation businesses will advertise a 25-year performance warranty, but this warranty rarely extends to cover the cost of repairs or replacement.
However, a common misconception seems to be that this particular warranty also covers the panel’s performance.
Issues with solar panels may arise on occasion, so if you do have a problem with a panel after installation, know that it will not render the remainder of your system unworkable.
Depending on the cause of the panel loss, the remainder of your system may be able to continue operating without the failed panel.
However, panel failures can infrequently affect the functionality of nearby panels.
It is the product warranty insurance which will pay to have a defective solar panel replaced.
If you want to tell high-quality panels from low-quality modules, look at the performance warranty instead of the product warranty.
If placed correctly and nothing catastrophic happens to it, like a lightning strike, a high-quality inverter should last for at least a decade.
Look for extended inverter warranties to protect yourself from financial loss due to unexpected failure.
The installer, not quite the maker of the panels or other parts of the system, will provide any necessary warranty for the labour involved in the installation.
The typical duration of such a guarantee is either one or two years.
Your ability to make educated decisions regarding your system is directly related to the amount of information you have about it.
Since guarantees on installations are often nebulous, it’s important to check for the following: To what extent does the installation guarantee apply?
Finding out who is responsible for the warranty in the case that the solar installation is outsourced from the original solar business is crucial.
The solar vendor may offer a warranty on installation, but if they don’t execute the work themselves, they’ll have to rely on the warranty offered by the sub-contractor, which will likely be much shorter.
A phone call to the installer should always be within reach.
That’s why it’s crucial to work with an installation that also offers devoted service.
Obtain details regarding the installation warranty’s duration and scope of coverage by inquiring about them.
Make sure you enquire about the company’s warranties before deciding on an installer for your solar PV panels and inverters.
Getting in touch with your installer should be your first step if you’re having problems with a product or notice something that could pose a safety risk.
Choose a manufacturer that brings: Having a solid financial foundation.
Make sure it’s more than simply a serviced office inside the CBD with a phone or a receptionist if it’s an Australian office; it could be your only source of assistance if your installer has gone out of business.
In the initial year or two, most inexpensive systems work well, and you write a fantastic review.
Here, a lot of people figure out what makes a number of these systems so cheap.
The system fails, and there is no means to contact the company or file a claim under the warranty.
If you can, get a warranty that covers the entire solar installation.
All of the solar power system components installed by a Clean Energy Council Approved Solar Retailer come with a minimum 5-year warranty.
The quality of a solar panel installation company can be judged in part by whether or not they offer a warranty covering the complete system.
Additionally, you need to know your protections as a client under Australian law.
The installer and perhaps manufacturer may decide whether or not to honour your rights to a repair, cancellation, or compensation under the Consumer Protection Act.