When it comes to choosing solar panels, there are several key factors to consider. One of the most crucial is understanding the degradation rate of the solar panels you’re assessing, how it stacks up against different manufacturers, and the impact it can have on your organization’s finances.

But what exactly do the terms “degradation” and “degradation rate” mean—and how much should you consider these factors when making decisions about solar panels? Let’s shed some light on this topic.

 

WHAT IS SOLAR PANEL DEGRADATION AND WHAT DOES “DEGRADATION RATE” MEAN?

While it might sound like something out of a science fiction novel, “degradation” is simply an industry term used to describe the gradual decline in output that all solar panels experience over time. In fact, if Ben Franklin were alive today, he’d probably add solar panel degradation to his famously short list of life’s certainties.

 

 

Are you wondering, “Do solar panels degrade over time?” The short answer is yes—they do. However, they don’t all degrade at the same rate, and that’s what really matters. Let’s delve into this further.

In their first year of operation, solar panels typically experience short-term degradation ranging from less than 1% to 3%. Subsequently, according to a recent study, their performance diminishes by an average of 0.8% to 0.9% annually.

For instance, if a panel experiences a 2% degradation in its first year, it would operate at 98% efficiency in the second year. Assuming it degrades at a rate of 0.8% per year thereafter, it would still be operating at 78.8% efficiency by year 25.

Now, you might be wondering, “How long do solar panels last anyway?” That’s a valid question. According to comprehensive testing by solar panel manufacturers, solar panels typically have a lifespan of 25 to 40 years, depending on the manufacturer. However, this doesn’t mean they stop working after this time; it simply means their energy production declines to a level considered beyond their “useful life.”

 

So, what impact can solar degradation rates have on your property?

Let’s delve deeper into this. Consider a scenario where you’re evaluating panels with different degradation rates, such as one degrading at 1.0% per year and another at 0.25% per year. While it may seem like a small difference, this variation can be significant. Even fractions of a percentage point in degradation rates can result in thousands of kilowatt-hours of energy lost annually. For a large solar installation, this could translate to thousands or tens of thousands of dollars in additional expenses over the system’s lifetime.

Therefore, it’s crucial to weigh the long-term financial benefits of lower-quality panels with higher degradation rates against the investment in higher-quality, albeit potentially more expensive, panels that degrade more slowly. Always conduct a cost-savings analysis upfront to evaluate your options thoroughly.

Moreover, differences in degradation rates can translate into substantial financial implications over the next 10, 15, or even 25 years.

 

Now, let’s discuss the causes of solar panel degradation and how to mitigate it.

In general, solar panels are highly durable and designed to withstand various environmental conditions. However, extreme weather conditions, such as high winds, humidity, and temperature fluctuations, can accelerate degradation. Consider protective measures if your panels will be exposed to severe weather.

Additionally, regularly inspect your panels for physical damage, such as scratches caused by environmental factors. The placement of your panels—whether on the ground, rooftops, or carports—can also affect their degradation rate.

While not always necessary, cleaning your panels can help maintain their efficiency. Monitor changes in power output before and after cleaning to assess its effectiveness. Keep in mind that the cost of cleaning should be weighed against potential savings from a lower degradation rate.

 

In conclusion, as you evaluate solar panels for your property,

consider these key points about degradation:

• Understand the degradation rate of the panels you’re considering and assess the financial implications over the panel’s lifespan.
• Compare the upfront cost versus the degradation rate of different panels to make an informed decision.
• Follow recommendations from your provider regarding panel placement, inspections, cleaning, and maintenance to minimize degradation.

While solar panels will inevitably degrade over time, thorough research and careful consideration can help you make the best choice for your properties long-term needs.