Home / Glossary
Glossary and FAQ

The Solarholm Glossary of Home Solar and Battery Terms

Reviewed for 2026, updated September 8, 2026.

Plain definitions of the terms you will meet in proposals, datasheets, and utility paperwork, followed by answers to the questions homeowners ask most often.

AC coupling
A storage architecture in which the battery has its own inverter and connects to the home's alternating current wiring rather than to the solar array directly. It can be added to almost any existing system, at the cost of a small additional energy loss from converting power twice.
Azimuth
The compass direction a roof surface or array faces, measured in degrees. In the northern hemisphere a south-facing azimuth typically yields the most annual energy, while west-facing arrays produce more in the late afternoon when electricity is often worth more.
Bifacial module
A solar panel with cells that can capture light from both the front and the rear. The rear-side gain depends on how much reflected light reaches the back of the panel, so it is most useful on ground mounts or elevated racking and modest on a typical rooftop.
Critical loads panel
A separate electrical subpanel that holds only the circuits a homeowner wants powered during an outage, such as refrigeration, lighting, and communications. It lets a single battery provide meaningful backup without having to support the entire home.
DC coupling
A storage architecture in which the battery connects to the direct current side of a hybrid inverter, sharing that inverter with the solar array. It is efficient and tidy but requires the battery and inverter to be compatible, which usually means they come from the same ecosystem.
Degradation rate
The gradual annual loss of a panel's output as it ages, typically expressed as a small percentage per year in the performance warranty. Premium panels generally warrant a slower rate, which matters most in the later years of a system's life.
Depth of discharge
The share of a battery's total capacity that has been drawn down, or that the manufacturer allows to be drawn down, in normal operation. Residential lithium batteries commonly permit a high depth of discharge, but the warranty terms define the practical limit.
Hybrid inverter
An inverter that manages both the solar array and a direct current coupled battery in one unit. It simplifies wiring and monitoring for systems designed with storage from the outset, and it is the natural choice when a battery is planned for day one.
Interconnection agreement
The contract between a homeowner and the utility that permits a solar system to connect to the grid and export power. It sets the compensation rules for exports, the system size limits, and the equipment standards the installation must meet.
Islanding
The ability of a solar and battery system to disconnect from the grid during an outage and continue powering the home safely, often called intentional islanding. It requires a backup gateway or transfer arrangement; a standard grid-tied inverter without one shuts down when the grid fails. In code and utility paperwork the same word names the hazard of a system energizing a dead utility line, which is why every grid-tied inverter must carry anti-islanding protection; that requirement does not forbid backup, it simply demands that the home be disconnected from the utility before the system keeps running.
Kilowatt (kW)
A unit of power, meaning the rate at which energy is produced or consumed at a given moment. A solar array's size is described in kilowatts of direct current capacity, and a battery's continuous output rating tells you how much load it can carry at once.
Kilowatt-hour (kWh)
A unit of energy, meaning one kilowatt sustained for one hour. Utility bills, production estimates, and battery capacities are all expressed in kilowatt-hours, and confusing it with kilowatts is the most common mistake in proposals and conversations.
Lithium iron phosphate (LFP)
The battery chemistry that has become dominant in residential storage because of its thermal stability, long cycle life, and tolerance of frequent full cycling. It is somewhat less energy dense than nickel-based chemistries, so units are a little larger for the same capacity.
Microinverter
A small inverter mounted behind each panel that converts direct current to alternating current on the roof. It allows every panel to operate independently, provides panel-level monitoring, and avoids high direct current voltages, at the cost of more components on the roof.
Module-level power electronics (MLPE)
The umbrella term for microinverters and power optimizers, which manage each panel individually rather than treating a string of panels as one unit. MLPE improves performance on shaded or multi-orientation roofs and enables per-panel monitoring.
Monocrystalline silicon
The panel cell material now standard in residential solar, made from a single continuous crystal that yields higher efficiency than older polycrystalline cells. Newer cell architectures such as passivated contact and heterojunction designs are refinements within this family.
Net billing
An export compensation structure in which power sent to the grid is credited at a rate below the retail price, often tied to wholesale or avoided-cost values. It rewards self-consumption and storage far more than full retail net metering does.
Net metering
An export compensation structure in which each kilowatt-hour sent to the grid offsets a kilowatt-hour drawn from it at full retail value. Many utilities have moved away from it toward net billing, which changes the economics of both sizing and storage.
Performance warranty
A manufacturer's guarantee that a panel will produce at least a stated percentage of its rated output after a given number of years. It is distinct from the product warranty, which covers physical defects, and it is only as strong as the company behind it.
Power optimizer
A device attached to each panel that conditions its direct current output before sending it to a central string inverter. It delivers most of the shade tolerance and monitoring benefits of microinverters while keeping the inversion step in one location.
Power purchase agreement (PPA)
A financing arrangement in which a third party owns the system on your roof and sells you the electricity it produces at an agreed rate. It requires little or no upfront payment but leaves ownership, incentives, and much of the long-term savings with the provider.
Production guarantee
A contractual promise from an installer or provider that the system will generate at least a stated amount of energy over a period, with compensation if it falls short. The value depends entirely on the clarity of the remedy and the solvency of the party offering it.
Rapid shutdown
A code requirement that rooftop solar conductors can be quickly de-energized to protect firefighters and first responders. Module-level electronics satisfy it inherently, while string systems use dedicated shutdown devices.
Round-trip efficiency
The share of energy put into a battery that can later be drawn back out, after losses in charging, storage, and discharging. Higher figures mean less solar production is wasted in the process of shifting it to the evening.
Solar renewable energy certificate (SREC)
A tradable certificate representing the environmental attributes of solar generation, available in certain states with renewable portfolio requirements. Where a market exists, certificates can provide an additional income stream on top of bill savings.
String inverter
A single central inverter that receives direct current from one or more series strings of panels and converts it to alternating current. It is simple and economical, but a shaded or underperforming panel can drag down the output of its entire string.
Temperature coefficient
A datasheet figure describing how much a panel's output falls for each degree its cells rise above the standard test temperature. A smaller coefficient means better performance in hot climates and on hot roofs, which is where much of the summer generation happens.
Time-of-use rate
A utility pricing plan in which electricity costs more during peak hours, typically late afternoon and evening, and less overnight. It penalizes households that import during the peak and rewards those that can shift consumption or discharge a battery at that time.
Usable capacity
The portion of a battery's total energy storage that the manufacturer makes available for normal use, after reserving a margin to protect cell life. It is the figure that matters for sizing, and it is usually somewhat smaller than the headline capacity.
Workmanship warranty
The installer's guarantee covering the quality of the mounting, wiring, and roof penetrations, separate from the manufacturer warranties on the equipment. Its length and the installer's likelihood of still being in business are among the most important signals in a proposal.

Questions people ask

How long does a home solar system last?

Quality panels are typically warranted for twenty-five years or more and usually continue producing at reduced output well beyond that. String inverters generally have shorter warranties and are the component most likely to need replacement within the life of the array, while microinverters commonly carry terms closer to the panel product warranty. Batteries are commonly warranted for around a decade, subject to cycle or throughput limits.

Do solar panels work on cloudy days or in winter?

Yes, though at reduced output. Panels respond to light rather than heat, so a cold, clear winter day can be surprisingly productive, while overcast skies reduce generation substantially. Annual estimates already account for local weather patterns, which is why the same array produces different totals in different regions.

Does home solar increase property value?

An owned system in good condition with transferable warranties is generally viewed as an asset by buyers, particularly where electricity rates are high. A leased system or a power purchase agreement can complicate a sale because the buyer must qualify for and accept the contract. Documented production history strengthens the case in either situation.

What size solar system does a typical home need?

There is no typical answer, because size should follow your actual consumption, your utility's export rules, and your plans for electric vehicles, heat pumps, or a battery. A designer should model at least a year of interval data from your utility rather than a national average. Under net billing, a modestly smaller system often delivers a better return than a larger one.

Will my solar system work during a power outage?

A standard grid-tied system without a battery shuts down when the grid fails, for the safety of utility workers. To keep power on you need a battery paired with a backup gateway or transfer arrangement that lets the system island from the grid. Even then, only the circuits included in the backup design will stay on.

What happens to the excess electricity my panels produce?

Surplus power flows to the grid and is credited under the terms of your interconnection agreement. Under net metering it offsets your consumption at full retail value; under net billing it is credited at a lower rate. A battery lets you store the surplus for evening use instead, which is why storage becomes more attractive as export rates fall.

Did the 2025 federal legislation change whether I should buy or lease a solar system?

It changed the comparison. The residential clean energy credit a homeowner could claim on a purchased system, Section 25D, is not available for expenditures made after 2025. Third-party owners such as lease and power purchase agreement providers may still claim the commercial credit under Section 48E on systems placed in service through 2027, subject to sourcing rules, and some pass part of that value through in their pricing. That narrows the cost gap that once favored buying outright, but a lease still leaves ownership and much of the long-term savings with the provider and can complicate a home sale. Model the full-term cost of each path and confirm the tax position with a professional.

How much maintenance do solar panels need?

Very little in most climates. Rain keeps panels adequately clean, and there are no moving parts. Occasional professional cleaning may help in dusty or pollen-heavy regions, vegetation should be kept trimmed to preserve the original shade analysis, and monitoring data should be checked regularly so that a failing component is caught early.

Can solar panels damage my roof?

A properly installed system with flashed and sealed penetrations should not damage a roof, and panels can actually shield the shingles beneath them from weather. Problems arise from poor workmanship or from installing on a roof near the end of its life. Ask how penetrations are sealed and what the installer's workmanship warranty covers.

Should I replace my roof before going solar?

If the roof has less than a decade of life remaining, replacing it first is usually wise, because removing and reinstalling an array later adds cost and risk. Do not rely on the solar company's site survey alone; hire a roofer with no financial stake in the solar sale to inspect the surface, the flashing, and the decking from the attic, and ask for a written estimate of remaining life before the panels go on.

What is the difference between a kilowatt and a kilowatt-hour?

A kilowatt is a rate of power at a moment in time, like the speed of a car. A kilowatt-hour is an amount of energy accumulated over time, like the distance traveled. Array sizes and battery output are in kilowatts; production, consumption, and battery capacity are in kilowatt-hours.

Are premium solar panels worth the extra cost?

It depends on the roof. On a large, unshaded roof, a strong mid-tier panel may deliver similar lifetime energy for less. On a small or complex roof, higher efficiency lets you fit the capacity you need, and a slower warranted degradation protects output in the later years that matter most for payback. Judge the whole system, not the panel in isolation.

Should a home battery be AC coupled or DC coupled?

Neither is better in the abstract; the timing of the storage decision usually settles it. DC coupling through a hybrid inverter is the more efficient and tidier path when the battery is planned from day one, at the price of committing to a compatible equipment ecosystem. AC coupling gives the battery its own inverter, adds a small conversion loss from handling the power twice, and attaches to nearly any array while leaving the original inverter in service. Ask the installer to state the round-trip efficiency and the compatibility assumptions of whichever design is proposed.

Why do solar quotes for the same house vary so much?

Proposals differ in equipment tier, inverter architecture, design assumptions about shading and roof usability, labor models, overhead, and sales commissions. Normalize them to price per watt, projected production per watt, warranty terms, and the assumptions behind the savings estimate before drawing conclusions about which is the better value.