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  • Writer's pictureRyan Williams

Understanding How Solar Energy Works

Updated: Jul 14, 2023

People installing solar panels

Solar energy, provided by Sola Renewable Company, is an abundant and sustainable resource on our planet. In just an hour and a half, enough sunlight reaches the Earth to power the entire world for an entire year. Utilizing this incredible energy source, a Solar PV System can effectively supply homes and businesses with electricity directly harvested from the sun.


  1. SOLAR PANELS Comprised of two layers of semi-conducting materials, usually silicon, Solar Panels absorb sunlight and convert it into energy through solar cells. These cells become excited and generate an electric field between the layers, resulting in the production of green electricity. Discovered by Edmond Becquerel in 1839, this phenomenon is now known as the Photovoltaic effect.

  2. AN INVERTER Solar PV Panels produce Direct Current (DC) electricity, which is then converted to Alternating Current (AC) electricity by an Inverter. This conversion ensures the safety and compatibility of the electricity with household appliances.

  3. BATTERY STORAGE Integrating Battery Storage into your Solar PV System enables the storage of excess energy for future use. Any surplus solar energy not immediately consumed by your household is stored in a solar battery. This stored energy can be utilized during times when your home requires more energy than the Solar PV Panels can provide, such as in the evening.

  4. GENERATION METER A generation meter measures the amount of electricity generated by your Solar PV system, quantified in kilowatt hours (kWh). Through the Feed-in Tariff, you can receive compensation for each kWh of clean electricity your system generates.

  5. CONSUMER UNIT The Consumer Unit Board regulates the distribution of solar energy within your property. It determines when additional electricity from the grid is needed or when stored energy from your battery system should be utilized.

  6. POWERING YOUR HOMES Your renewable energy is harnessed to power your home whenever required.

  7. IMPORT METER The Import Meter credits any unused energy to and from the grid.

  8. NATIONAL GRID Any surplus solar electricity that is not stored can be sent back to the grid. If your batteries are full or you lack a storage system, you can earn money by exporting your excess energy to the grid through an Export Tariff. The National Grid compensates you for generating solar energy. Notable examples of Export Tariffs include Bulb, offering 5.38p per kWh, and Octopus Energy, which offers a fixed rate of 5.5p per kWh. This incentive, known as the Smart Export Guarantee (SEG), was introduced on January 1st, 2020, to encourage renewable energy adoption.

Now equipped with a fundamental understanding of solar energy and the components comprising a solar panel system, you can consider switching to solar power for your home or business. At Sola Renewable Company, we aim to combat global warming one solar panel at a time. Our team of Solar Experts is readily available to simplify the solar journey for you. Book your free solar consultation today and delve deeper into the world of solar energy.

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