Glossary of Solar Industry Terms
Educate yourself on solar industry terms and processes.
Below are key solar industry terms and descriptions that will help you navigate your way through your solar investment process from beginning to end.
consultation
A knowledgeable representative from a solar contractor/installer will need to come to your home or business to assess the suitability of your site for a solar investment. Once your site has been assessed, issues such as the cost of an array, the most suitable array and financing will come into play.
Also known as: site assessment
federal incentive for solar
Tax credits offered by the federal government to help offset the cost of purchasing a solar energy array. In some instances, tax credits may be replaced by grants.
Also known as: federal solar tax credit
net excess generation (NEG)
The electricity generated by a PV array beyond the needs of the home or business. In most places, NEG is sold to the local utility.
net metering
A two-way flow of electricity between the grid and a home or business. When the home or business needs more power than a PV array is providing, electricity flows into the home or business. When the home or business is generating more electricity than it needs, the extra electricity (also called net excess generation, or NEG) flows to the grid. The home or business pays the utility company for electricity flowing into the home, while the utility company pays the home or business for electricity flowing to the grid.
solar contractor/installer
A solar contractor installs, modifies, maintains, and repairs thermal and photovoltaic solar energy systems.
solar photovoltaic
A system for converting solar radiation (sunlight) into electrical power using semiconductors. Photovoltaic cells are combined into modules, which are combined into arrays. The arrays are connected to the electrical system of a home or business.
Also known as: photovoltaic, PV
solar thermal
A system for converting solar radiation (sunlight) into heat energy for space heating and cooling and for heating water using a solar collector or array, insulated piping, and a hot water storage system
Also known as: solar hot water
state incentive for solar
Rebates and tax breaks sponsored or mandated by the State of California to make solar investments more affordable for homes and businesses. The incentives take a number of forms, from rebates for solar thermal arrays to favorable rules for electricity buy-back (called net metering).
Also known as: California Solar Initiative, solar rebates
thin film solar cell
An emerging photovoltaic technology in which a solar cell is made by layering one or more layers of photovoltaic material on a thin substrate. The total thickness may be measured in nanometers.
Also known as: thin film photovoltaic cell
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