Shining a Light on Solar Panel Efficiency: What You Need to Know

March 11, 2024

Maximizing the Sun's Potential: A Deep Dive into Solar Panel Efficiency

Solar panel efficiency is critical in maximizing energy production from your solar energy system. But what exactly does efficiency mean in the context of solar panels, and why does it matter for homeowners looking to make the switch to solar? This blog post delves into the intricacies of solar panel efficiency, exploring the factors that influence it and providing guidance on choosing the most efficient panels for your home and location.


What is Solar Panel Efficiency?

Solar panel efficiency refers to the portion of sunlight that a solar panel can convert into usable electricity. It measures how effectively a solar panel transforms solar energy into power, with a higher percentage indicating a more efficient panel. For instance, a panel with a 20% efficiency rate can convert 20% of the sunlight it receives into electricity.


Factors Affecting Solar Panel Efficiency:

Several factors can influence the efficiency of solar panels, including:

  • Material: The type of material used in solar panels (e.g., monocrystalline silicon, polycrystalline silicon, thin-film) plays a significant role in determining their efficiency. Monocrystalline panels, for example, are known for higher efficiency rates than polycrystalline panels.
  • Temperature: Solar panels perform best in cool conditions. High temperatures can reduce their efficiency, a factor particularly relevant in warmer climates.
  • Orientation and Tilt: The direction your panels face and their angle can also impact efficiency. Panels that directly face the sun at the correct angle capture more sunlight.
  • Shading: Shadows cast by trees, buildings, or other obstacles can significantly reduce the amount of sunlight hitting the panels, thus affecting their efficiency.
  • Age: Solar panels degrade over time, leading to a gradual decrease in efficiency. However, modern panels degrade slowly, typically around 0.5% to 1% annually.


Choosing the Most Efficient Solar Panels:

When selecting solar panels, considering efficiency is crucial, but it's just one piece of the puzzle. Here are some tips for choosing the most efficient solar panels for your needs:

  • Evaluate Your Energy Needs: Start by understanding your energy consumption. This will help determine the size and number of panels you need, which can influence the type of panel you choose based on efficiency.
  • Consider Your Location: The climate and amount of sunlight your location receives can influence the efficiency of different types of solar panels. In areas with high temperatures, panels with better temperature coefficients are preferable.
  • Look at the Long-Term Performance: High-efficiency panels may cost more upfront but can produce more electricity over the lifespan of your solar energy system, potentially offering greater savings in the long run.
  • Don't Forget About Space: If your roof space is limited, opting for higher-efficiency panels will allow you to generate more power in a smaller area.
  • Read Reviews and Compare Warranties: Research and compare different brands and models, focusing on efficiency ratings, customer reviews, and the warranties offered. A longer warranty period can indicate the manufacturer's confidence in their panel's performance and durability.


Solar panel efficiency is a key determinant of the performance and effectiveness of your solar energy system. By understanding what efficiency means, the factors that affect it, and how to choose the right panels, homeowners can make informed decisions that optimize their investment in solar power. As solar technology continues to advance, the efficiency of solar panels is expected to improve, making solar energy an even more attractive option for sustainable and cost-effective home power.


Ready to Explore Solar Options?

If you're considering switching to solar, Asgard Energy is here to help. Our team of experts can guide you through the process, from assessing your energy needs to selecting the most efficient solar panels for your home. Contact us today to learn more about how we can help you harness the sun's power efficiently and effectively.

Wooden house model with solar panels on the roof,

The Clock is Ticking: Why Now Is the Time To Go Solar

September 12, 2025
Beat the 2025 solar tax credit deadline. Install solar with Asgard Energy now to save up to $9,000, lock in lower costs, and gain energy independence.

Illuminating Your Investment: How Solar Panels Boost Home Value in Southern California

November 12, 2024
In the sunny expanse of Southern California, solar power is more than just a way to reduce utility bills—it’s a significant investment in your property. As environmental awareness increases and technology advances, more homebuyers are recognizing the value of homes equipped with solar energy systems. 1. Increased Property Value: Studies consistently show that homes with solar energy systems sell for more than homes without them. According to a Lawrence Berkeley National Laboratory report, homes with solar panels tend to sell for a premium, with buyers willing to pay additional dollars per watt of installed solar capacity. Premium Pricing: This premium can be particularly significant in Southern California, where sunlight is abundant. The exact increase in home value can vary, but it is generally aligned with the cost of the installed solar system and the savings on energy costs it provides. 2. Attractiveness to Buyers: Solar panels are attractive for home buyers concerned about rising energy costs and environmental impact. Saving on electricity immediately upon purchase is a compelling selling point. Market Trends: In environmentally conscious markets like Southern California, homes with solar installations sell faster than those without. Solar panels are viewed as upgrades, like a renovated kitchen or a new roof, making your property stand out in the competitive real estate market. 3. Energy Independence: Solar power significantly reduces reliance on the grid, providing homeowners with energy security. This can be particularly attractive in areas prone to power outages or high electricity prices. Backup Power: Battery storage systems allow solar panels to provide uninterrupted power during outages, adding further appeal and value to the property. 4. Reduced Carbon Footprint: More buyers are looking for sustainable living options that minimize environmental impact. Solar homes offer this benefit, which aligns with the growing societal push towards sustainability. Green Certification: Homes with solar panels might also qualify for green certification programs, further enhancing their attractiveness to potential buyers who prioritize eco-friendly living. 5. Potential for Future Savings: While the upfront cost of solar installation can be substantial, the long-term savings on energy costs are a huge draw. Homebuyers often consider the return on investment in terms of energy savings when purchasing a solar-equipped home. Incentives and Rebates: Additionally, various federal, state, and local incentives, including tax rebates and credits for solar panel installation, can mitigate the initial installation costs and enhance the investment appeal of solar properties. 6. Considerations for Sellers: If you’re considering selling your home with an existing solar energy system, it’s important to highlight the benefits in your home listing. Be prepared to provide potential buyers with documentation such as: Energy Bills: Show past energy bills to demonstrate the cost savings from solar panels. Maintenance Records: Provide details on the system's upkeep and any warranties that can be transferred to the new owner. Solar panels are a smart investment in Southern California’s robust real estate market. They enhance your home's appeal and market value and contribute to a sustainable future. Whether you're planning to sell your home soon or looking ahead, adding a solar energy system can be a lucrative upgrade that sets your property apart in the bustling Southern California housing market. Ready to Go Solar? If you're considering installing solar panels or want more information about how it can impact your property value, contact a local solar provider today . They can provide a tailored estimate of the costs and benefits, helping you make an informed decision that could significantly enhance your home's value and appeal.