Solar panel installation for your residential property is more attainable and affordable than you may think. Let’s go over the basics behind the solar panels themselves and how they work to power your home:

  • Photovoltaic panels absorb energy directly from the sun and convert the sunshine into direct current, or DC, power. This power is then dispersed out of the solar panels through a microinverter.
  • Enphase microinverters are then tucked under each solar panel and their job is to automatically convert the DC power into alternating current, or AC, power. This is what will power your home.
  • There is something called an AC combiner box that then consolidates interconnection equipment into a single weatherproof enclosure.
  • You also have functionality built-in that offers lifetime system monitoring of your solar panels, as well as performance updates to any web-connected device.
  • The job of your main service panel is to pass electricity through the breaker panel, where it is then distributed to your home’s circuits for solar energy consumption.
  • Electricity then flows from the breaker box to outlets throughout your home.

And, finally, your utility meter will then measure any excess solar power that remains (after the needs of your home have been met), where credit can then be given if applicable.

How Does Solar Energy Save You Money?

Solar savings are among the top reasons why homeowners opt for solar panel installation. Not only are they a good long-term investment to the resale value of your property, but the International Energy Agency has also declared that solar power is the “cheapest electricity in history.”

To calculate your solar power savings, you must first understand what energy costs you will no longer be responsible for from your energy company. 

The average electricity rate in the US as of February 2021 is 13.19 cents per kilowatt-hour. And according to the Energy Information Administration (EIA), the average monthly electricity consumption for homeowners is about 877-kilowatt hours per month. Put that all together and it adds up to an annual savings of $1,384 in electricity bills alone.

Now, if you install a solar energy system that covers your home energy consumption and add a solar battery for energy storage, you would avoid all electric bills for the entire life of your solar panels.


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