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Beginner Guide

Understanding Solar Power

New to solar? This guide explains how solar power works, key terms you need to know, and answers common questions.

schedule8 min readupdateUpdated January 2026

How Solar Power Works

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Step 1:Solar Panels Capture Sunlight

Photovoltaic (PV) cells in solar panels absorb sunlight and generate DC (direct current) electricity. More sunlight = more electricity.

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Step 2:Inverter Converts Power

The inverter converts DC electricity from the panels into AC (alternating current) electricity that your home appliances can use.

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Step 3:Power Your Home

The AC electricity flows to your switchboard and powers your home. Any appliances running will use this free solar power first.

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Step 4:Export or Store Excess

If you generate more than you use, excess power is either exported to the grid (earning feed-in tariff) or stored in a battery.

Key Terms Explained

kW (Kilowatt)

A measure of power. A 6.6kW system can produce 6,600 watts at peak output.

kWh (Kilowatt-hour)

A measure of energy. If your 6.6kW system runs at full power for 1 hour, it produces 6.6 kWh.

Inverter

Converts DC electricity from panels to AC electricity used by your home and the grid.

Feed-in Tariff

The rate you get paid for exporting excess solar energy back to the grid.

Self-consumption

The percentage of solar energy you use directly rather than exporting to the grid.

STC (Small-scale Technology Certificate)

A government incentive that reduces the upfront cost of solar systems.

Solar System Components

Solar Panels

Solar panels are the most visible part of your system. Modern residential panels typically range from 400-450 watts each. A typical 6.6kW system uses 15 panels. Quality panels from brands like LONGi, Jinko, or Trina will last 25+ years.

Inverter

The inverter is the brain of your system. It converts DC power from panels to AC power for your home. There are two main types: string inverters (one central unit) and microinverters (one per panel). String inverters are cheaper; microinverters are better for shaded roofs.

Mounting System

Panels are secured to your roof using rails and clamps. Quality mounting systems are rated for Australian conditions including high winds and cyclones in relevant areas.

Monitoring System

Most systems include an app or web portal to monitor your solar production and consumption. This helps you understand your energy usage and verify your system is working correctly.

Common Questions

Does solar work on cloudy days?

Yes, but at reduced capacity. Solar panels can still generate 10-25% of their rated output on overcast days. They work best in direct sunlight.

Do I need a battery?

Not necessarily. Most homes connect to the grid and export excess solar. Batteries are useful if you want backup power, have high evening usage, or poor feed-in tariffs.

How long do solar panels last?

Quality panels last 25-30+ years. Most come with 25-year performance warranties guaranteeing at least 80% output after 25 years.

Will solar work in all Australian states?

Yes! All of Australia receives enough sunlight for solar to be worthwhile. Queensland and WA get more sun, but even Tasmania and Victoria have excellent solar potential.

What happens during a blackout?

Standard grid-connected solar systems shut down during blackouts for safety reasons. To have power during outages, you need a battery with backup capability.

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