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The market for solar microinverters has grown substantially this year, and experts predict that it will quadruple in the next four years. Researchers from ISH, a market research firm, estimate that microinverter sales will reach 500 megawatts in 2013, and global shipments are expected to hit 2.1 gigawatts by 2017. That’s an overwhelming 306% increase.

Recent Growth of Microinverter Sales

Much of the expansion is coming from overseas and commercial markets, which have lower penetration rates for microinverters than the residential sector. This is the result of manufacturers such as Enphase seeking out new areas of growth.

“Microinverters have reached very high adoption rates in the United States, particularly in the residential market, where penetration will reach more than 40% in 2013,” Cormac Gilligan, PV market analyst at IHS, said in a press release. “However, in order to grow or maintain market share, microinverter suppliers now are striving to expand to new regions that at present don’t use the technology.”

Different Types of Solar Inverters

Inverters are some of the most important components of any home solar system. The inverter takes the direct current (DC) power produced by solar panels and converts it to alternating current (AC) so that it can be consumed by a home’s electrical system.

For many years, the only type of inverter available for a solar electric system was a central inverter (sometimes referred to as a string inverter). It’s a mature, sturdy technology that is still effective for most of the solar arrays that we design today.

Why Choose Microinverters over a Central Inverter

However, there are certain situations where a microinverter may be a better option. Most specifically, microinverters are best used when a roof receives intermittent shade throughout the day.

Since a central inverter combines the power from multiple solar panels in one unit, power production can decrease if a few of the solar panels are obstructed by shade. Microinverters are able to overcome this obstacle because a small inverter is attached to each solar panel. Then, if one panel is partially shaded, the rest of the system will still perform to its usual standards.

It is worth mentioning that microinverters are significantly more expensive than central inverters at this point in time. Also, it’s a fairly new technology and some solar experts question its ability to continue performing year after year. Thankfully, the microinverters that we offer come with 25 year warranties that give our customers peace of mind.

US Leader in Microinverter Sales, Japan Second

IHS estimates that the U.S. accounts for about 72 percent of all microinverter shipments. However, that number could fall to 50 percent in the next four years as more units are sent to overseas solar installations. In particular, the Japanese market has heated up in recent years now that more suppliers are located in that country (Japanese developers tend to prefer domestic manufacturers over imports).

Reinforcing the success of the microinverter industry, Enphase recently reported record-breaking revenue for their third quarter. Although prices for microinverters have been falling as of late due to increased competition, Enphase has experienced considerable growth due to the expanding demand for its high-quality products.

By keeping up with technical innovations in the solar industry (like microinverters), solar installers like AMECO can continue to provide better service to our customers. Those in Southern California who are interested in installing solar panels with microinverters should contact us and request a solar evaluation.

Instead of waiting in long lines and buying new things, Giving Tuesday is a day where people are encouraged to spend money on nonprofits and make charitable donations. This year, AMECO Solar suggests making a donation to a solar-focused nonprofit who is making our world a better (and brighter!) place.

Saving Lives with Solar Suitcases

We Care Solar is an organization the promotes safe motherhood and prevents infant mortality rates by providing a solar energy kit to health workers. Dubbed the “solar suitcase”, each kit includes a small solar panel and rechargeable battery that powers basic medical equipment. Though originally designed for delivering babies in rural settings, the solar suitcases are now used in health centers and clinics all over the world for a range of medical situations. CNN recently nominated Dr. Laura Satchel (We Care Solar’s Executive Director) as a top 10 CNN Hero.  When you donate through the CNN website, Subaru will match your gift and your impact will be doubled!

Alternative Rock for Alternative Energy

Having met during an Environmental Analysis program in college, the band members from Trapdoor Social have always bonded over two things: music and clean energy. They have taken a creative approach to the release of their upcoming album. All proceeds will go towards the new solar installation project at Homeboy Industries, a nonprofit in Los Angeles that provides job training support for prior gangmembers. Plus, when you give a little, you’ll get a little in return! Every donation from $15 to $5,000 comes with a reward from songs on the B Side of the album to your own private concert.  Make a donation to Trapdoor Social’s campaign and help them reach their $20,000 goal.

Solar Energy for Everyone

Since 2001, the team at Grid Alternatives has been installing solar panels as a way to empower communities in need. Not only do they provide solar energy for families struggling to make ends meet, but they also train workers from local communities to become certified solar installers. The majority of their work has been in California, but they recently expanded to Colorado and are hoping to open offices in other states soon.  Support their mission of making solar energy accessible for everyone by donating online.

Each year, it seems as if the temperatures in Southern California rise higher, and the summer season becomes even longer. In fact, a couple weeks ago Los Angeles registered highs in the 90s (extremely warm for November). Many scientists claim that increased temperatures are just the first signs of climate change and global warming will continue to get worse as time goes on.

On November 13, the Environmental Defense Fund (EDF) and the UCLA Luskin School of Public Affairs released a report titled “Los Angeles Solar and Efficiency Report (LASER)”. It suggests solar energy as a solution to Los Angeles County’s climate (and financial) woes, revealing how the considerable untapped solar power resources could lead to a boom in both renewable energy production and economic activity.

Empty Rooftops in Los Angeles, Incredible Solar Potential

The researchers analyzed building data across Los Angeles to determine that, if even a fraction of the city’s buildings were equipped with solar panels, the subsequent installation work would create thousands of jobs and the resulting clean energy would put a major dent in carbon emissions. Two major wins for the county that everyone can agree on.

Another important point, LA’s undeveloped solar roofs (meaning those without solar panels installed) have the potential for a generating capacity of 22,984 megawatts. To give our readers an idea of just how much power that represents, the state of California currently has 3,761 megawatts of solar capacity currently installed and the entire United States has less than 10,000 megawatts.

More Solar Panels = More LA Jobs

Even if the county of Los Angeles were to realize just 5 percent of its solar potential, it could generate enough electricity for over 287,000 homes. In addition, the installation work for undertaking such a project would create over 29,000 new jobs.

“This study sends a clear message to Angelenos – the potential to invest in LA’s clean, renewable energy economy and build healthier communities is huge,” said Jorge Madrid of EDF in a press release.

By investing in more solar installations, Los Angeles and surrounding areas could help support economic activity in the region and put in place a good foundation for continued prosperity. The organization hopes the report can be used as a tool for elected officials in the area to enact real change through legislation in favor of solar energy and energy efficiency.

A solar PPA is a financing option available to homeowners or businesses who want to use solar energy at their property.

Basically, the solar PPA (Power Purchase Agreement) allows you to lock in your energy rate for the term of the financial agreement. This rate is typically lower than what the utility company would charge you, which could result in a significant savings over the term of the PPA.

How a Solar PPA Works

There are three main parties involved in a solar PPA: the customer, the solar installation company and the investor, or solar system owner. Here’s how it works in Orange County and Los Angeles:

Note, the customer only pays for the solar energy used to power their property; there are no payments if the system fails and the customer would instead pay the utility company at a presumably higher rate.

Why Consumers Choose a Solar PPA

Most people choose to finance their solar project with a solar PPA because of the following four benefits:

We’d like to point out that solar electric systems do not usually need maintenance since they are a sturdy technology with no moving parts. The benefit of free maintenance and servicing is more about peace of mind than actually saving on the cost to maintain your solar panels.

It’s also worth mentioning that one major downside of a solar PPA is that you won’t be eligible for any state/local rebates or the 30% Federal tax incentive. Since the investor is the technical owner of the solar panels, they are the ones who take advantage of these discounts.

How a Solar Lease Differs from a Solar PPA

Often, people confuse a solar lease with a solar PPA since they are very similar and share many of the same benefits.

A solar lease allows you to rent the solar panels themselves (and therefore, the energy they produce as well), usually with a fixed or predictable monthly payment. Read more about the specifics of  getting a solar lease in LA or Orange County in our prior blog post if you care to learn more.

On the other hand, a solar PPA allows you to pay for the energy produced by the solar panels, which is hopefully pegged to the present and future utility cost. If the cost for your solar energy is lower than the electricity the utility would have provided, you will be saving money. But if the cost of conventional electricity stabilizes or decreases, you may end up paying more in the future.

Depending on your financial situation and energy usage, a PPA may be the best way to finance your solar project. This educational article should shed some light on how a PPA works and how it could benefit a solar panel owner.