Solar Terms

Ready to learn some solar terms?

Here at Sunrun we use solar industry terms that not everyone may be familiar with. That is why we have put together a list of terms with definitions included to help guide you through your solar journey. So, lets dive in and give you a breakdown of some of the solar terms you may come across on your way to saving with the sun!

Common Solar Industry Terms-

Electric bill: The bill that a local utility issues to a consumer for the electricity that their home consumes.

Energy storage: When a battery stores power from a PV solar system.

Federal Investment Tax Credit (ITC): Commonly referred to as the solar tax credit, the ITC effectively reduces the total cost of your solar energy system by 30% with a credit to your federal taxes. It is regarded as the most significant financial incentive for solar in the US.

Greenhouse Gases: Climate change is largely referred to in terms of greenhouse gas emissions. Basically, these gases trap heat in our atmosphere. When the sun hits our planet it can either be reflected back into space – where much of it should go – or absorbed by Earth.

Kilowatt-hour (kWh): Standard unit for electricity. Customers pay for electricity by the kWh. (i.e.- Analogous to paying for gas by the gallon.)

Net Energy Metering (NEM): A practice in which utilities credit you for the excess electricity generated by your solar panels, which you can then draw upon when your panels don’t produce enough electricity to match your use. With net metering, you effectively use the grid to “store” excess electricity for later use. (NEM is not available in all states. Some states have revised versions, i.e. NEM 2.0.)

Off-grid: When we talk about a power grid we’re referring to the network that delivers electricity to our homes. An off-grid system is designed to help people function without the support of this network. (See also grid parity.)

Power Purchase Agreement (PPA): With a solar PPA, you agree to pay the solar company a per kilowatt-hour rate for the electricity produced by the solar panels. The rate is usually lower than what the local utility charges for electricity.

Photovoltaic (PV): The solar panels we sell are photovoltaic devices, i.e. panels that are able to produce electricity from sunlight.

Power Company or Local Utility: The terms we use to refer to where consumers buy grid electricity.

Referrals: Referrals come in all shapes and sizes: we love when they come from custome

Solar Array: Combining several solar panels creates an array, which is part of your solar system. The size of your solar array basically depends on where you live, the position of your roof and the energy needs of your family.

Solar Cells: Also called photovoltaic – or PV – cells. These cells are used to convert sunlight into direct electricity and are grouped together to make solar panels. Photo/light + voltage = photovoltaic.

Solar Cell Efficiency: Where your home is located determines the efficiency of your solar cells (which are collected into solar panels). The more light that hits the cells, the more electricity they produce.

Solar Consultation: Personalized solar energy consultation with Sunrun. Can be done in person (i.e. in the home) or over the phone and computer.

Solar Inverter: A solar inverter is part of every solar system that safely converts DC power (direct current) to AC power (alternating current) power.

Solar Lease: A contract with a solar company to have a solar energy system installed on your roof. With this contract, you will “rent” a solar system in exchange for the benefits (i.e. the electricity) the system produces.

Solar Renewable Energy Credit (SREC): For every unit of electricity that a solar system generates, an associated SREC is created. In some states, you can sell your SRECs for additional revenue. SRECs are available only in a few states. SREC markets where Sunrun is currently available: NJ, MA, PA, ML

Solar System: Language used when referencing every component of a grid tied system (i.e. inverter, panels, utility meter)

Third-party owner (TPO): Product offerings in which Sunrun owns the system (e.g. lease, PPA, prepaid).

Time-of-use (TOU): Time-of-use rate plans are determined by the times we use energy to power our homes. Utility companies charge more after work or at suppertime – when demand is high.

Sunrun Solar Products-

BrightSave Monthly: Our most popular plan, our PPA/lease. Customer pays for their power monthly for 20 years.

BrightSave Prepaid: A 20 year PPA/lease that’s paid for upfront. Customer prepays for 20 years of power upfront.

BrightBuy: Customer makes one time payment to Sunrun for equipment and installation. Customer owns the solar system.

BrightAdvantage: Customer takes out a loan and finances to own, usually through a third party lender called Greensky. More info on product cheatsheet.

BrightBox: Sunrun’s premium solar + battery storage solution.

BrightPath: Tool that customizes a solar system proposal, from design to product selection to pricing.

 

Sunrun Company Terms-

Solar as a service: The business model Sunrun pioneered in 2007. Solar as a service refers mainly to PPAs/leases/prepaid (i.e. not ownership).

Sunrun: Sunrun is a solar energy company that designs, installs, finances, insures, monitors and maintains residential solar systems. Sunrun is the largest dedicated residential solar company in the United States.

 

Sunrun Product Features-

Monitoring: Sunrun proactively monitors your solar system’s production to make sure it’s producing what it’s supposed to. 

MySunrun: Track the progress of your project pre-install, track system performance post-install, refer friends and family and much more.

Performance Guarantee: Product feature wherein Sunrun guarantees the energy production of a solar system installed at a customer’s home.

Underproduction: The energy that is generated below the committed level in a customer’s agreement. The customer is refunded per performance guarantee for underproduction.

Overproduction: The energy that is generated above the committed level in a customer’s agreement. Part of the performance guarantee is that the customer can keep this overproduction free of charge.

Service Transfer: If a customer decides to sell their home, their solar system and the Sunrun agreement are both fully transferrable to the new homeowner. We even guarantee that the new homeowner will qualify to assume the agreement.

System Insurance: Sunrun insures their solar systems for up to $1 million/year per location.