Table of Contents:

Key takeaways

  • Monocrystalline, polycrystalline, and thin-film solar panels are each designed to perform best under specific conditions. 

  • Certain types of solar technology are better for some applications than others, meaning what’s best for your neighbor may not be best for you.

  • Factor in supplemental equipment like solar batteries and charge controllers, which play a key role in storing and managing the energy.

If you’ve looked into making the switch to home solar, you may have come across a dizzying number of options to choose from. Understanding the differences between these types of solar technologies is critical to getting the best system for your home.

We created this guide to solar technology to provide some clarity around those options. You’ll find a concise explanation of how solar technology works and an overview of the components that make up a solar energy system. We also cover the main types of solar panel technology to help you identify the right choice for your needs.

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Solar technology overview

Solar panel technology has come a long way in recent decades. Today’s solar technology is more efficient and more affordable than ever before—and also has more options. Before getting into the specific types of panels, we’ll cover some of the basics about modern solar tech in the following sections.

Here’s a more detailed look at some major technology concepts in solar power:

Concept Definition More Details
Monocrystalline silicon A type of solar cell made from a single crystal structure. High efficiency, high cost, black color, long lifespan
Polycrystalline silicon Solar cells made from silicon fragments melted together. Lower efficiency, lower cost, bluish appearance
Thin-film solar Lightweight solar panels using layers of semiconductor materials. Flexible, less efficient, lightweight, good in low-light
Photovoltaic (PV) cell The basic unit that converts sunlight into electricity. Semiconductor-based, direct current output, modular
PERC technology Passivated Emitter Rear Contact – improves cell efficiency. Enhances sunlight capture, improves internal reflection, boosts performance
Bifacial panels Solar panels that generate power from both sides. Higher total output, works with reflected ground light
Solar inverter Converts DC electricity from panels into AC for home use. String, micro, or hybrid types; essential for grid integration
Efficiency rating A measure of how much sunlight a panel converts into usable electricity. Expressed in %, varies by type and brand
Degradation rate The rate at which panel efficiency declines over time. Typically 0.3%–0.8% per year
Solar tracking system A mechanical system that adjusts panel position to follow the sun. Increases energy production, used in ground-mounted systems

How do solar panels work?

Solar panels work by converting sunlight into usable electricity through what’s known as the photovoltaic (PV) effect. Each panel in a solar energy system contains dozens of photovoltaic cells made of silicon or other materials that react to sunlight. When sunlight reaches these cells, it stimulates electron activity, generating electricity.

The electricity generated through the PV effect is in the form of direct current (DC). That means it needs to run through a solar inverter to transform into alternating current (AC) electricity—the type of electricity used in your home. Once it is converted to AC, this energy powers your home exactly as the energy you buy from the grid does.

What are solar panels made of?

Solar panels are made from silicon cells, which convert sunlight into electricity. A layer of tempered glass sits on top for protection, while metal frames—usually aluminum—hold everything together. Behind the silicon cells, there’s a polymer-based backing for insulation and safety. Wires made of silver or copper connect the cells, and an anti-reflective coating boosts sunlight absorption. These components let solar panels efficiently turn sunlight into usable power.

Components of a solar energy system

Solar power systems might seem complex, but their core setup actually relies on just a handful of straightforward components.

You might be surprised by how uncomplicated solar energy technology really is. While solar panels use advanced photovoltaic science to convert sunlight into electricity, the systems themselves include only a few key parts: solar panels, an inverter, a battery storage option for backup power, and the necessary wiring and mounting hardware.

Solar panels

The core of solar technology is, of course, the panels themselves. This is the part of the system that actually generates power using the PV effect, as explained above.

There are several different types of solar panels available on the market. These vary in terms of efficiency, design, price, and other factors. We explore those differences in detail later in this article.

Solar inverter

In order for the electricity your panels generate to be usable, it must be converted from DC energy to AC energy. That’s where the solar inverter comes in. Inverters use transistors to rapidly switch the current of the DC energy and step-down transformers to reduce the voltage so it can be used in your home. 

Solar racking

The panels in your system are mounted to your roof with solar racking—a metal frame and mounting assembly. Racking ensures that your solar panels are securely anchored to your roof or other structure. It also allows them to be mounted at the ideal angle to catch the sunlight.

Some solar racking setups have tracking systems built in. These systems track the sun throughout the day and rotate the solar panels to follow the light, maximizing light capture. Systems with tracking features built in are typically more expensive than those without, but the increased energy efficiency could generate more savings that negate the price difference.

Solar charge controller

A solar charge controller regulates the flow of electricity from your solar panels to your battery bank, making sure your batteries don’t get overcharged or drained too much. It protects your batteries, improves their lifespan, and keeps your solar power system running efficiently.

Solar charge controllers also prevent backflow of electricity that could short circuit and damage your system. They can also send excess energy back to the grid for net metering or net billing purposes.

Solar battery

While you don’t technically need a solar battery to have a working solar energy system, they can make your system much more useful. These batteries work just like any rechargeable batteries for consumer goods and are also typically made from the same material—lithium ion.

Without a battery, your solar energy system can only deliver electricity when it is being generated. That means it may not be able to meet your energy needs at night or on especially cloudy days. Solar batteries allow you to store excess energy your panels generate, so it can be used when the system isn’t actively generating power. They can also be charged with power from the grid to be used as a backup power source.

Types of solar technology

Advancements in solar technology over the years have given us multiple types of panels. These types vary in terms of price, solar efficiency, and their ideal applications. In the sections below, we cover the defining features of each of the main types of solar panel technology.

Thin-film solar panels

Thin-film solar panels are a lightweight and flexible alternative to traditional crystalline silicon solar panels, making them ideal for unique installations. Thin-film panels use materials like cadmium telluride or amorphous silicon, allowing manufacturers to create bendable and low-profile modules. 

While their efficiency is lower than monocrystalline or polycrystalline panels, thin-film options are great for portability, cost-effectiveness, and performance under low-light or high-temperature conditions.

Monocrystalline solar panels

Made with a single crystal made of pure silicon, monocrystalline solar panels are considered the current go-to option in the industry. They are also the most popular type of panel for residential use in the U.S.

Monocrystalline panels are the most efficient type of solar technology and have the longest working lifetime of any panels on the market—with a higher price tag to match. Their top-tier efficiency allows them to generate more power per square inch, making them ideal for use on homes with smaller roofs. 

Polycrystalline solar panels

Polycrystalline panels are made by melting multiple silicone crystals together, hence the name. These panels aren’t quite as efficient as their monocrystalline counterparts, meaning you need more of them to generate the same amount of power. However, they are also less expensive, making them an excellent middle-ground option, especially if you have a large roof to accommodate more solar technology.

Hybrid solar systems

Another option is a hybrid solar system that adds a battery to the solar panel setup for energy storage. These systems are also connected to the energy grid, which can be used to power your home when solar energy is unavailable or to charge the battery for use as a power backup. Hybrid systems are a strong option for homes where solar capacity is limited or when you want to ensure consistent, reliable energy at all times.

Bifacial solar panels

Bifacial solar panels offer a more efficient way to generate solar energy by capturing sunlight on both sides of the panel.

Standard solar panels contain photovoltaic (PV) cells on only the side that faces the sun. Bifacial solar panels, on the other hand, have PV cells on both the front and back, allowing them to absorb direct sunlight as well as light reflected from surfaces beneath the panels. 

This dual-sided design means bifacial panels often produce considerably more electricity per panel compared to traditional single-sided panels. They're especially effective for commercial properties or residential buildings with high electricity demands, such as those found in urban areas like Los Angeles or New York City. To achieve the best performance, you'll need a specialized mounting system that elevates the panels and creates enough space for sunlight to reflect onto the rear side.

Solar shingles

Solar shingles offer a modern way to harness solar energy while maintaining your home's curb appeal. Unlike bulky traditional solar panels, solar shingles are small photovoltaic modules designed to look like regular roof shingles in both size and color. 

You can even use them as your primary roofing material, replacing standard asphalt or composite shingles entirely. While they're usually among the most expensive solar options on the market, solar shingles appeal to homeowners who want the benefits of renewable energy without sacrificing the appearance of their roof. 

They're also a smart solution if you live in an area with strict HOA guidelines—solar shingles often comply with neighborhood regulations that might prohibit conventional solar panels. With popular brands like Tesla and CertainTeed, you’ve now got more stylish and integrated solar options than ever before.

Which solar technology should I use?

Choosing the right type of solar technology can have a major impact on your home's energy production and overall savings.

Different solar technologies offer unique features, and some options may suit your home and energy needs better than others. The differences in energy output between monocrystalline, polycrystalline, and thin-film solar panels, for example, can affect both your system’s efficiency and your long-term financial savings. 

Solar installation companies will likely suggest specific setups for your property, but it’s still smart to review all available options yourself. Taking the time to understand each technology can help you make an informed decision that matches both your budget and your household's energy requirements.

Solar technology options: What to consider

There are a few key factors to take into account when considering your solar technology options. These include:

  • Budget: Your financial situation can be a limiting factor in your solar decision. Less expensive systems may not be as efficient as higher-end ones, but still provide a good value and renewable energy.

  • Roof structure: The size and shape of your roof determine what types of solar panels you can mount on it. Larger, simpler roofs can accommodate virtually any type of panel. Smaller roofs or those with complex designs may require you to go with one specific option or another.

  • Energy usage: The amount of energy you use in your home should also play a role in your decision. Certain types of solar technology are more efficient than others, and if you use a lot of energy on average, you may need to go with the more efficient—and likely more expensive—options.

  • Light availability: Depending on where your home is located and what surrounds it, you may not have access to as much direct sunlight as other homes. If this is the case, you’ll need to choose technology that provides maximum efficiency to help meet your energy needs, especially if you’re looking to create an off-grid solar energy system.

  • Aesthetics: Some people don’t like the way solar panels look on their homes. In other cases, HOA regulations may forbid the installation of traditional panels. Solar shingles provide an option that doesn’t disrupt your home’s current aesthetic. 

New solar panel technology innovations

New solar panel technology boosts efficiency and allows for more versatile designs. Engineers are creating flexible solar materials, integrating panels into building architecture, and improving performance in low-light conditions. These advances make solar power more adaptable to urban and diverse environments.

  • N-type solar panels use crystalline silicon and a negative charge to deliver higher efficiency and longer lifespan, making them a promising technology for future solar energy.

  • Tandem solar cells stack silicon with perovskite to capture more of the solar spectrum, pushing efficiencies beyond standard silicon panels.

  • Quantum dot panels use nanoscale particles to target specific wavelengths, enabling lightweight, flexible solar materials.

  • Transparent solar panels absorb invisible light while allowing visible light through, turning windows and glass surfaces into power sources.

  • Organic photovoltaics are printable, carbon-based cells suited for curved or flexible surfaces, offering low-cost deployment.

These technologies reduce cost per watt, increase versatility, and bring solar power into new forms and environments.

Conclusion: Solar technology

The types of solar technology can be overwhelming at first. But the good news is that each option has distinct advantages and disadvantages that make them ideal for some situations over others.

Consider the physical features of your roof, your energy needs, your budget, and your aesthetic preferences. After taking those aspects into consideration, use the information in this article to find the solar technology that provides the best overall fit.

Keep in mind that solar isn’t best for everyone. If the conditions don’t line up to help you actually save money, think twice before going solar.

FAQ about solar technology

Below are a few frequently asked questions about solar technology:


What does solar technology do?

Solar technology lets you capture sunlight and turn it into electricity or heat for your home, business, or devices. Solar panels convert solar energy into usable power using photovoltaic cells and a solar inverter. Ultimately, this helps you reduce your reliance on fossil fuels and lowers your carbon footprint.

Is solar technology expensive?

Solar technology has expensive startup costs compared to simply connecting to the grid. Our data shows that the average solar panel system costs $17,823 before incentives. However, most solar energy systems pay for themselves and eventually provide substantial energy savings, making it less expensive than buying grid power over the life of the system.

What is the most effective solar technology?

The most effective solar technology that is widely available on the market is monocrystalline solar panels. These panels use a single silicon crystal, making them extremely efficient and durable.

What is the most popular solar technology?

Monocrystalline panels are the most popular type of solar technology. While somewhat more expensive than polycrystalline panels, monocrystalline panels are more efficient, allowing them to generate more power in a smaller amount of space. This makes them a popular choice for residential solar energy systems.