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Solar panels convert sunlight into electricity through the photovoltaic (PV) effect. When sunlight hits the solar cells in the panels, it generates direct current (DC) electricity, which is then converted into alternating current (AC) electricity using an inverter, making it usable for home appliances and businesses. The primary components of a solar panel system include solar panels, an inverter, a mounting system, and a battery storage option (if desired).

3. Installation Costs While we are focused on the cost of the panel itself, it's essential to remember that installation expenses can add significantly to the overall price. Professional installation can range from $1,000 to $3,000 or more, depending on the complexity of the installation, the location, and local labor rates.

What is a 3-kilowatt Solar Panel System?

One of the primary advantages of small solar panel systems is their cost efficiency. The initial investment may seem significant, but the long-term savings are substantial. Homeowners can significantly reduce or even eliminate their electricity bills, especially in regions with high electricity rates. Many governments also offer tax incentives and rebates to encourage solar adoption, which can offset installation costs.

Long-term Savings