Introduction
When the solar energy industry grows as quickly as it has, there will be some casualties. More than a few solar companies have gone out of business recently. Names like Sungevity, American Solar Direct, and Suncrest Solar have shut down their operations for one reason or another. In their absence, countless homeowners are left with orphaned solar panel systems installed by these companies and others.
What is a solar orphan?
Let us give you a clear view. A solar orphan is a solar panel system installed by a company that is no longer in business. What’s left is someone alone. Someone with no idea what to do or no one to turn to when something goes wrong. Well, unless they pay more out of pocket to another party. Even with the most straightforward issues with the solar system, orphaned systems are on their own. Imagine no more warranty repairs, no easy maintenance, and not even customer service. When this happens, the orphaned system owners must go about their own means to keep the system running.
Why does this happen?
Most of the time, the installers went out of business because they were not adequately managed. They see the solar business as a money-making venture, and they skimp the process and perform a shoddy installation. What this does for them is it increases margins and shows the customer the lowest price. Customers who don’t know better feel like they’re getting the best idea. Imagine two scenarios. In the first scenario, you get a quote for 22 Q-cell 400W panels with a SolarEdge inverter installed for $26,600 before the 30% tax credit. In the second scenario, you have 22 REC 400W panels and IQ8 inverters installed for $23,170.
Selecting a Lower Price
Most people would select the lower price because it’s the same number of panels. If you did a little research, you’d see the panels are slightly better, and so are the inverters. So, of course, that’s the direction most people would look at, and even go as far as to ask the more expensive consultant why they’re more expensive. The correct question should be to the less costly and ‘better’ system, ‘Why are you less expensive?’
Less Expensive Installer
Well, as it turns out, the tactic of the second ‘less expensive’ solar installer is a common one. A company opens up its doors by making as much money as possible and plays the card of offering the best equipment at the lowest across-the-board pricing. Undercutting other companies and ‘showing the customer more value’ with better equipment. What happens next is usually the shuffling of the cards for a few years until the installer is no longer able to keep up the facade. There are a lot of stories out there that have a similar ending.
What to do if your solar company goes out of business
Fortunately, you may have options. While warranties like those that would typically cover the workmanship, roof penetrations, or output of electricity from the installer will cease to exist. Moreover, you still have solar warranties from the manufacturer. Fortunately, solar panels don’t require much maintenance, so you may not have to reach out for help unless there are issues. So let us discuss how to look out for your orphaned solar system:
Turning to the manufacturer’s warranty
If your solar panels are still under warranty, you can expect the manufacturer to be a source of help. As a notice, it is essential to mention that sometimes warranties are rendered void due to installation faults or negligence by the solar installer. Unfortunately, if your solar panels aren’t under warranty, you’ll have to pay for parts and labor to bring your system up to speed. Take a look at these tips you need to look at for a possible manufacturer warranty claim:
Monitoring
The more likely thing to go wrong with the system is the general functionality of the solar panels. With an installer out of business and an orphaned solar panel system, you’ll want to be particular in paying attention to the system’s performance.
Odds are that you already had a monitoring system functioning with the system, but if you didn’t, now is the time to set that up because if there is an issue with the panels or the inverter, which can reduce output, you’ll want to get ahead of that immediately so you’re not buying back more power from the utility.
Roof Leaks
This issue is more complex to spot and is usually only found when a leak has traveled the distance from the roof’s exterior to wherever you spot it inside the house. There’s no way to sugarcoat these details; roof leaks can be a real pain. A proactive way to look for roof leaks before the water shows itself after dripping above the ceiling would be to make it a point to look in the attic space where the panels were installed. You can spot previous roof leaks by looking for water stains in the attic space.
System Paper Work
An installer in business will likely have records of your installation and the components that went into the work but don’t rely on them to have your paperwork, even if they are in business. It would benefit you to save copies of your installation paperwork when the work is completed. You will especially want this paperwork ready if you have to handle your warranty claims with the solar panel components.
How to avoid future problems
The solar industry is multiplying, and there’s a good chance that your solar company will be around for years. That said, it is essential to be prepared if your solar company goes out of business.
Check the company’s background. If they’ve been in the business for a while, they can probably operate for a long time. But if they have only 5 years in the business, look for their license information. If you want to know the licensing requirements of solar companies, you can search through the Interstate Renewable Energy Council’s national licensing database. Though they have collated related information in their database, IREC still recommends checking with your state’s licensing office for updated contact numbers, office, and email addresses of solar companies.
Always do your research before signing a new contract so you can find a reliable company. Read the fine print. You want someone who will be with you in the long haul. But to help you out, DroneQuote is here as a reliable partner who will provide you all the solar information you need. We will help you understand the ‘hows, whys, and whats’ of solar to make the best decision. We partner with reputable solar and roofing companies, so you’ll worry less about them suddenly going out of business, and in some cases, we’re able to offer you coverage on your system for 30 years. Feel free to contact us through our website if you have questions about going solar.