Why do you need to install Tier 1 Solar Panels on your roof?

When investing in a solar power system, the standard, quality and features of the solar products to be used is something to be considered the most. The Australian market has got hundreds of solar panel brands available and it may not be simple to compare and select one. 

You might have come across the words Tier 1, Tier 2 and Tier 3 while enquiring for a solar PV system for your property. However, it isn’t easy to differentiate between them for most of us. We have designed this article to help you make the right decision about going solar. Tier 1 solar panel is a set of financial-based criteria defined by BloombergNEF to find the most bankable solar brands suitable for utility-scale applications.

The benefits of installing solar panels are including but not limited to:

• Generating your own electricity
• Reducing carbon footprints
• Saving yourself from rising energy costs

Solar panels are a long term investment. Thus it is important to consider the warranties on the solar panels. Warranty on the panels is usually 25 years. However, the questions you must ask yourself before installing a roof top solar system are:

1. What brand of solar panel do you expect will last the longest and is it likely that one brand of solar panel will produce more power for longer than another solar panel.
2. If there is a problem down the track what is the chance that the manufacturer will entertain their warranty?

Usually Tier 1 solar panel manufacturers are defined as those that:

• Have been producing solar panels for 5 years or more;
• Are either publicly listed on a stock exchange or have a strong and stable balance sheet;
• Have fully automated production and a high degree of vertical integration
• Invest significantly in marketing their brand

Tier 2 and Tier 3 manufacturers are all those that don’t meet one or more of these criteria.

Typically tier 1 solar panels are 10-30% more expensive than tier 2 and tier 3 solar panels. Tier 1 solar panels are approved by CEC (Clean Energy Council). Check the list of approved solar modules here. 

How do I know if the panels I’m buying are Tier 1?

Most of the companies shall directly state that the panels are Tier 1 listed. However, when you get a quote for your new solar system, make sure to ask for verification of their Tier 1 status. Either ask for the criteria they’re basing their Tier 1 classification on, or ask about the manufacturer itself. A trustworthy solar retailer will only be happy to provide you with this information to help you make an informed choice.