A Guide To Smart Solar Modules

By Ray Garcia

Smart solar systems showcase a major revolution in solar technology, perfectly combining with home automation. These systems absorb solar energy through photovoltaic (PV) cells and further improve energy management and efficiency within the home. The smart solar modules connect to the IoT (Internet of Things), allowing you to monitor and control your energy usage online via a smartphone or tablet.

These smart solar module systems are capable of connecting and sharing data with other smart devices in your home. Also, they come with much-needed features like real-time energy consumption tracking automated adjustments to keep an eye on your energy needs, and connectivity with home energy storage solutions.

checking current output of smart solar module on smartphone

Before deciding whether you should get a smart solar module, you must understand the key features, benefits, and challenges. It includes return on investment, cybersecurity risks, and various other factors. Also, let us discuss the cost of smart solar modules and their integration with IoT.

What is a Smart Solar Module?

A smart solar system is an ultramodern version of ordinary solar energy systems that make use of innovative technology to further improve efficiency, monitor system performance, and manage energy usage. Meters and smart inverters are used to deliver real-time information about the performance so that you can optimize energy consumption and production accordingly.

Smart solar modules are considered “smart” because of their capability to send and receive data along with enhanced energy generation with features such as:

  • Built-in monitoring in these smart modules allows you to track the real-time data and identify issues quickly.
  • Highly optimized energy output, which is adjustable depending on the environmental conditions and performs well even when situations are not ideal.
  • Remote management makes it easier for you to adjust settings or troubleshoot problems, and you do not have to be physically present on-site.

Components that typically make up these smart solar module systems are:

  • Solar panels are the most essential component that captures sunlight and converts it into DC (Direct Current) electricity.
  • Solar Inverters further help convert the DC electricity into AC (Alternating Current) electricity, so that it is usable for home and business appliances.
  • Smart meters allow you to monitor energy production and usage in real time.
  • Power optimizers control the DC energy to achieve efficient and successful conversion to AC electricity. Here is more information about power optimizers.
  • Communication devices are optional, but a necessary component that sends information about the performance to the cloud so that you can monitor and remotely manage it.
  • Battery storage is yet another optional component that is essential to storing excess energy and making it available for later use.

Technology integrated into the smart solar systems are:

  • IoT (Internet of Things)
  • Smart Inverters
  • AI (Artificial Intelligence)
  • Microinverters
  • Advanced Photovoltaic (PV) Technology
  • DC-Optimized Modules

Key Features of Smart Solar Systems

Smart solar systems have represented a huge technological improvement when compared to basic solar setups. Especially through their capabilities of automation, real-time monitoring, battery integration, and remote control.

Here are the key features that differentiate smart solar systems from traditional setups:

  • Automation: Settings are automatically adjusted to optimize energy production depending on the real-time information. It includes considering the position of the sun, energy usage patterns, and other climatic conditions. Hence, this automation ensures you maximize your solar energy benefits without any manual action required from your side.
  • Real-Time Monitoring: You can easily monitor your smart solar system’s energy production and consumption in real time. For that, you can access the information through provided apps or web interfaces, so that you can optimize the settings for the best energy management.
  • Remote Adjustments: It is very easy and simple to adjust the settings remotely, and you don’t have to be present on-site, instead you can fine-tune your systems from wherever you are.
  • Integration with Battery Storage: Smart solar systems can be connected to your existing or new battery storage solutions. And, this allows you to store excess energy for later usage during peak times or power outages.
  • Predictive Alert for Maintenance: These systems use advanced diagnostics and monitoring technologies so that you are alerted about dropping performances. As a result, you can predict the issues before they become potentially serious problems. And, by this, you are not going to face any service interruptions and can reduce maintenance costs.

Benefits of Installing a Smart Solar System

There are multiple benefits of installing smart solar systems including — increased energy efficiency, enhanced system monitoring, easy installation, improved system longevity, low maintenance, and better return on investment.

Each of these benefits is explained below:

Increased Energy Efficiency

One of the greatest advantages of smart solar systems is the increased energy efficiency, which is capable of improving overall performance and cost-effectiveness.

Also, advanced technologies are utilized in solar smart modules, such as the MPPT (Maximum Power Point Tracking) and real-time monitoring, which allows you to measure and optimize energy production under fluctuating weather conditions.

As a result, a higher percentage of sunlight can be converted into electricity and smart solar modules achieve efficiencies up to 25%, whereas the standard traditional modules range from 15% to 22% only.

INCREASED ENERGY EFFICIENCY TRADITIONAL SOLAR MODULE SMART SOLAR MODULE
Efficiency Range 15% to 22% 25%
Performance in Shading A Huge Drop in Output. Reduces the shading impact on performances. 
Adaptability to Weather conditions Fixed performance pattern in fluctuating or varied climatic conditions. Dynamically adjusts the output depending on the environmental conditions. 
Cost Effectiveness Lower initial costs, but incurs Higher costs for a long-term period. Higher initial investment, but lowers the cost in the long-term because of its efficiency. 

Enhanced System Monitoring

Another essential benefit of smart solar systems is enhanced system monitoring, which provides you with real-time insights into the performance and efficiency of each solar panel. By this, you can quickly identify and solve the issues. You can be assured of system operation at peak efficiency, reducing downtime and maintenance costs.

ENHANCED SYSTEM MONITORING TRADITIONAL SOLAR MODULE SMART SOLAR MODULE
Monitoring Capabilities Limited or NO Monitoring options. Real-time performance tracking options.
Maintenance Alerts You will have to check manually for any required maintenance.  Automated alerts are sent to you for scheduling maintenance. 
Data Analytics Only basic data is provided. Advanced analytical data is provided for best energy optimization.
Remote Access No Remote monitoring options. Remote access options through the official App or web interface.
Integration with Smart Systems These are only Standalone Systems. Easy connectivity with smart home devices.
Problem Detection Responsive problem-solving Alerts and proactive issue detection feature. 
Safety Manual shutdown is required if any faults occur. Automatic shutdown of the malfunctioning panels for protection.

Easy Installation

Having user-friendly components and the most advanced technology, smart solar systems come with an easy installation process. Also, these systems are very efficient and consume less time compared to traditional setups.

EASE OF INSTALLATION TRADITIONAL SOLAR MODULE SMART SOLAR MODULE
Complexity of Installation Process It is more complex, and it requires professional and specialized skills for installation. Easier and simpler process as it comes with a plug-and-play design.
Time taken for Installation Longer time for installation. Fast and quicker setup Process.
Performance Monitoring Limited or NO built-in monitoring options. Real-time performance tracking options.
Cost of Installation Higher cost because of more labor and level of complexity. Lower cost because of the reduced number of labor required.
Physical Appeal Looks Bulkier and it is visually less appealing Sleek and trendy designs are available.
Scalability after installation Difficult to expand in the future. Easily expandable in the future. 

Improved System Longevity and Low Maintenance

With advanced technology and equipment, smart solar systems have improved system longevity. As a result, it improves durability, these systems reduce the overall cost and maintenance required. Smart solar modules are capable of solving a few commonly faced issues by traditional solar systems which include — performance degradation, system failure causing downtime, maintenance costs, and shorter lifespan.

IMPROVED SYSTEM LONGEVITY AND LOW MAINTENANCE TRADITIONAL SOLAR MODULE SMART SOLAR MODULE
Lifespan 25 to 30 years. Up to 30 to 35 years with enhanced performance.
Requirement for Maintenance High and regular manual maintenance. Low and uses real-time monitoring to determine required maintenance. 
Performance Monitoring Limited options and manual inspection have to be done.  Advanced options with real-time alerts and diagnostics.
Degradation Rate over time Averagely faces degradation of about 0.5% per year. Faces low degradation due to the better technology and materials used. 
Cost of Maintenance  Higher cost because of manual labor. Lower cost due to automation technology and predictive maintenance.
Problem Resolution Issues are identified after failure. As soon as the system drops Performance, it identifies the Issues earlier. 

Better Return on Investment

Smart solar modules offer you a better ROI (Return on Investment) by minimizing the effects of shading on energy production and adapting to changing environmental conditions. Though this has been a common problem with the traditional system, the smart solar setup covers all those drawbacks, making it beneficial.

BETTER RETURN ON INVESTMENT. TRADITIONAL SOLAR MODULE SMART SOLAR MODULE
Initial Cost Low upfront cost. High upfront cost because of the advanced technology used. 
Maintenance Costs It is higher because of the manual inspection required and other repairs.  Lower costs due to remote monitoring and predictive maintenance. 
ROI (Return on Investment) The average ROI is 6% to 8%. Higher ROI of 10% to 20% which also depends on factors like location and incentives. 

You can achieve better ROI with smart solar systems, by considering the following strategies:

  • Initial Investment vs. Long-term Savings

You might have to pay a higher upfront cost for the smart solar system, which is about 10% to 30% higher than traditional panels. Also, you can save around $1,000 or $2,000 because these systems have an increased efficiency and greater energy production, which also increases the system’s lifespan.

  • Incentives and Tax Credits

Federal and state incentives can be beneficial for you in helping to reduce your initial investment. For example, by using the federal solar tax credit, you can deduct 30% of the solar system installation cost from the eligible federal taxes.

  • Energy Savings

For an average span of 20 years, using smart solar systems you can easily save up to $15,000 to $30,000. Whereas, you tend to yield lower savings with the traditional systems because of this insufficient efficiency.

Challenges and Considerations

Despite having numerous benefits, smart solar modules come with certain challenges and considerations that include — high upfront costs, cybersecurity risks, and compatibility issues.

High Upfront Cost

One of the major drawbacks that discourage consumers from opting for smart solar systems is their high upfront costs. Despite the reduced cost of solar panels over the years and the ability to save energy bills for the long term, their initial overall cost can be the biggest burden.

There are several solutions to the high upfront cost:

  • Solar Leasing: With this option, you don’t have to purchase the system outright and can install the solar panels without paying any huge amounts for initial investment. You need to pay a monthly fee for leasing the solar and at the same time, you can reduce your electricity bills.
  • Incentives and Rebates: You can benefit from the federal solar tax credit, by which you can deduct up to 30% of the solar system installation cost. In addition, you can take advantage of many available state and local government incentives that further lower your cost.
  • Off-Season Installation: It could be a beneficial option if you install solar panels during the off-season such as Rainy, Spring, or winter. As a result, you might get the installation done at a reasonably lower cost due to its reduced demand.

Cybersecurity Risks

You might be wondering how is it possible for hackers to attack and what could be cybersecurity risks associated with solar systems. Smart solar modules require an internet connection to function in real-time, and that is when hackers target the inverters to control the devices. As a result, it can lead to unauthorized access and might cause physical damage to the system.

Possible cybersecurity risks of smart solar systems are:

  • Data Breach
  • Remote Access Threats
  • Connecting with the Grid and targeting large network
  • Disrupt the operation of solar systems
  • Cybercriminals can launch attacks

Solutions to cybersecurity challenges of smart solar systems are:

  • Use advanced encryption, firewalls, and intrusion detection systems to keep smart solar protected from being prone to malicious activities.
  • Keeping software and firmware up to date so that hackers will not patch and exploit the system.
  • Perform regular security assessments to identify any possible threats in the solar system.

There are real-life events that became a spotting alert for many homeowners and businesses owning smart solar systems. It is because of the 2 major incidents where hackers had made unauthorized entry into the solar system.

2020: The Australian energy sector was targeted by a cyberattack that had taken advantage of the network of rooftop solar panels and associated smart appliances. Further, the connection was misused to target a large network of the NEG (National Electricity Grid).

2023: Cybercriminals had targeted the solar photovoltaic (PV) system connected to the grid, and they could successfully make their unauthorized access with the help of smart solar inverters. The hackers tripped the circuit breakers and cut off electricity from the PV inverters to the grid. Many experts voiced out regarding this issue, to emphasize the importance of high-quality and strong cybersecurity measures for smart solar systems.

Compatibility Issues

One of the major disadvantages or drawbacks of the smart solar system is the compatibility issues that occur because of mismatches between solar panels and inverters. Sometimes it doesn’t match with different communication protocols and dissimilarities in panel sizes and form. As a result, this compatibility issue can most of the time lead to poor performance or system failures.

For example, when the current ratings or voltage of the solar panels do not align correctly with the inverter, the system faces inefficiencies or damage.

Solutions to Compatibility issues of smart solar systems are:

  • Careful selection of components: You must select the equipment such that it supports the overall system in all possible ways. Moreover, you must ensure that the inverter is capable of handling the output of the solar panels and that batteries are compatible with the solar system’s voltage and capacity requirements.
  • Right matching of voltage and current: Ensure that the input voltage range of the inverter matches the solar panel’s output voltage. Also, check whether the inverter’s maximum input current rating is compatible with the panel’s output current.
  • Follow manufacturer recommendations: It is highly recommended that you always follow the manufacturer and refer to compatibility charts or other guidelines provided by them. By this, you can ensure that it is suitable to use the inverter and solar panels together.

Cost of Smart Solar Modules

According to the United States, the average cost of smart solar modules is $3.30 per watt, which might be around $19,000 to $30,000 depending on the system size and installation specifications. This price does not include financing but includes the cost of hardware, equipment, installation labor costs, solar loan costs, and permit fees if required.

There are many incentives available for smart solar modules, of which the federal solar tax credit is the most notable. This scheme pays back to the taxpayer with an amount of up to 30% of the solar system installation cost, the year after installation. In addition to this, the IRA (Inflation Reduction Act) has funded and launched a program named “Solar for all” which focuses on providing residential solar projects to more than 9 Lakh low-income people across the nation.

Generally, the traditional solar systems have a lower upfront cost compared to the smart solar systems. The traditional solar systems cost between $15,000 and $24,000, whereas the smart solar modules cost between $18,000 to $42,000. Solar smart modules have an additional increase in cost by up to 10% to 30% and this is because of the advanced technology used and other notable features of the solar system.

In addition to the base installation costs of smart solar modules, you must consider the other possible expenses, such as:

  • Advanced monitoring systems
  • Battery storage
  • Smart inverters
  • Maintenance and upgrades
  • Integration with home automation systems

Smart Solar Module with IoT integration

Smart solar module uses the IoT (Internet of Things), a network of many interconnected devices through which communication is possible with data sharing over the Internet. The Internet of Things devices include sensors, smart meters, and controllers whose primary role is to collect and transmit data about panel performance, environmental conditions, and energy usage patterns.

smart solar power sytem with IOT Image Source: IEEE Transmitter

Moreover, these IoT-enabled systems are capable of adjusting the angle of solar panels according to the requirement in such a way that it can maximize sunlight exposure throughout the day and enhance energy efficiency.

The benefits of IoT Integration for solar panel users are:

  • Enhanced Monitoring and Control: You can track the performance of your solar systems in real-time. And, by receiving instant alerts, you can identify your panel’s issues earlier and solve them immediately without delay. Therefore, you will witness an increased system longevity and efficiency of the solar panel system.
  • Cost Savings: By identifying the solar panel faults earlier, you can fix the performance issues and reduce maintenance costs as well as extend the lifespan of the solar panels.
  • Remote Control: You can easily control and manage your solar systems remotely through the provided official website or mobile apps that offer you convenience and flexibility.
  • Data-Driven Insights: By integrating with IoT devices, smart solar systems are capable of providing you with detailed data and valuable insights about energy consumption patterns. And, this data will help you make smart decisions about your energy usage and further planning to enhance energy savings.

Should you get a Smart Solar Module?

Smart solar modules are the best suitable for those who are seeking a solution to maximize their energy efficiency by simultaneously reducing their carbon footprint.

Homeowners and businesses can consider this as their best investment, especially those living in areas with fluctuating weather conditions or shading issues will find these smart solar modules very beneficial.

Moreover, individuals with good technical knowledge, who are known as tech-savvy will enjoy the features of smart solar modules. They will find the functioning very interesting with real-time monitoring and controlling of their home energy systems remotely and will find smart solar modules appealing.

With advancing technologies and providing greater efficiency, the future of smart solar modules looks promising. In addition, researchers are still exploring new ways to include new materials like perovskite solar cells and if this becomes successful, then we will be able to witness higher efficiency and reduced costs.

Above all, Integration with IoT and smart grid technologies in the future is expected to improve greatly, which would further enhance the monitoring, maintenance, and optimization of solar panel performance. Over the years, these technologies will keep upgrading themselves into much smarter solar modules and might become even more efficient and cost-effective.

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Ray is an avid reader and writer with over 25 years of experience serving various domestic and multinational private and public energy companies in the USA.

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