# Solar Terms Glossary

Understanding these common solar terms will help you navigate your clean energy journey!

June 12, 2026

## 1. Photovoltaic (PV)

The technology that [converts sunlight](https://help.palmetto.com/en/articles/9948647-how-solar-works) directly into electricity using solar panels.

## 2. Solar panel

A device made of solar cells that converts sunlight into electrical energy.

## 3. Solar array

A group of connected [solar panels](/content/solar/how-do-solar-panels-work/index.html) working together to generate electricity.

## 4. Electrical grid

A [network](/content/solar/the-grid-beginners-guide-to-the-electric-grid/index.html) of power lines and infrastructure that delivers electricity from power plants to homes and businesses.

## 5. Grid-tied system

A solar power system connected to the local utility grid, allowing homeowners to use electricity from the grid when the solar system is not generating enough power.

## 6. Off-grid system

A solar power system independent of the utility grid, typically relying on batteries for energy storage.

## 7. Inverter

[Equipment](https://help.palmetto.com/en/articles/9948649-solar-energy-system-components) that converts direct current (DC) electricity from solar panels into alternating current (AC) electricity for home use. Learn more about converter capacity [here](https://help.palmetto.com/en/articles/10234926-what-s-the-difference-between-ac-inverter-capacity-and-dc-solar-panel-capacity).

## 8. Net metering

A billing [system that credits](/content/solar/net-metering-for-home-solar/index.html) solar system owners for excess electricity they send back to the grid.

## 9. Kilowatt (kW)

A unit of power equal to 1,000 watts. Solar systems are often measured in kilowatts.

## 10. Kilowatt-hour (kWh)

A measure of electrical energy equal to one kilowatt used for one hour. This is how your energy consumption and solar production are typically billed.

## 11. Solar lease

An agreement where you pay a fixed monthly fee to lease solar panels rather than buying them outright.

## 12. Solar incentives

Financial benefits including tax credits, rebates, and grants offered by governments to homeowners who purchase solar systems.

## 13. Solar monitoring

A system that tracks your solar installation's [performance](https://help.palmetto.com/en/articles/9945396-solar-system-performance) and energy output in real-time through a mobile app or website.

## 14. Energy storage

[Battery](/content/solar/how-does-a-solar-battery-work/index.html) systems that store excess solar electricity for later use, especially during outages or peak usage times.

## 15. Efficiency rating

The percentage measure of how well a solar panel converts sunlight into electricity.

## 16. Soiling

Accumulation of dirt, dust, pollen, or other [debris on solar panels](https://help.palmetto.com/en/articles/10513089-understanding-soiling-on-solar-panels), reducing their efficiency and energy production.