Solar Panel Manufacturers Changing Production Methods to Lower Costs

Solar panel manufacturers in America and around the world are intensifying their efforts to replace silver with alternative materials to keep costs low. The price of silver has increased by around 130% in the last year, affecting margins for producers and installers. The raw cost of a solar panel has increased by 7% to 15% in the last 12 months.

Much of this cost increase is linked to the price of silver. Silver is crucial during the “metallization” process in solar panel production. Silver makes up the thin and thick silver strips across solar panel surfaces. They work like streets and highways that gather electrons as they move. Silver is the most electrically conductive material at room temperature.

While essential, silver is expensive, and the recent increase in silver’s value is concerning. Each panel uses around 20 grams of silver.

Solar manufacturers are now adapting copper into their processes to reduce the amount of silver needed. Silver-coated copper can provide the same conductivity benefits while keeping the costs reasonable for manufacturers and the homeowner at the end of the supply chain. Copper costs less than 1% of the price of silver, when comparing weight. Savings could equal $15 billion annually, which will directly benefit households and large-scale solar operators like grid farms.

How Will the Price of Silver Affect Your Long Island Solar Panel Installation?

Manufacturing costs have yet to significantly impact the cost of solar panel installation on Long Island. With producers shifting to a copper/silver production process, cost increases can be offset and are likely to stabilize in the coming years. This is a crucial move to keep solar affordable, ensuring that families can enjoy significant savings from lower electricity bills.

Solar is still the most efficient and affordable way to power your home. A solar panel array, when properly integrated by a solar installer on Long Island, will reduce how much energy you take from the grid. Modern solar panels have efficiency ratings between 20% and 25%, far exceeding those between 13% and 16% in the early 2000s.

Is Solar Right for Your Home?

Most homes throughout Suffolk and Nassau County are suited to solar panel installation. It’s vital that you compare the costs and benefits before committing to renewable energy.

Power Solutions is one of Long Island’s most trusted solar panel installers. Our custom solar installations are designed for maximum savings. We will look at factors like your home’s location, its orientation to the sun, and shade structures around the roof that might affect solar panels. With advanced software modeling, we can predict savings, the payback period, and the return on investment. Most families enjoy savings equal to the cost of installation within the first ten years. Solar panels last for at least 25 years, so you could enjoy a significant return on your investment after breaking even.

At Power Solutions, we provide the information, and you make the choice. Talk to our team for transparent and accurate data with no obligation to move ahead. We will take you through a detailed energy savings evaluation before preparing a cost/benefit analysis.

Solar producers are moving away from silver to use more copper in panel manufacturing because affordability matters for everyone in the process. See how much it would cost to switch to solar by calling Power Solutions at (631) 348-0001 today.