Umair Gaines
The solar industry has experienced exponential growth over the last decade, but recent challenges have led to a wave of solar company closures and bankruptcies. When a solar company goes out of business, customers are often left with non-working panels and no one to service them. This has led to a difficult situation for many, with concerns about maintenance, warranties, repairs, and monitoring. So, what happens if your electric company is closed for solar? This guide will provide an overview of the key issues and offer solutions for those impacted by solar company closures. From understanding the validity of warranties to finding alternative installers, this article will navigate the complex world of solar company closures and provide valuable insights for those affected.
| Characteristics | Values |
|---|---|
| Customers left in a difficult position | Uncertainty about how to maintain PV systems, manage warranties, or find support for repairs and monitoring |
| Concerns about the warranty | Manufacturer warranties on panels and inverters may remain valid, but labor warranties from the installer may be void |
| Difficulty finding a new installer | Some companies are hesitant to take over partially completed projects, especially if different equipment or methodologies were used |
| Need to contact the lender | Lender may be able to provide guidance on ensuring the solar energy system is operational |
| Need to review the contract | Review contract for warranty details and any clauses about service disruptions |
| Need to contact the manufacturer | Manufacturer may be able to provide warranty support and connect with certified installers in the area |
| Impact on the solar industry's reputation | Negative impact on the reputation of the solar industry as a whole |
| Reasons for company closures | High-interest rates, tight financing, adverse policy shifts, lawsuits, poor customer treatment, and low-quality equipment |
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What You'll Learn
- Customers are left in a difficult position, unsure how to maintain their PV systems
- Solar companies that close may have offered warranties they can't honour
- Customers may be left with non-working panels and no one to service them
- Customers may be unsure of the status of their warranty
- Customers may need to hire a new solar company to perform maintenance
Customers are left in a difficult position, unsure how to maintain their PV systems
When a solar company closes down, customers are often left in limbo, unsure about the maintenance of their PV systems. This uncertainty stems from the challenge of managing solar equipment warranties, finding support for repairs and monitoring, and navigating the complexities of solar system maintenance.
One significant concern for customers is the status of their warranty. While manufacturer warranties on solar panels and inverters typically remain valid, labor warranties provided by the installer may no longer be honoured. Customers are advised to review their contracts for warranty details and contact the manufacturer for warranty support, as warranties on equipment are generally provided by them directly. However, claiming these warranties may require testing and evidence of faults, and homeowners may need to work through an installer for this process.
To address maintenance concerns, customers can consider investing in a solar panel operations and maintenance (O&M) plan from a separate company. These plans ensure the diagnosis and repair of issues, including cleanings, electrical systems maintenance, and general system inspections. Additionally, it is recommended to seek alternative local contractors or reach out to the solar panel manufacturer for a list of certified installers who can work on their equipment.
The closure of solar companies can also lead to challenges in finding support for repairs and monitoring. Customers may encounter difficulties in finding a new installer to complete unfinished work, as some companies are reluctant to take over partially completed projects, especially if different equipment or methodologies were initially used. This situation can leave customers with non-working panels and no clear path to resolving the issues.
In summary, when a solar company closes, customers may face challenges in maintaining their PV systems due to uncertainties around warranties, difficulties in finding support for repairs, and the complex nature of solar system maintenance. Taking proactive steps, such as investing in an O&M plan, seeking alternative contractors, and staying informed about their rights and options, can help customers navigate these challenges effectively.
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Solar companies that close may have offered warranties they can't honour
In some cases, companies that take over a bankrupt solar company will honour the warranties of the previous company. However, this is not always the case, and customers may be left with invalid warranties. It is important to note that warranties for solar panels and inverters are typically provided by the manufacturers, and they may still be valid even if the installer is no longer in business.
If your solar company closes, you should start by reviewing your original contract and warranty documents. Reach out to the manufacturer of your solar panels or inverters to confirm your warranty coverage. Many PV equipment manufacturers offer warranty support separately from the installer. By understanding your warranty coverage, you can plan for potential repairs or replacements.
It is also important to consider the potential costs associated with switching to a new service provider. Diagnostic fees, service charges, and repair costs can add up, but investing in a reliable service provider ensures the longevity and efficiency of your solar system.
To summarise, while solar company closures may result in invalid warranties, customers can take proactive steps to understand their warranty coverage and explore options for continued maintenance and support.
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Customers may be left with non-working panels and no one to service them
The closure of solar companies can leave customers in a difficult position, especially if their systems are not operational. Customers may be left with non-working panels and no one to service them. This can happen when companies close down due to bankruptcy or other financial difficulties, as seen with Pink Energy, ADT Solar, Vision Solar, and Titan Solar Power.
When solar companies go out of business, customers are often unsure how to maintain their PV systems, manage equipment warranties, or find support for repairs and monitoring. In some cases, customers may be left with partially installed components or lack the proper solar permits, delaying access to solar power. Finding a new installer to complete the work can be challenging, as some companies are reluctant to take on projects started by other businesses, especially if different equipment or methodologies were used.
To address these issues, customers can consider the following steps:
- Review your contract: Check for warranty details and any clauses related to service disruptions. Understand your rights and options under the contract.
- Contact the manufacturer: Reach out to the manufacturer of your solar panels or system components. They can provide warranty support and may offer monitoring services. They can also connect you with certified installers or contractors who can work on their equipment.
- Seek alternative contractors: Look for local contractors or specialists who can take over service agreements and maintain your system.
- Explore warranty options: If you have an independent warranty, contact the provider to connect with certified solar providers in your area for maintenance. Equipment warranties are typically provided by the manufacturers and may still be valid, but labour warranties from the installer may no longer be honoured.
- Understand permit requirements: If your project is in the permitting stage, you may need to withdraw and resubmit the permit with a new contractor's information. Contact your city's building department for guidance.
- Consider legal recourse: If you encounter issues with your solar lease or loan, consult legal advice to understand your rights and options under the contract and applicable consumer protection laws.
- Maintain documentation: Keep all relevant documents, including lease or loan agreements, warranty information, and correspondence with installers or loan servicers.
It is important to act quickly and take control of the situation if your solar company closes down. While it can be challenging to find support, taking these steps can help customers with non-working panels find solutions and ensure their solar systems are operational again.
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Customers may be unsure of the status of their warranty
Firstly, it is important to understand that warranties for solar panels and inverters are typically provided by the manufacturers, and they may still be valid even if the original installer is no longer in business. In such cases, customers can reach out directly to the equipment manufacturer to confirm their warranty coverage. However, labour warranties provided by the installer may no longer be honoured.
If a customer discovers that their solar company has closed down, they may be left with partially installed components or a non-operational system. In this case, finding a new installer to complete the work can be challenging, as some companies are hesitant to take on projects started by other companies, especially if different equipment or methodologies were used.
If a customer encounters issues with their solar lease or loan after their installer closes down, they may have legal recourse depending on their contract and the consumer protection laws in their jurisdiction. It is advisable to keep all relevant documentation, including lease agreements, solar loan documents, warranty information, and correspondence with the installer or loan servicer.
Additionally, customers can refer to the following general guidelines regarding warranties:
- Understand the reputation of the company offering the warranty by checking online reviews or with local or state consumer protection offices.
- Be aware of the length of coverage and determine if the warranty expires after a certain period or specific conditions, such as mileage.
- Know what is covered by the warranty, as it may not include all situations or repairs, and some products may require registration before qualifying for warranty service.
- Understand the claims process and whether communication needs to be directed to the manufacturer or the original seller.
- Keep a copy of the warranty, product receipt, and any relevant documentation, such as proof of purchase or correspondence regarding the warranty.
- Be aware of any tie-in sales provisions, which require customers to purchase additional products or services to maintain warranty coverage, as these are generally prohibited.
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Customers may need to hire a new solar company to perform maintenance
When a solar company closes down, customers are often left unsure about how to maintain their solar systems, manage warranties, or find support for repairs and monitoring. This is especially true if their systems are not operational, leaving them with partially installed components or a lack of the proper solar permits, which can delay access to solar power.
In such cases, customers may need to hire a new solar company to perform maintenance. Finding a new installer to complete the work can be complicated, as some companies are hesitant to take over partially completed projects, especially if the original installer used different equipment or methodologies. It is important to find a company experienced with a wide range of solar equipment since they will know what equipment can work together.
Customers should also be aware of the status of their solar energy warranties. In many cases, manufacturer warranties on solar panels and inverters remain valid, but labor warranties provided by the installer may no longer be honored. Homeowners should review their contracts for warranty details and any clauses regarding service disruptions. They can then contact the manufacturer of their solar panels or system components for warranty support. Some companies may \"honor\" their workmanship warranties even after they go out of business by hiring another company to handle maintenance, but this may not be cost-free.
Additionally, customers may need to take several administrative steps. If their solar project is in permitting, they may need to withdraw and resubmit the building permit with the new contractor's information. They will also need to contact their electric utility and, if relevant, their lender. If their project has an approved permit and is waiting to be installed, they should call the city building department for guidance.
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Frequently asked questions
If the company that installed your solar panels goes out of business, you may be left with a non-functioning system and no one to service it. In this case, you will need to find a new solar company to perform maintenance and repairs. Keep in mind that some companies may be hesitant to take on work done by another installer.
Typically, warranties for solar panels and inverters are provided by the manufacturers, so they may still be valid even if the installer goes out of business. Contact the manufacturer of your solar panels or system components to confirm warranty coverage and seek support.
If your solar company goes out of business before your installation is complete, you may be left with partially installed components or without the proper solar permits. Contact your city's building department for guidance and reach out to other local solar companies to see if they can take over the service.
Solar companies may go out of business due to various economic and policy-driven factors, such as high-interest rates, tight financing, adverse policy shifts, and decreased consumer demand. Additionally, some companies may struggle due to poor business practices, such as using low-quality equipment, providing poor customer service, or engaging in unethical sales tactics.
