Solar Simplified: Your Guide to Understanding the Lingo

The world of solar energy is an intriguing and rapidly evolving one that often comes with a large amount of technical jargon and abbreviations. From embedded generation to virtual power plants, this guide will simplify these terms and equip you with the necessary knowledge to navigate this ever-changing industry.


Awareness and Behavioural Changes
Increasing awareness of environmental issues and climate change is leading to more conscious energy consumption behaviour among individuals and businesses. Examples of behavioural changes include homes and businesses installing solar and utilising this energy instead of relying on the grid, installing timers, upgrading to LED lighting and installing more energy efficient appliances.


Decentralised generation
Decentralised generation has become a trend in the energy sector. The traditional centralised energy model of large power plants generating electricity to distribute across the grid is giving way to these energy systems. Decentralised generation represents a shift away from this model, where energy production is dispersed across various small-scale, often renewable, sources and empowers consumers by allowing them to become energy producers. Virtual power plants (VPP) are great examples of decentralised generation that we are already seeing


Demand Response Programs
Utilities and energy providers are implementing demand response programs to incentivise consumers to adjust their energy usage during peak demand periods. This helps reduce strain on the grid and can lead to cost savings for consumers.


Electric Vehicles (EVs)
Electric vehicles (EVs) are an innovative mode of transportation designed to replace traditional internal combustion engine (ICE) vehicles. Unlike their fossil fuel-powered counterparts, EVs utilise electricity stored in advanced batteries to power an electric motor that propels the vehicle. What sets EVs apart is their inherent environmental friendliness, as they produce zero tailpipe emissions, significantly reducing air pollution and greenhouse gas emissions over the life of the vehicle. They are also energy-efficient, converting a higher percentage of electrical energy into vehicle movement compared to the combustion of gasoline. As the world gravitates towards sustainability, EVs are expected to play a pivotal role in reducing our reliance on finite fossil fuels and mitigating the environmental impacts of transportation. While challenges such as charging infrastructure and range limitations persist, the adoption of electric vehicles marks a crucial step towards a cleaner and more sustainable future in the realm of transportation.

EV chargers, also known as EV charging stations or points, are devices designed to supply electrical energy to recharge electric vehicles. These chargers are essential for keeping EVs powered and extending their driving range. These range from basic single-phase plug in devices to three phase fast chargers.


Embedded generation AKA Distributed Energy Resources (DERs)
Embedded generation/DERs encompass a wide range of small-scale energy technologies, including rooftop solar panels, small wind turbines, micro-hydro systems, and even home energy storage solutions like batteries. When the sun shines or the wind blows, these devices capture that energy and turn it into electricity. This electricity isn't just for your use; it can also be sent back to the grid, like a friendly gift to your neighbours. In return, you might even get credits on your energy bill or help make your community's power cleaner and more reliable. It’s the ability to generate clean energy right where you live or work, reducing your environmental footprint and contributing to a greener world.


Embedded (private) network
A communal power purchasing arrangement where one party purchases all of the energy for a group of users. Take a shopping centre for example. Instead of each individual shop or tenant managing their own electricity connection and dealing with separate bills, there's a single landlord responsible for overseeing all the electricity needs of the entire complex. This landlord takes on the responsibility of covering the costs associated with electricity consumption within the shopping centre, consolidating all the power usage into one significant bill. However, the genius lies in how the expenses are distributed. Rather than passing on individual bills to each shop, the landlord allocates the total electricity expenditure among the tenants based on their specific usage. This approach not only ensures that each shop pays only for the electricity they consume but also often results in cost savings overall, thanks to the collective management. It's an arrangement that not only saves money but also streamlines and simplifies the electricity experience for all the businesses in the shopping centre, making it a highly efficient and mutually beneficial solution. Other examples where embedded networks can apply include townhouse complexes, apartment buildings, office buildings, industrial units and retirement villages.


Energy Efficiency
There is a growing focus on energy efficiency in various sectors, including buildings, industrial processes, and appliances. Energy-efficient technologies and practices help reduce energy consumption while maintaining productivity and comfort.


Energy Policy and Regulations
Governments worldwide are revising their energy policies and regulations to support cleaner energy sources, energy conservation, and the overall transition to a more sustainable energy future.


Micro grid
In a nutshell, think of a microgrid as a small, self-reliant electricity network that combines different energy sources to keep your lights on, especially when the big power grid might let you down. It's a smart system that uses a combination of energy sources like solar panels, wind turbines, and sometimes regular generators to produce electricity. What's cool about microgrids is that they're self-sufficient; they can run independently from the main power grid, which comes in handy during blackout events.


Photovoltaic (PV)

"Photovoltaic" (PV) might sound complex, but it's really quite fascinating. In simple terms, photovoltaic is the science that turns sunlight into electricity through the solar panels on your roof.

Think of it as the magic behind solar panels. When sunlight, which is made up of tiny particles of energy called photons, hits these panels, the PV cells, which are like super-thin slices of silicon, absorb these photons. This absorption triggers a process where the photons' energy excites the electrons in the silicon, making them jump around. And here's the magic: when these electrons move, they create an electric current in the form of DC (direct current) electricity. This DC electricity is then passed through your solar inverter to create usable AC (alternating current) electricity to power your home or business.


Renewable energy

Renewable energy refers to power sources that can be naturally replenished, like sunlight, wind, and water. What makes it so exciting is that it's endlessly abundant and clean, like nature's own gift to power our world sustainably, all without depleting precious resources or polluting our planet.


Renewable Energy Growth

Think of it as the clean, green energy revolution. It's all about saving the Earth and saving money. As more people realise the harmful effects of burning fossil fuels, we're turning to renewables because they're sustainable and eco-friendly. Plus, they're becoming cheaper to produce and maintain. Cleaner air, fewer greenhouse gas emissions, energy independence and a better bang for buck. Who wouldn't want that?


Smart Grids and Internet of Things (IoT)

While this technology is still being developed, in the future, we expect appliances to be able to communicate with the network to determine the optimal time of use.  The implementation of smart grid technologies and the Internet of Things (IoT) is enabling better management and optimization of energy consumption, both at the grid level and within buildings and homes.


Tier One

Tier one, in the context of solar panels for consumers, refers to a classification system used to assess the quality and reliability of solar panel manufacturers. This classification is commonly used by solar industry professionals and consumers to differentiate between various solar panel brands and manufacturers. This typically means they have a longer warranty, better performance and efficiency, adhere to the required standards and are made by a reputable company.


Virtual Power Plant (VPP)

A Virtual Power Plant is a sophisticated, cloud-based energy management system that combines the power generation capacity of various distributed energy resources (DERs), including solar panels, wind turbines, batteries, and even demand response from energy consumers. It optimises their operation to ensure efficient energy use and grid stability. It allows these resources to operate in a coordinated and centralised manner, emulating the capabilities of a traditional centralised power plant.

Craig Smith