What Is the Degradation Rate in Solar Panels and Why It Matters?

When investing in a solar energy system, one key factor that often goes unnoticed is the degradation rate of solar panels. While most buyers focus on upfront cost and efficiency, understanding the degradation rate can help you evaluate long-term performance, savings, and return on investment (ROI).

In this blog, we’ll explain what degradation rate means, why it matters, and how Bluebird Solar ensures minimal performance loss in our high-efficiency modules.

What Is Solar Panel Degradation Rate?

The degradation rate refers to the annual decline in a solar panel’s power output over time. Simply put, solar panels produce slightly less electricity each year compared to the previous year due to natural wear and tear caused by environmental exposure, UV radiation, thermal cycling, and other stress factors.

For Example:

If a solar panel has a degradation rate of 0.5% per year, and starts with 100% output:

• After 1 year → 99.5% output

• After 10 years → ~95% output

• After 25 years → ~88% output

Why Degradation Rate Matters?

1. Long-Term Power Output

Lower degradation = higher cumulative energy generation. Over 25+ years, even a 0.2% difference can translate into thousands of extra units (kWh) of power.

2. Return on Investment (ROI)

Solar systems are a long-term investment. Lower degradation panels offer better ROI and lower Levelized Cost of Energy (LCOE).

3. System Sizing & Planning

Knowing the degradation rate helps EPCs and installers accurately size systems for long-term performance, ensuring customers meet their energy needs for decades.

4. Warranties and Guarantees

Top solar modules manufacturers in India back their panels with linear performance warranties, guaranteeing output even after 25–30 years.

What Is a Good Degradation Rate?

At Bluebird Solar, our latest 590 Wp N-Type TOPCon Glass-to-Glass Bifacial Panels feature an ultra-low degradation rate of less than 1% in the first year and just  0.4% annually thereafter, ensuring over 87.4% output even after 30 years.

How Bluebird Solar Ensures Lower Degradation

• High-quality materials: Advanced encapsulants, anti-PID cells, and robust frames.

• G2G Glass Structure: Better protection against moisture, UV, and mechanical stress.

• Certified Reliability: All modules are BIS, ALMM, and IEC-certified for long-term durability.

• Field-Tested Performance: Proven performance in harsh Indian conditions – from deserts to snowy terrains.

Final Thoughts

Degradation rate isn’t just a technical spec – it’s a critical factor that impacts your energy generation, savings, and system performance for decades. When choosing a solar panel, always compare degradation rates and ask your supplier for performance warranty details.

With Bluebird Solar, you’re not just choosing high-efficiency panels – you’re choosing lasting performance backed by trust, technology, and transparency.

Need help choosing the right solar panel for your project?
Contact us at 📩 sales@bluebirdsolar.in or visit https://bluebirdsolar.com to explore our latest product range.