January 20, 2016

Look for a trusted and long lasting solar company

You can’t help but notice that the Australian solar industry landscape is changing at the moment. It seems like every couple of weeks another large solar company goes into administration. So what’s happening to the industry and how can you protect yourself as a customer?

The industries is struggling with cheap quality products and fly by nighters installing systems, Panel manufactures are selling panels dirt cheap with no profits and some of them have not recorded profits since 2011, forcing even quality Chinese companies like Suntech into administration.

Now that the government has reduced the rebates on solar it has slowed the demand for people looking for solar systems. However, due to the boom there are still many companies trying to sell solar and this is just simple supply and demand economics.

I’m sure there will be many more companies go under this year, unless they change their business models and adapt to the change of Government rebates. Due to so many new companies jumping on the solar bandwagon with no other services to provide, it makes it exceptionally hard to survive.

So how can you choose a company that is less likely to go under?

1) Look for electrical companies that do solar as well as general electrical because even if they aren’t selling as much solar they are most likely still doing electrical work.

2) Look out for companies selling cheap, poor quality products – they all have a similar business models and are already showing cracks like Unleash Solar. These companies can offer cheap systems with long warranties because they know they won’t be around long enough to service them.

3) Look for companies with lower overheads; advertising is expensive so look for companies that don’t heavily advertise, as these companies work off of word of mouth and referrals. Use the net. Pages like Whirlpool are great ways to get opinions from people who have had systems installed by companies.

The industry is struggling at the moment but things will level out and this will mean prices will increase slightly to improve profits for manufactures and retail companies. Many companies will disappear from the solar industry leaving the companies that know what they are doing and want to stay long term in the industry.


Newman Mundy started NME Solar Solutions in 2010, with a desire to bring quality and good customer service to the solar industry. Newman regularly consults to solar industry groups and companies, plus is a member of accredited master electricians and the Australian Solar Council.

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