Solar System Scams: How Can You Stay Informed & Protected?

Solar System Scams

In an era where renewable energy is at the forefront of global conversations, solar systems stand as a hope for a cleaner and more sustainable future. Recognizing this significance, various incentives have been rolled out to promote the adoption of solar energy. 

According to Energy.Gov, taxpayers can claim a 30% credit against the cost of installing a solar power system between 2022 and 2032 that meets specific energy requirements. For instance, if you invest in a solar panel system worth $25,000 for your home or business, you could receive a credit of approximately $7,500.

However, as with many booming industries, there’s a darker side to consider. Solar system scams have emerged as a concerning issue that threatens to undermine genuine progress in the solar energy field. These scams not only mislead consumers but also potentially deprive them of the actual financial benefits they could avail from authentic solar installations.

In this thought-provoking discussion, we delve into the world of Solar System Scams. We’ll explore how these scams operate, the potential impact they can have, and, most importantly, how you can stay informed and protected against such frauds and fake offerings.

What Should You Know About Solar System Scams?

Solar panel fraud is multifaceted and primarily capitalizes on the average consumer’s limited understanding of solar technology and industry regulations. Below are some prevalent solar panel scams and guidance on protecting oneself:

Free Panel Offers

Cons may use the promise of “free solar panels” in their marketing strategies. However, there are no such things as free solar panels. These so-called offers might be entangled with hidden charges, recurring monthly fees, expensive agreements, or upfront expenditures. According to ForbesHome, an outright purchase of solar panels for residential properties averages around $16,000. However, with comprehensive installation, costs might escalate to as much as $35,000. 

It is important to note that refunds and big tax breaks from the federal government can make a discount on this amount. Still, it’s important to remember that no solar panel device is free. Scammers exploit information obtained about you throughout the application process to commit fraud.

Tricky Rental Contracts

Con artists use deceptive language in lease agreements. While many of these contracts will advertise they are “100% free,” they may have hidden fees such as maintenance or monitoring payments or lock users into lengthy agreements with steep escalation clauses. If the agreements contain such provisions, consumers may find it challenging to get out of the lease or transfer it to a new owner.

It is in your best interest to work with a reliable solar company that provides transparent and equitable lease terms. It’s important to remember that leases aren’t the optimal choice for everyone. A Power Purchase Agreement (PPA) or Solar Lease contract is another option to think about. Additionally, solar power providers often provide PPAs in which they install and maintain solar panels on a customer’s property in exchange for a fixed monthly payment. 

Fake Employees of the Utility Company

Fake utility representative scam is one of the most common varieties of solar panel fraud. They make appealing promises, including the arrival of new tax credits, the demise of incentives, the prospect of cost savings on electricity costs, or even the removal of payments. 

Many of these assertions are only partially true, and reputable companies would never use such tactics. Some states have solar panel rebates and incentive programs, but homeowners should be wary of too-optimistic claims and instead do their research on such programs in their area. 

Remember that tax breaks have expiration dates and may be revised every year. Solar panels help you save money on your electricity bill, but they probably won’t completely eliminate them. It is also essential to confirm that any claimed tax breaks or other financial aid from the government are legitimate.

Use of Aggressive Sales Techniques

Con artists use high-pressure sales strategies that aren’t ethical to get their victims to part with their money. They will try to pressure you into signing contracts immediately by promoting limited-time specials, indicating that spots are filling up quickly, or providing special discounts to those who do so. 

Scammers limit your access to information, discourage you from doing your own research or consulting experts, and don’t provide you with the full picture before you make a decision. It is common for them to brush off your worries and shift the focus back to how quickly they can close an offer. 

Homeowners can avoid high-pressure sales scams by doing their homework, getting second opinions, and comparing prices from trustworthy solar companies. If someone guarantees you will save money in writing during their sales presentation, they are frequently being overly optimistic. It’s impossible to provide a precise savings figure. You may calculate your solar payback period to get an idea of how long it will take to make up the cost of installing solar panels.

Deceptive Online Marketing

Online fraud tricks homeowners using fake solar power offers. Some scammers use fake emails, pretending to be from actual solar companies, asking for your personal details or linking to fake payment sites. Others might show fake ads promising cheap solar panels. If you fall for these, you might lose money, experience identity theft, or end up with underperforming solar systems. Because many people in the U.S. are using solar energy and getting government benefits, these scams are really common. To stay safe, always research before buying solar panels.

How Can You Stay Protected From Solar System Scams?

To protect yourself from such solar company scams, here are some tips:

  • Avoid signing any solar contract that has blank spaces.
  • Get all terms and promises in writing.
  • Ensure the solar company has been in business for several years.
  • Check online reviews, ratings, and Better Business Bureau profiles.
  • Ensure the professionals from solar companies are licensed and insured to work in your area.
  • Verify any claimed certifications or affiliations.
  • Walk away from salespeople who pressure you to sign contracts immediately.
  • Never feel obligated to decide on the spot.
  • Ensure all financing terms are clearly stated and understood.


As described, solar system scams are complicated schemes that take advantage of people who don’t know much about the solar business. From enticing offers of “free panels” to misleading rental contracts, from false claims by fake utility company reps to pushy online marketing, these scams cover a lot of ground. The goal of these scams is clear: to take advantage of people who might want to buy solar panels. 

It’s essential to do your study, compare prices from different sellers, understand the financing terms, and not decide quickly. Ohio Valley Solar is a solar company you can trust. Our solar specialists are licensed and insured to save you from such scams by providing reliable solar panel services. Additionally, our reputation in the solar industry shows how hard we work to give our clients real solar solutions without tricking them. Contact us today!

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top

Get Your Free Quote!

Before you go, don’t miss this opportunity to get a FREE QUOTE on your Solar Project.

Pssst: We also hate spam!