Production Guarantee

A production guarantee is a warranty offered by some solar installers that ensures your system will produce a minimum amount of electricity over a specified period. If the system underperforms the guaranteed level, the installer compensates you — typically through a cash payment, bill credit, or additional equipment.

Production guarantees give homeowners peace of mind that their solar investment will deliver the promised energy savings. A common guarantee might promise that your system will produce at least 90% of the projected annual kWh output over the first 10 years. This is different from a manufacturer’s panel warranty, which covers defects and degradation rates for individual panels. A production guarantee covers the entire system’s real-world performance, accounting for factors like weather, shading, and equipment efficiency. Not all installers offer production guarantees, so it’s worth asking when comparing solar quotes. Companies that do offer them often use monitoring systems to track production in real time and proactively address any issues that arise. Read the fine print carefully — some guarantees have exclusions for unusual weather events or changes to surrounding structures (like a neighbor building an addition that creates new shading).