Don't Get Fooled by "25-Year Warranty"! Exposing 3 Common Word Traps in Solar Contracts
Do Not Get Fooled by “25-Year Warranty”: 3 Common Word Traps in Solar Contracts
“Boss, do not worry. This solar panel has a 25-year warranty.”
This is one of the most common lines homeowners hear when comparing solar packages in Malaysia. It sounds reassuring, but it can also create a major misunderstanding.
Many homeowners assume that once a solar system is installed, everything will be repaired for free for the next 25 years. In reality, a solar system usually has several different warranty categories, and each one may cover different things.
A “25-year solar warranty” does not automatically mean everything is covered for 25 years. It may only refer to solar panel performance warranty. Product defects, inverter failure, workmanship, labour charges, dismantling cost, transport cost and on-site service may have different warranty terms.
Before signing a solar contract, always check the difference between performance warranty, product warranty, inverter warranty, workmanship warranty and labour coverage.
Why Solar Warranty Terms Can Be Confusing
A solar PV system is not made of only one product. It includes solar panels, inverter, mounting structure, cables, protection devices, monitoring system and installation workmanship.
This means one “warranty” statement may not cover the whole system equally. Some parts may have long warranty periods, while others may have shorter coverage or special conditions.
Before comparing solar installers, homeowners should ask for a clear warranty breakdown instead of relying only on the headline phrase “25-year warranty”.
The cheapest solar package may not be the cheapest in the long run if inverter replacement, labour charges or poor after-sales support become your responsibility later.
Trap 1: Product Warranty vs Performance Warranty
This is the biggest confusion in solar contracts. For solar panels, the famous “25-year warranty” often refers to performance warranty. This usually means the panel output is expected to remain above a stated percentage after many years.
However, performance warranty is not the same as product warranty.
| Warranty Type | What It Usually Means | Why It Matters |
|---|---|---|
| Performance Warranty | The panel should still produce a certain level of output after many years. | This does not always mean every physical defect is repaired for free. |
| Product Warranty | Coverage for manufacturing defects, panel faults, frame issues or certain material problems. | This is more relevant when the panel itself has a physical or manufacturing issue. |
For example, if a solar panel produces less power over time, that may fall under performance warranty. But if the panel glass cracks, water enters the panel, the frame rusts, or a manufacturing defect appears, you need to check the product warranty terms.
Before signing, ask the installer:
- How many years is the solar panel product warranty?
- How many years is the solar panel performance warranty?
- Who handles warranty claims?
- Does the warranty include on-site inspection?
- Are labour and transport included?
Trap 2: The Inverter Warranty Is Usually Shorter
Solar panels are usually durable, but the inverter is the electronic heart of the system. It converts solar power into usable electricity for your property.
Because the inverter works under electrical load every day, it is one of the components homeowners should check carefully.
Smart Tip
Before signing a solar quotation, ask whether the inverter warranty is 5 years, 10 years or extendable. A longer inverter warranty may cost more upfront, but it can help reduce unexpected replacement cost later.
Questions to ask about inverter warranty:
- What inverter brand is included?
- How many years is the standard inverter warranty?
- Can the inverter warranty be extended?
- If the inverter fails, who handles the claim?
- Are inspection, dismantling and replacement labour included?
A lower quotation may look attractive, but if it includes a weaker inverter warranty or unclear support terms, your future risk may be higher.
Trap 3: Workmanship and Labour Cost May Not Be Included
Even if the equipment itself is under warranty, there may still be hidden costs such as inspection fee, dismantling fee, transport cost or labour charge.
This is where many homeowners get surprised. The manufacturer may cover the product, but someone still needs to visit your house, inspect the issue, remove the faulty part and reinstall the replacement.
| Warranty Term | What It May Mean | What You Should Ask |
|---|---|---|
| Carry-In Warranty | The faulty item may need to be sent back for checking or repair. | Who removes it? Who pays transport? Who reinstalls it? |
| On-Site Service | The installer may visit the property to inspect or handle the issue. | Is it free? For how many years? What is excluded? |
| Workmanship Warranty | Coverage for installation workmanship such as mounting, wiring or installation-related issues. | How long is it, and what problems are covered? |
Before accepting a quotation, request a written explanation of workmanship warranty and labour coverage. This is especially important if the installation involves a high roof, difficult access or commercial property.
Warranty Checklist Before Signing a Solar Quotation
Before you sign any solar contract in Malaysia, go through this checklist carefully. A reliable installer should be able to answer these questions clearly in writing.
- What is the solar panel product warranty?
- What is the solar panel performance warranty?
- What is the inverter warranty?
- Can the inverter warranty be extended?
- What is the workmanship warranty?
- Does the warranty include on-site service?
- Are labour charges included during warranty claims?
- Who pays for dismantling, transport and reinstallation?
- Who handles communication with the manufacturer?
- Is monitoring support included?
- What happens if the installer company is no longer operating?
- Are all warranty terms written clearly in the quotation?
What a Good Solar Warranty Proposal Should Clearly Show
A proper solar quotation should not only show system price. It should also clearly show the warranty details for each major part of the system.
Ask your installer to list:
- Solar panel brand and product warranty
- Solar panel performance warranty
- Inverter brand and inverter warranty
- Mounting structure warranty
- Workmanship warranty
- Monitoring system support
- On-site service terms
- Labour cost and transport exclusions
- Who handles warranty claims
Do Not Compare Solar Packages by Price Alone
Solar is a long-term investment. A cheaper package may look attractive today, but it may not be the best option if the warranty, equipment quality or after-sales service is weak.
When comparing solar installers in Malaysia, look beyond price and check:
- Whether the installer explains warranty terms clearly
- Whether the quotation separates product warranty and performance warranty
- Whether inverter warranty is strong enough
- Whether workmanship warranty is provided
- Whether on-site service is included
- Whether the company offers proper monitoring and after-sales support
- Whether the solar system is designed based on your actual usage and Solar ATAP assumptions
Check ROI and Policy Before Comparing Solar Quotations
Before choosing an installer, use the Solar100 ROI Calculator and read the NEM vs ATAP guide to understand how system sizing, self-consumption and warranty quality can affect your long-term solar decision.
Need Help Checking a Solar Warranty Before Signing?
If you already received a solar quotation, do not only compare the final price. You can also check whether the warranty terms are clear enough before signing.
Need Help Checking a Solar Warranty Before Signing?
Before signing a solar quotation, send Solar100 your location, property type, monthly TNB bill and the warranty terms offered by your installer. We can help you understand what questions to ask about product warranty, inverter warranty, workmanship and after-sales support.
Final Summary: A 25-Year Warranty Is Not Always Full Protection
A 25-year solar warranty sounds powerful, but homeowners should not assume it covers everything. Product warranty, performance warranty, inverter warranty, workmanship warranty and labour coverage are different things.
Before signing a solar contract, ask your installer to explain what is covered, how long each warranty lasts, who handles claims, and whether on-site service and labour cost are included.
Article Summary
Solar contracts in Malaysia can be confusing because “25-year warranty” often refers to performance warranty, not full system protection. Homeowners should check product warranty, inverter warranty, workmanship warranty, labour charges and after-sales service before choosing a solar installer. A reliable solar decision should consider warranty quality, Solar ATAP assumptions, ROI and installer support, not just the lowest package price.
Jan 25,2026