What is solar energy

What is solar energy

Solar energy is power obtained from sunlight that can be used to generate electricity or heat. It is a clean, renewable source of energy that helps lower electricity bills and reduce environmental impact.

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What is Solar Energy?

Solar energy is the power we get from the sun and use to produce electricity and heat for daily needs. It is a clean, renewable source that never runs out. Solar panels capture sunlight and convert it into usable energy for homes, schools, and industries. 


Because it does not produce smoke or harmful gases, solar energy helps protect the environment and reduce pollution. As technology improves, solar power is becoming more affordable and reliable, making it one of the most important energy sources for a sustainable future.

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Solar energy meaning

Solar energy means the energy that comes directly from sunlight and is converted into useful power. This energy is captured using special devices like solar panels and solar heaters. Once sunlight hits these devices, it is changed into electricity or heat that people can use. 


Solar energy is called renewable because the sun keeps shining every day. It does not get used up. Because it produces no harmful waste, solar energy is considered one of the safest and cleanest ways to meet the world’s growing energy needs.

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How does solar energy work?

Solar energy is harnessed through a straightforward process involving solar panels and related technologies. Here is how it works:

  1. Sunlight absorption: Solar panels absorb sunlight through their photovoltaic cells.
  2. Energy conversion: The PV cells convert sunlight into direct current (DC) electricity using the photovoltaic effect.
  3. Inverter usage: An inverter transforms DC electricity into alternating current (AC), which is suitable for powering homes and businesses.
  4. Energy utilisation: The converted AC electricity is used to power electrical devices or stored in batteries for later use.

This simple yet effective process ensures a steady supply of clean energy, reducing dependency on traditional power sources.

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Types of solar energy

Solar energy can be classified into different types based on how it is harnessed and utilised:

  1. Active solar energy

    Active solar systems use mechanical devices like pumps and fans to store and distribute solar energy. For example, solar water heaters rely on active systems to heat water efficiently.

  2. Passive solar energy

    Passive systems do not use mechanical devices. Instead, they rely on building designs and materials to absorb and distribute sunlight naturally. Examples include large windows and thermal walls.

  3. Solar thermal energy

    This type of energy involves capturing sunlight to generate heat, which is then used for applications like water heating or industrial processes.

  4. Photovoltaic solar energy

    PV solar energy is generated directly from sunlight using photovoltaic cells. It is widely used for electricity generation in homes and businesses.

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Uses of solar energy

Solar energy has diverse applications across residential, commercial, and industrial sectors. Thanks to advancements in solar technology, it is now possible to harness sunlight for various purposes.

 

  1. Residential uses

    Homeowners are increasingly adopting solar energy for powering lights, appliances, and water heaters. Solar panels installed on rooftops can generate electricity for daily household needs, reducing dependency on conventional power grids.

  2. Commercial uses

    Businesses leverage solar energy to reduce operational costs and achieve sustainability goals. For instance, offices and retail stores use solar panels to power lighting, air conditioning, and electronic devices, contributing to significant energy savings.

  3. Industrial uses

    Industries utilise large-scale solar installations to power manufacturing processes, heavy machinery, and even desalination plants. Solar energy is also widely used in agriculture for irrigation systems and solar dryers.


Pro Tip: Solar-powered solutions can significantly lower electricity bills while promoting eco-friendly practices.

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Advantages of solar energy

Solar energy offers several benefits that make it an attractive option for individuals and businesses:


  1. Cost savings: Solar energy reduces electricity bills, offering long-term savings.
  2. Eco-friendly: It is a clean and renewable source of energy, reducing carbon emissions.
  3. Energy independence: Solar installations allow homes and businesses to rely less on conventional power grids.
  4. Low maintenance: Solar panels require minimal maintenance, making them cost-effective.
  5. Versatility: Solar energy can be used for various applications, from powering homes to running industrial processes.

Pro Tip: Opt for solar energy systems to enjoy lower energy costs and contribute to a sustainable future.

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Disadvantages of solar energy

While solar energy offers numerous benefits, it is essential to understand its limitations:


  1. High installation costs: Setting up solar panels and systems requires significant upfront investment.
  2. Weather dependence: Solar energy generation is affected by cloudy weather and limited sunlight during monsoons or winters.
  3. Space requirements: Solar panels need ample space for installation, which may not be feasible in densely populated areas.
  4. Energy storage challenges: Storing solar energy in batteries can be expensive, and efficiency may vary.

Despite these drawbacks, advancements in technology are continually improving the efficiency and affordability of solar energy solutions.

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Sources of solar energy

Solar energy comes from different natural and technological sources that capture sunlight and convert it into usable power for homes, industries, and devices, making energy production clean, renewable, and sustainable for long-term use.


  • Sunlight captured by solar panels
  • Solar thermal collectors
  • Solar power plants
  • Solar heaters

These sources collect sunlight and convert it into electricity or heat. Because the sun is always available, solar energy remains a dependable and long-term solution for clean and renewable power across the world.

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Conclusion

Solar energy is a powerful and clean solution for meeting energy needs because it provides renewable power, reduces pollution, saves money, and supports a healthier and more sustainable future for everyone.


  • It protects the environment
  • It saves money over time
  • It supports sustainable living
  • It reduces pollution

People planning to install solar systems may also need financial help. Many choose a personal loan online to manage installation or home improvement costs. With the right support and solar power, a greener and brighter future becomes possible.

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Key offerings: 3 loan types

Personal loan interest rate and applicable charges

Type of fee

Applicable charges

Rate of interest per annum

10% to 30% p.a.

Processing fees

Up to 3.93% of the loan amount (inclusive of applicable taxes).

Flexi Facility Charge

Term Loan – Not applicable

Flexi Loans –Up To Rs 1,999 To Up To Rs 18,999/- (Inclusive Of Applicable Taxes)

Will be deducted upfront from loan amount.

Bounce charges

Rs. 700 to Rs. 1,200/- per bounce

“Bounce charges” shall mean charges for (i) dishonor of any payment instrument; or (ii) non-payment of instalment (s) on their respective due dates due to dishonor of payment mandate or non-registration of the payment mandate or any other reason.

Part-prepayment charges

Full Pre-payment:

  • Term Loan: Up to 4.72% (Inclusive of applicable taxes) on the outstanding loan amount as on the date of full pre-payment

  • Flexi Term (Dropline) Loan: Up to 4.72% (Inclusive of applicable taxes) on the outstanding loan amount, as on the date of full prepayment.

  • Flexi Hybrid Term Loan: Up to 4.72% (Inclusive of applicable taxes) on the outstanding loan amount, as on the date of full prepayment.

Part Pre-payment

  • Up to 4.72% (Inclusive of applicable taxes) of the principal amount of Loan prepaid on the date of such part Pre-Payment.

  • Not Applicable for Flexi Term (Dropline) Loan and Flexi Hybrid Term Loan.

Penal charge

Delay in payment of instalment(s) shall attract Penal Charge at the rate of up to 36% per annum per instalment from the respective due date until the date of receipt of the full instalment(s) amount.

Stamp duty (as per respective state)

Payable as per state laws and deducted upfront from loan amount.

Annual maintenance charges

Term Loan: Not applicable

Flexi Term (Dropline) Loan:

Up to 0.295% (Inclusive of applicable taxes) of the Dropline limit (as per the repayment schedule) on the date of levy of such charges.


Flexi Hybrid Term Loan:

Up to 0.472% (Inclusive Of Applicable Taxes) Of The Dropline Limit During Initial Tenure. Up to 0.295% (Inclusive Of Applicable Taxes) Of Dropline Limit During Subsequent Tenure

Disclaimer

Bajaj Finance Limited has the sole and absolute discretion, without assigning any reason to accept or reject any application. Terms and conditions apply*.
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