How Does Utility-Scale Solar Energy Work?

The sun offers an abundant source of energy, with 173,000 terawatts of solar continuously striking Earth — more than 10,000 times the world’s total energy use. Communities across America are harnessing this renewable energy source more than ever. In 2024, more than 90% of all new U.S. electrical generating capacity came from renewable sources, with solar alone accounting for more than 81% — the largest single-year increase from any energy source in two decades.

So, how does solar work to power homes and businesses with safe and affordable electricity? Here’s a closer look.

How Does Solar Energy Work?

Utility-scale solar energy is generated by converting sunlight into electricity, most commonly through photovoltaic (PV) panels. These panels absorb photons from sunlight and convert them to electrons to create direct current (DC) electricity. The DC electricity flows to an inverter that converts it into alternating current (AC). Then, the AC power travels through a transformer to a substation, where it is distributed to the grid to power homes and businesses.

According to the Solar Energy Industries Association (SEIA), the U.S. now has enough solar installations to power more than 40 million homes, with utility-scale solar accounting for 71% of that capacity. A typical 100 megawatt (MW) solar project produces enough energy to power 17,200 average U.S. homes. Arevon is committed to responsible solar development, working closely with communities and landowners to build projects that align with local goals and values, support the environment, and deliver lasting economic benefits.

What Are Solar Panels Made Out Of?

Solar PV panels primarily consist of encased clusters of PV cells made from silicon or a thin-film semiconductor material. Both silicon-based and thin-film solar panels are made from the following materials:

• Glass (76–89%): provides structural support and protects solar cells.
• Plastic (4–10%): used in back-sheet layers and encapsulants.
• Aluminum (6–8%): forms the panel frame for stability.
• Silicon (0–5%): the key semiconductor material in most PV cells.
• Other metals (1%): includes silver, copper, and tin for electrical connections.

By weight, glass and aluminum comprise more than 80% of a typical solar panel, both common and easy-to-recycle materials.

Do Solar Panels Work When It’s Cloudy?

Solar panels generate electricity on cloudy days by capturing both direct and indirect sunlight. However, their energy output can decrease depending on the level of cloud coverage.

Interestingly, rain can help maintain peak performance by washing away dust and debris that could otherwise block sunlight.

Do Solar Panels Work at Night?

Solar panels require sunlight to generate electricity, so they do not produce power at night. However, they can be paired with battery storage systems to store excess energy generated during the day for use at night, during periods of grid strain, or during extreme weather events.

How Well Do Solar Panels Work in the Winter and Snow?

Solar panels generate electricity year-round, even in the winter. Arevon’s solar panels use smart trackers that adjust panel angles to maximize sunlight exposure, tilting toward the southern sky and following the sun’s path throughout the day. These trackers also prevent snow build-up, and they help protect the panels from harsh weather like hail and high winds.

Solar Project Safety

Solar is a safe, reliable energy source with public health benefits.

Solar panels are:

• Weatherproof. Built to endure heavy rain, wind, hail, and snow.
• Glare-proof. Panels absorb light rather than reflect it, ensuring air traffic and transportation safety.
• Non-hazardous and regulated. Arevon’s solar panels pass strict U.S. Environmental Protection Agency (EPA) testing protocols, ensuring they are safe for people and the environment if damaged.

Utility-scale solar projects can even enhance local ecosystems, supporting biodiversity and restoring habitats for insects and wildlife.

Solar Energy Strengthens the Grid

Solar is the most affordable and fastest-to-deploy energy source — making it the leading driver of new energy capacity in the U.S. This cost-effectiveness and speed are especially critical as national energy demand accelerates, fueled in part by the rapid expansion of data centers.

Expanding domestic solar strengthens America’s energy mix by increasing diversification, enhancing security, and improving grid resilience — delivering a reliable, homegrown source of power all year round. Contact Arevon today to discuss how solar can power your community.

Explore Utility-Scale Solar Frequently Asked Questions