Rendered solar system design for a residential rooftop
Industry Insight

Solar and the Circular Economy

What is a circular economy, and how does it apply to solar panels, batteries and recycling? A look at reuse and repair, with an Ontario solar perspective.

At Terawatt Solar, we try to act responsibly and limit our own carbon emissions. We believe transitioning to renewable energy is an essential step toward locally sourced, clean technology for generations to come, and that Canada needs to stay aligned with the Paris Agreement while building a "circular economy." As an Ontario solar installer, we think it is worth explaining what that means for the panels on your roof.

What Is a Circular Economy, and Why Should We Switch?

The global population is rising, and the planet's resources are finite. Extracting those resources is energy intensive, often damages ecosystems, and adds carbon emissions at every step. A circular economy aims to reduce that pressure by keeping materials and products in use for as long as possible. The European Union describes it as a model of production and consumption that involves sharing, leasing, reusing, repairing, refurbishing and recycling existing materials and products to tackle global challenges like climate change, biodiversity loss, waste and pollution. Lowering emissions in this way supports the targets set out by the Intergovernmental Panel on Climate Change (IPCC) and the Paris Agreement, along with healthier communities and ecosystems.

What Are the Principles of a Circular Economy?

A circular economy treats waste as a resource. Biological, biodegradable materials can return safely to nature. Other materials are repaired, reused or recycled back into new products. Materials that cannot be reused can be recovered for energy, so that as little as possible ends up in landfill. The goal is a system in which products last longer, materials are recovered and waste is designed out from the start.

Blueprint-style solar system design drawing

How Does a Circular Economy Benefit Solar?

Solar equipment is built to last, and many panels operate for 25 years or more. At the end of that life, the question becomes what happens to the hardware. The U.S. National Renewable Energy Laboratory (NREL) has noted that responsible, cost-effective management of PV hardware is an important business and environmental consideration, and that repair, reuse or recovery of equipment would reduce environmental impacts and resource constraints. NREL's research on PV recycling and circularity is available at nrel.gov.

Today, relatively few policies reward private companies for recycling, repairing or reusing solar equipment, and that is one reason the topic is getting attention. A stronger circular approach could help the solar sector in several ways:

The first steps are research with solar industry players, policy makers and regulators, along with changes across commercial, industrial and residential infrastructure. Consumers should also benefit from greater access to renewable energy and from climate solutions that work for them. One example from abroad is the European Commission's Circular Economy Action Plan, which includes measures so that batteries can be recovered as valuable materials. It reframes "waste" as something with value, and it points to the kind of rules that could support battery recovery here too, a topic that matters as more Ontario homes add battery storage.

What This Means for Ontario Solar Owners

Choosing equipment from reputable manufacturers, installing it properly and maintaining it well is itself part of a circular approach, because it extends the useful life of every component. Quality installation is the foundation: systems that are properly designed and wired last longer and need fewer replacement parts. Our ESA-licensed in-house crews install every system, we back panels with a 25-year warranty and workmanship with an 8-year warranty, and our SolarEdge inverters support monitoring so problems are caught early.

When a system does eventually come to the end of its life, ask your installer and local waste services about recycling options at that time. Programs and regulations in Ontario are still evolving, so we do not want to promise specifics that may change.

Concluding Thoughts

Sustainability, solar energy and a circular economy are closely linked. A circular economy advocates reuse and refurbishment of resources, and two of its most important principles are eliminating waste and pollution and keeping materials in use. Aligning renewable energy with those principles would help the private sector, policy makers and regulators move toward Canada's net-zero goal.

If you are thinking about going solar, our team can help you do it ecologically, affordably and with ease. Read about our residential solar and commercial solar services, check the current incentives, and book a free solar assessment on our contact page.

Frequently Asked Questions

What is a circular economy?

A circular economy keeps products and materials in use through sharing, repairing, reusing, refurbishing and recycling, in order to reduce waste, pollution and emissions.

Can solar panels be recycled?

Many components such as glass, aluminum and metals can be recovered. Recycling options and programs are still developing, so ask your installer about available options when a system reaches end of life.

How long do solar panels last?

Quality panels are designed to operate for 25 years or more, and ours carry a 25-year panel warranty.

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