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Solar Roofing
An upward trend in the solar roofing market may allow for business expansion, but electricians grapple with the complexities of photovoltaic systems, including the long-tail liability for operational problems. Even if the product is at fault, the installer is most likely the first party to receive a demand to resolve problems and take responsibility for repairs or replacement expenses.
Though improper installation is one of the causes of solar panel fires, there are numerous possibilities that don’t involve the electrician. Liability lawsuits, however, tend to name all parties associated with the system that led to damage or injury. For that reason, electricians working with solar should be aware of their contractual liabilities as well as their risk of being dragged into a lawsuit seeking reparations for solar fires or other failures.
In 2019, for example, Walmart sued Tesla after seven fires at the retailer were blamed on rooftop solar panels. Days later Amazon followed suit, blaming shoddy installation. Tesla accused one of the parts manufacturers for the flaw, but that company rejected the claim.
By the end of that year, Walmart and Tesla had come to an agreement and the lawsuit was withdrawn. In the meantime, however, all parties involved in the solar project had to hire defense attorneys and begin investigations.
Manage Your Risk
Electricians working in the solar industry would be wise to create and adhere to a strict risk management protocol.
- Work with only qualified structural engineers, architects and designers.
- Use highly trained solar specialists on your projects.
- Know the structural requirements before installing and make appropriate modifications part of your contract with the property owner.
- Have a specialist in both structural and electrical codes and employ that person’s knowledge in every project.
- Consider partnering with a good structural engineer who can inspect all properties for adequacy of existing framing and appropriateness of design.
- Fully understand the financial exposures of any contract or warranty you enter into.
- Secure solid electricians' insurance that incorporates the perils your solar business faces, particularly long-tail exposure to claims years after the project is completed.
As part of your overall risk management plan, you may wish to partner with a fire investigator who is qualified to evaluate solar-energy related incidents. Electricians who install PV systems face an uphill climb when it comes to keeping up with developments and hiring/training labor. While there’s high profit potential for those who staff properly and manage each project well, there’s also a high-risk factor. Building a solid risk management program is an integral part of succeeding in this niche.
Challenges Ahead
Despite such headline-grabbing lawsuits, the solar industry is growing. California recently hit its one-million homes goal, and a company in Texas — resembling many others nationwide — increased its revenue by 75% from end-2018 to end-2019. Before the COVID-19 outbreak, the industry was expected to grow in 2020 by another 80%.
The rapid growth also leads to an expansion of staff. But electricians qualified to install and troubleshoot solar panels aren’t a dime a dozen. It requires specialization to deal with solar roofing systems, and there are many ways to make errors that could result in expensive system failure or fire.
A Cadmus Group study found that 45% of solar systems installed in one state exhibited major or critical installation deficiencies. Those deficiencies included missing equipment grounding, module damage, improperly secured photovoltaic (PV) modules, exceeding current limits on busbars or conductors, use of nonDC-rated equipment in DC circuits, and several other hazardous errors.
Wiring problems were at the heart of most of the faulty installations in medium and large systems. Those included a notable number of splicing issues, such as methods not rated for the specific environment or conductor type, the study says.
Alongside installation errors are design flaws where structural framing isn’t compatible with PV panel support and wiring accommodations. Sagging roofs and hot spots along wood framing have occurred.
Even some local building codes have not kept pace with solar. When a fire or other losses occur, however, the property owner will most likely name all those involved in the solar-energy system and let them duke it out over who is really at fault.
- Is your electrical business prepared for such costs?
- Have you vetted each of your solar projects to minimize your involvement in poor design or in the failure of shoddy products?