As Australia continues to lead the global shift toward renewable energy, the solar industry faces a critical question: What should be done with aging or decommissioned solar panels? While reuse might initially seem like a sustainable, cost-effective solution, there are significant practical, economic, and environmental concerns that make this option unviable at scale. Increasingly, industry stakeholders are concluding that responsible recycling offers a far more strategic path forward.

1. Performance Degradation and Warranty Limitations

Solar panels naturally degrade over time, with most losing around 0.5–1% efficiency annually. By the 20- to 25-year mark, many panels are operating below 80% of their original capacity. Reusing these panels in new installations results in compromised energy output and inconsistent performance.

Moreover, reused panels typically lack warranty coverage, exposing end users and installers to greater long-term risk. Without verified manufacturer support, issues such as early failure or electrical faults become costly liabilities.

2. Safety and Regulatory Compliance Risks

Australia enforces strict electrical safety standards for renewable energy systems. Reused panels—especially those from unknown sources—often cannot meet these requirements without extensive testing and recertification. The absence of traceable installation histories, performance records, and serial-level traceability further compounds the risk of fire hazards, electrical faults, and insurance complications.

3. Economics: Marginal Savings Undermine the Case for Reuse

In large-scale solar installations, the cost of the solar panels themselves typically represents only 20–30% of the total project cost. Labor, mounting infrastructure, inverters, grid connections, and certification make up the majority of expenses. Therefore, even if second-life panels are sourced at little or no cost, the overall savings on a new system are minimal—often less than 20%.

When factoring in the cost of recovering, transporting, testing, certifying, and reselling used panels, the financial benefit diminishes further. In most cases, these marginal savings do not justify the increased operational risk and reduced performance associated with reused panels.

4. Environmental Responsibility and Global Impact

Although reuse may seem environmentally friendly, exporting aging panels or reselling them for marginal applications often delays their proper disposal. Many of these panels end up in developing countries without the infrastructure to safely manage electronic waste.

Recycling, by contrast, enables recovery of valuable materials such as silicon, aluminum, silver, and copper, reintroducing them into the manufacturing cycle. This approach supports circular economy goals and aligns with Australia’s broader sustainability targets, including the emerging framework for Extended Producer Responsibility (EPR) in the solar sector.

5. Oversupply Challenges and Limited Reuse Demand

Australia is expected to generate more than 100,000 tonnes of solar panel waste annually by 2035. The second-hand market is not equipped to absorb this volume. Without a viable reuse outlet, panels are at risk of stockpiling, illegal dumping, or unregulated disposal.

A national recycling infrastructure is urgently needed to manage this growing waste stream—and ensure that Australia maintains its leadership in renewable energy with responsible end-of-life solutions.

Conclusion

While reuse might seem attractive in theory, in practice it delivers limited value and introduces considerable risk. With marginal cost savings, compliance complications, and environmental concerns, second-life panels are not a sustainable solution for Australia’s solar future. Strategic investment in high-quality, certified recycling—such as services provided by SOLAREC—represents the safest, most economically and environmentally sound path forward.

Contact us today for further information on disposal and recycling solutions of used PVs.

Let’s talk about a critical but often overlooked aspect of recycling that can make or break its success—the off-take market. It’s especially important in our industry, solar panel recycling, but it’s something that every recycling business needs to get right from day one.

What is the Off-Take Market?

In simple terms, the off-take market is all about having a buyer for the materials we recover after recycling. When we dismantle solar panels, we extract valuable materials like silicon, glass, aluminium, copper and even rare metals like silver. But unless there’s demand for these materials—whether in manufacturing or other industries—we’re left with stockpiles of materials that don’t benefit anyone.

This is where off-take agreements come in. These are contracts between recyclers like SOLAREC and manufacturers, guaranteeing that once we process these materials, they’ll be sold and reused. Having these agreements in place is absolutely crucial because they give recycling businesses a steady revenue stream, making the whole operation financially viable.

Why the Off-Take Market is Non-Negotiable

We’ve seen what happens when recycling ventures jump in without securing an off-take market. Take the broader recycling industry in Australia as an example. Not too long ago, we had a major issue with plastics recycling. A lot of companies thought they could just collect and process the waste, but they didn’t have a plan for what to do with the end product. When China banned foreign waste imports in 2018, a lot of that processed plastic had nowhere to go. Without an off-take market, many of these businesses collapsed or were forced to scale back significantly.

This is a clear example of why recycling isn’t just about collecting waste. You need to close the loop by making sure there’s demand for the recovered materials. Otherwise, it’s just waste in a new form.

Avoiding “Franken-Streams” in Solar Panel Recycling

Another pitfall we’ve seen in some failed recycling initiatives is what we call “Franken-streams.” This is where recyclers end up with mixed materials that, while technically recycled, don’t have enough value or are too difficult to separate into pure, usable components. These streams are often a mishmash of low-grade materials that no buyer wants, making the entire recycling process unsustainable.

In the solar industry, for instance, if we don’t carefully separate the glass, silicon, and metals from a solar panel, we could end up with materials that are practically useless to manufacturers. That’s why having an established off-take market is so important. It guides us in ensuring that the recycled materials meet the quality standards needed for resale and reuse.

It’s not just about recycling for the sake of it—it’s about recycling with purpose. Every panel we break down and process needs to produce materials that have real value, or we risk creating these Franken-streams that, in the end, could do more harm than good by contributing to waste rather than reducing it.

The Australian Context: Lessons from Other Sectors

We can look at the electronic waste (e-waste) sector as another example of where the lack of an off-take market has caused challenges. Australia generates massive amounts of e-waste each year, and while there are efforts to recycle, many of these initiatives struggle because there’s no clear demand for the materials once they’ve been processed. Without buyers lined up for things like recycled metals and plastics, recyclers are forced to stockpile or send the materials to landfill—completely undermining the purpose of the initiative.

This is exactly the kind of issue we’re trying to avoid in solar panel recycling. With the wave of solar installations from the early 2000s now reaching their end of life, there’s an urgent need for a robust recycling system. But that system won’t work unless there’s a clear off-take market for all the materials we recover from these panels.

Building a Sustainable Future Together

At SOLAREC, we’re fully focused on establishing these off-take markets before we even process a single panel. We’re working to secure partnerships with manufacturers and industries that are ready to reuse the high-quality silicon, glass, and metals we extract. That way, we can be sure that every panel we recycle is contributing to a more sustainable future—not just for us as a business but for the whole solar industry in Australia.

The off-take market isn’t just a nice-to-have; it’s the backbone of sustainable recycling. Without it, we risk creating more problems than we solve. So, as we continue to grow and scale, we’re committed to building strong partnerships and ensuring that everything we recover from solar panels finds a new life in the circular economy.

Off-Take from This Article!

The off-take market plays a crucial role in making recycling work—whether we’re talking about solar panels, plastics, or e-waste. Without it, we’re just collecting and processing materials that no one can use, and that’s a one-way ticket to failure. At SOLAREC, we’re doing things right by securing off-take agreements, integrating and influencing manufacturers and ensuring that every material we recover has a place in the market.

Contact us for further information on partnering with us.

In the swiftly evolving landscape of renewable energy, solar panels have become a cornerstone of sustainable power generation. However, as these panels near the end of their operational life, the conversation surrounding their recycling is mired in confusion—a confusion that could severely undermine the industry’s efforts to manage this impending challenge. At the heart of this issue lies the absence of a defined language, a problem that has plagued other areas of recycling, with dire consequences. We must learn from these mistakes to avoid a similar fate in the context of solar panel disposal.

The Danger of a Blanket Term

The term “recycling” is frequently bandied about as a catch-all solution, fostering the misleading belief that anything labelled as recyclable will be effortlessly transformed into new products. This oversimplification masks the complex realities of recycling processes, leading to significant gaps in understanding and action among businesses, the public, and policymakers.

Consider the case of plastic recycling. For years, the public was led to believe that placing plastics in a recycling bin guaranteed their transformation into new products. In reality, the situation was far more complicated. Different types of plastics require distinct processing methods, and much of what was collected ended up either shipped overseas to countries ill-equipped to handle it or was simply deposited in landfills. The fragility of the system was starkly revealed when China, once the world’s largest importer of recyclable waste, implemented its “National Sword” policy in 2018, effectively banning the import of most plastics and other materials. The global recycling industry was thrown into disarray, and only then did many realise how fragile the system they had long trusted truly was.

Lessons from E-Waste

A similar issue has arisen with electronic waste, or e-waste. E-waste contains valuable materials like gold and copper, but it also harbours hazardous substances. For years, the public and even some businesses assumed that e-waste was being responsibly recycled. However, much of it was being shipped to developing nations, where unregulated recycling practices exposed workers to dangerous conditions and led to severe environmental pollution. The lack of a defined language around what constitutes safe and effective e-waste recycling meant that policymakers were slow to act, and the public remained largely unaware of the true costs of their discarded electronics.

The Solar Panel Recycling Dilemma

Now, solar panels risk falling into the same trap. The term “recycling” is being used without a clear understanding of what it actually entails for these complex products. Solar panels contain valuable materials like silicon, silver, and rare earth elements, but they also include potentially hazardous components. Recycling them is not a straightforward process—it requires specialised facilities and technology that is not widely available. Yet, without a defined language to distinguish between different types of recycling processes, there is a real danger that businesses, the public, and policymakers will assume that the mere existence of “recycling” options means the problem is already solved.

If the public believes that solar panel recycling is as simple as placing them in a bin, or if politicians create policies based on this oversimplification, the consequences could be severe. We could face a situation similar to the plastic or e-waste crises, where the reality of recycling infrastructure lags far behind public expectations and policy requirements. This gap could lead to environmental harm, wasted resources, and a loss of public trust in renewable energy initiatives.

A Call to Action

To avoid repeating the mistakes of the past, it is imperative that we establish a clear, defined language around solar panel recycling now. This means differentiating between types of recycling processes, educating the public on the realities and limitations of current technology, and ensuring that policymakers are fully informed when crafting legislation. Only with a shared and precise understanding can we hope to build a recycling infrastructure that truly supports a sustainable future.

In the end, the words we use matter. If we fail to articulate the complexities of solar panel recycling, we risk not only the success of this industry but also the broader goals of environmental stewardship and sustainability. Let us learn from the errors of other recycling initiatives and commit to a more informed and effective conversation about the future of solar panel recycling.

At SOLAREC, we recognize the urgency of establishing a clear and standardized language around solar panel recycling. As a pioneering company in Adelaide, we are committed to leading the charge in addressing the complex challenges associated with end-of-life solar panels. Our approach is rooted in transparency, technological innovation, and a deep understanding of the materials and processes involved. By partnering with local solar farms, installers, and policymakers, we aim to build a recycling infrastructure that not only meets current demands but anticipates future growth. SOLAREC is dedicated to ensuring that solar panel recycling is not just a catchphrase, but a meaningful, sustainable practice that contributes to a cleaner and greener energy future for all.

Contact us now to collaborate, communicate and to be part of the solution for end of life PVs.

At SOLAREC, we are thrilled to announce our partnership with UNSW Sydney as a named industry partner in the newly established ARC Industrial Transformation Research Hub for Photovoltaic Solar Panel Recycling and Sustainability. This $5 million initiative, funded by the Australian Research Council (ARC), looks to position Australia at the forefront of innovation in solar panel recycling.

Our collaboration with UNSW’s world-class team, led by Professor Yansong Shen, places SOLAREC at the cutting edge of this rapidly evolving sector. The aim of the hub is to develop advanced solar panel recycling technologies, redesign photovoltaic (PV) panels for greater recyclability, and foster a more sustainable solar industry. These efforts will play a crucial role in helping Australia achieve its Net Zero Plan and Waste Action 2030 targets.

Jan Bartosek, CEO of SOLAREC, expressed his enthusiasm for the partnership:
“At SOLAREC, we are committed to being a leader in the solar recycling industry, and this collaboration with UNSW aligns perfectly with our goals. Working alongside experts such as Prof. Shen and the ARC hub means we are not only supporting cutting-edge research but also helping to bring scalable solutions to market. Together, we can build a greener, more sustainable future.”

Why This Partnership Matters

The rapid expansion of solar installations in Australia presents significant environmental benefits but also a growing challenge—how to manage the increasing volume of end-of-life solar panels. As Australia pushes towards net-zero emissions and embraces the Waste Action 2030 Plan, tackling this issue is vital.

By partnering with UNSW, SOLAREC will support the development of new, more efficient recycling technologies and the design of more durable, easily recyclable PV panels. Prof. Shen interdisciplinary team brings a wealth of expertise across the entire solar recycling value chain, ensuring SOLAREC remains at the forefront of industry advances.

Building a Sustainable Future
At SOLAREC, we are not just focused on being an industry leader but on driving meaningful change for a sustainable future. By collaborating with UNSW’s experts, we aim to create a closed-loop system that reduces waste, promotes solar adoption, and designs panels with recyclability at their core.

Jan Bartosek emphasised, “We’re excited to be working closely with UNSW’s research hub. This partnership will allow us to integrate cutting-edge recycling technologies into our operations and help make solar recycling more cost-effective and scalable across the industry.”

Looking Ahead
SOLAREC is proud to be part of this transformative project, working alongside Prof Shen and the UNSW team to develop innovations that will shape the future of solar panel recycling in Australia. Together, we’re addressing not only today’s challenges but also laying the foundation for a sustainable tomorrow.

Our long-term commitment to innovation, sustainability, and industry collaboration ensures that we are at the forefront of creating a circular economy for solar panels—one that benefits both the environment and the wider economy.

https://www.unsw.edu.au/newsroom/news/2024/06/unsw-awarded-5m-for-new-solar-panel-recycling-research-hub?utm_source=linkedin&utm_medium=social

In the race to meet ambitious renewable energy targets, Australia has chosen a path of expediency, prioritising rapid deployment over long-term sustainability and national security. While the immediate benefits of this approach are clear—lower emissions, job creation, and international acclaim—the underlying strategy is fraught with significant risks that could undermine Australia’s economic and strategic independence in the years to come.

Relying on Chinese Manufacturing: A Double-Edged Sword

At the heart of Australia’s renewable energy push lies a troubling dependency on Chinese-manufactured solar panels and components. China dominates the global solar industry, producing over 70% of the world’s solar panels, and Australia has eagerly tapped into this low-cost supply chain. However, this reliance comes at a price.

The allure of Chinese production is undeniable—massive economies of scale have driven down costs, making solar energy more affordable for Australian consumers. Yet, this economic benefit masks a deeper vulnerability. By relying so heavily on a single foreign supplier, Australia has ceded control over a critical aspect of its energy future. Should geopolitical tensions escalate, or should China face its own production challenges, Australia could find itself in a precarious position, scrambling for alternatives while its energy transition hangs in the balance.

Missed Opportunities for Domestic Manufacturing

Australia has the potential to develop a robust domestic manufacturing sector for solar panels and related technologies. Such a sector would not only reduce our reliance on imports but also create high-quality jobs, foster innovation, and ensure that the benefits of the renewable energy transition are felt more broadly across the economy.

Yet, instead of investing in this long-term vision, the current strategy has favoured the short-term gains of cheap imports. The lack of a coordinated push for domestic manufacturing means that Australia is missing out on an opportunity to become a leader in renewable energy production, rather than merely a consumer of foreign-made technology.

The Neglect of Resource Recovery: An Environmental and Economic Oversight

Equally concerning is the lack of focus on end-of-life resource recovery. As Australia ramps up its installation of solar panels, the issue of what happens to these panels at the end of their useful life is becoming increasingly urgent. Without a robust recycling industry, we risk creating a new environmental problem in the form of solar panel waste—an issue that will only grow as the first generation of panels reaches the end of its lifespan.

Here at SOLAREC we believe investing in resource recovery would not only address this looming waste issue but also allow Australia to reclaim valuable materials such as silicon, silver, and rare earth elements. These materials could be fed back into the manufacturing process, reducing the need for new imports and closing the loop on the renewable energy supply chain. Yet, this vital aspect of the energy transition has been largely overlooked in the rush to deploy more panels, more quickly.

A Call for a Balanced, Sovereign Strategy

Australia’s current approach to renewable energy is undeniably focused on the immediate goal of reducing emissions. However, this strategy, driven by expediency and short-term cost savings, risks undermining our long-term sovereignty, economic resilience, and environmental responsibility.

It is time for a more balanced approach—one that emphasises the importance of domestic manufacturing and resource recovery alongside the rapid deployment of renewable technologies. By investing in these areas, Australia can build a more secure, sustainable, and sovereign energy future, ensuring that the benefits of the energy transition are truly felt by all Australians, not just in the short term but for generations to come. 

As Australia increasingly turns to renewable energy, solar power has emerged as a leading solution to reduce carbon emissions and combat climate change. However, with the rapid growth of solar energy comes a new challenge—managing the end-of-life of solar panels. Enter SOLAREC, a South Australian company dedicated to addressing this critical issue through innovative recycling solutions tailored for large-scale operations.

Who is SOLAREC?

SOLAREC is a forward-thinking company based in South Australia, specialising in the recycling and upcycling of photovoltaic (PV) solar panels. Founded on the principles of sustainability and the circular economy, SOLAREC is committed to ensuring that valuable materials contained within solar panels are recovered and reused, rather than ending up in landfill or subjected to ineffective partial recovery that removes these materials from manufacturing circularity. Our mission is to transform the way solar panels are disposed of, making recycling not just an option but the standard practice.

Why Do We Need SOLAREC?

As the solar energy industry continues to expand, particularly with large-scale facilities like solar farms and commercial installations, the challenge of managing end-of-life photovoltaic (PV) panels is becoming increasingly urgent. These large-scale installations employ significant quantities of panels, which, when they reach the end of their lifecycle, require careful handling to prevent environmental harm and to recover valuable materials.

One of the primary challenges in end-of-life PV management is the risk of these panels ending up in landfills, without specialised recycling processes, the essential materials contained within these panels—such as silicon, silver, and aluminium—are often lost. These materials are not only critical for manufacturing new solar panels but also play a vital role in reducing the need for virgin material extraction, which can have significant environmental impacts and higher costs than recovered material. 

In addition to working with large-scale facilities, it is equally important to collaborate with domestic installers and local councils. These entities are crucial in ensuring that residential solar panels, often installed on rooftops, are directed into proper recycling channels rather than being disposed of as general waste. Local councils waste transfer stations often serve as the first point of contact for homeowners and small businesses looking to dispose of used panels, making them key partners in preventing PV panels from ending up in landfill.

The Environmental Challenge

Solar panels contain valuable materials such as silicon, silver, and aluminium, which can be recovered and reused. Without specialised recycling processes, these materials are lost, and the panels themselves end up contributing to waste. Current waste management systems are not equipped to handle the unique composition of solar panels, particularly at the scale of commercial and industrial installations, leading to inefficient recovery rates and missed opportunities for material reuse.

The Need for Specialised Recycling

Not all recycling is created equal. General waste management practices may treat solar panels as ordinary e-waste, which fails to recover many of the high-value materials locked within them. Alternatively recyclers only focus on the more easily recoverable materials or cannot obtain a level of purity that is useful for further manufacturing. SOLAREC addresses this by employing the most advanced, specialised recycling techniques available, designed specifically for PV panels. Our process ensures maximum recovery rates, minimising environmental impact and supporting the sustainable production of new solar panels and other products.

What Makes SOLAREC Different?

At SOLAREC, we pride ourselves on being a recycler and not a waste management company. Our approach is rooted in the principles of circularity and resource recovery, with a particular focus on turning waste into a profitable commodity.

Here’s what sets us apart:

• High Recovery Rates: Our advanced recycling technology allows us to recover nearly 100% of the materials in each panel, including those that are often overlooked by conventional methods. This is particularly important as crucial steps toward circularity and domestic manufacture of solar panels.
• Sustainability Focus: We are committed to reducing the environmental impact of solar energy by ensuring that end-of-life panels from all installation types are processed in a way that maximises resource recovery and minimises waste.
• Collaboration with Industry Leaders: SOLAREC works closely with commercial energy companies, solar farm operators, and government agencies to create a seamless process for the collection, recycling, and upcycling of panels. These partnerships are critical in scaling up our impact and ensuring that large volumes of panels are responsibly recycled.
• Economic and Environmental Benefits: By recycling materials locally, we contribute to the South Australian economy and reduce the need for raw material extraction, which can be environmentally damaging. This is especially important for commercial entities looking to enhance their sustainability credentials.

The Future of Solar Panel Recycling

As the solar industry continues to grow, the need for responsible disposal of panels will only become more pressing. SOLAREC is at the forefront of this movement, providing the infrastructure and expertise needed to ensure that solar power remains a truly sustainable energy source.

We believe that with the right processes in place, the solar industry can achieve its full potential—producing clean energy without creating a new environmental burden. SOLAREC is proud to lead the way in this important work, and we invite commercial energy companies, solar farm operators, government agencies, and others to join us in making solar panel recycling a priority.

As the world eagerly embraces renewable energy, the spotlight on solar panel sustainability is intensifying. Here at SOLAREC, a forward-thinking solar panel recycling company based in Adelaide, we believe it’s crucial to distinguish between recycling, upcycling, and reuse. Understanding these concepts is not only enlightening but also essential for maximising the environmental benefits of solar technology.

So, let’s dive in, shall we? Recycling, upcycling, and reuse might sound like synonyms, but trust me, they’re as different as a koala, a kangaroo, and a wombat. Recycling involves breaking down solar panels into their base materials, like glass, aluminium, and silicon, which are then reintroduced into production cycles. This process reduces the need for virgin materials, conserving natural resources and lowering our carbon footprints. It’s like turning an old friend into a new one, without losing any of the good stuff.

Upcycling, on the other hand, is a bit like re-gifting with a twist. It means repurposing solar panel components to create new products without breaking them down entirely. Imagine turning those panels into funky building materials or avant-garde art installations. Cool, right? However, this often involves changing the usage of materials without clearing contaminants or separating components completely. While it’s a great way to extend the life of materials, it doesn’t always close the material loop fully and can sometimes introduce dead ends in the circular economy. Additionally, if contaminants are not fully addressed, it can create entirely new problems to deal with.

Also, new alternative products don’t always find a way to compete successfully with current offerings. Think of it as giving your grandma’s old jumper a new life as a trendy scarf – it’s awesome of course, but it’s not quite the same as new, and probably isn’t going to work as a sustainable business model.

Reuse is the simplest of the three. It involves using solar panels in their existing form, like redeploying panels in less demanding energy applications. This method directly reduces waste and the energy use associated with manufacturing new panels, though it typically offers a limited lifespan extension. It’s like handing old jeans to someone else – not perfect, but definitely better than tossing them out.

Now, let’s talk about the potential for a completely circular solar panel recycling process, and what SOLAREC is 100% focused on achieving. This is the Holy Grail of sustainability, where materials are perpetually cycled back into use with no degradation in quality. In Australia, where the solar industry is set to boom, this is especially significant. The Australian PV Institute projects that the country will have over 80 million solar panels installed by 2030, which means we need robust end-of-life management strategies (Australian PV Institute, 2022).

A circular approach ensures that valuable materials within solar panels aren’t lost to landfills or dead-ended elsewhere, but are continuously recycled. This supports sustainable manufacturing and reduces environmental impacts. Imagine advanced recycling technologies that can recover up to 95% of materials from old panels. That’s a lot of silicon and aluminium we won’t need to mine anew! Plus, creating a domestic recycling industry can generate jobs and stimulate economic growth within Australia. It’s a win-win situation, reducing reliance on raw material extraction, which often involves environmentally damaging processes.

But here’s the catch – we must avoid creating “dead-ends” in the circular economy. When components are not recyclable or upcycled ineffectively, valuable resources are wasted, and environmental harm is perpetuated. Improper upcycling practices, where materials are not separated completely or contaminants are not cleared, can lead to significant issues. It’s like throwing a wrench into our finely-tuned sustainability machine.

At SOLAREC, we’re big fans of keeping the loop as tight as possible.  The installation and application of these technologies is the driving philosophy behind our business. We are working through a plan, delivered in three phases, that will articulate the recycling process and create a fully circular solution. We advocate for designing solar panels with recycling in mind, working with policymakers to establish regulations that support recycling and penalise waste, and educating consumers on the importance of proper disposal and the benefits of recycling. By focusing on these areas, we can ensure that solar panels contribute positively to Australia’s renewable energy landscape, creating a sustainable future for all.

References:

1. Australian PV Institute. (2022). Australia’s Solar Boom: Current Trends and Future Projections.
2. Solar Energy Industries Association. (2021). Solar Panel Recycling: A Primer.

By SOLAREC Growth Advisor David Leith

[Contact Information]

Connect with us on [linkedin.com/company/solarec-pty-ltd} to stay updated on our initiatives and advancements in solar panel recycling.