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Home / Consumer Guide / What is solar energy? See the complete guide on the subject.

What is solar energy? See the complete guide on the subject.

The solar energy system is a clean and renewable energy source, easy to install and maintain.
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  • Editorial Photo Canal Solar Redação Canal Solar
  • November 10, 2025, at 18:00 PM
14 min 48 sec read
Solar power plant with rows of photovoltaic panels, showing what large-scale solar energy is and its role in the Brazilian electricity grid.
Photovoltaic plants expand Brazil's installed solar energy capacity and reinforce the transition to a sustainable electricity matrix. Photo: Shutterstock

Understanding what solar energy is is the first step in understanding why this source has become one of the most important in Brazil and the world.

With the popularization of photovoltaic systems, millions of consumers already They produce their own electricity. In a clean and economical way.

By 2025, the country will have surpassed 60 GW of installed solar power capacity, according to updated data from... ANEEL (National Electric Energy Agency). 

This progress has placed Brazil among the three largest solar markets on the planet, driven by the expansion of generation on rooftops, facades, and large power plants connected to the grid.

All of this happens because solar energy combines economy, autonomy and sustainability, transforming the way homes, businesses, and rural properties consume electricity.

In this guide, you will find: 

  • What is solar energy, how does this technology work, and what are its types?
  • Where can this font be applied in everyday life?
  • What are its main environmental and economic benefits?
  • The challenges of the photovoltaic sector in Brazil;
  • Why investing in solar energy is a strategic decision for the future.

Want to delve deeper into the subject? Check out the... Solar Energy courses Canal Solar with Everything you need to learn about solar energy, all in one place!

What is solar energy?

Solar energy is energy derived from solar radiationThis clean and renewable source can be converted into electricity using photovoltaic panels or used directly for thermal water heating, for example.

The main model for electrical conversion is the photovoltaic system, which transforms sunlight into electrical current through the photovoltaic effect.

What is solar energy used for?

Solar energy has wide application in different sectors of the economy and can be harnessed in two main ways: PV e thermal.

Photovoltaic Solar Energy

Photovoltaic solar energy converts sunlight into electricity using solar modules.

It is widely used in homes, businesses, industries, and rural properties, with two possible operating modes:

  • Network-connected systems (on-grid), which offset the electricity consumption of the distributor.
  • Systems with batteries (off-grid or hybrids), used for energy self-sufficiency or in locations without access to the public grid.

Its main applications include:

  • electricity generation for own consumption.
  • Cost reduction on electricity bill, replacing some or all of the energy purchased from the distributor.
  • Power supply in remote areas, such as farms, isolated communities and telecommunications stations.
  • Sustainability and property appreciation, with lower greenhouse gas emissions.

thermal solar energy

Solar thermal energy, on the other hand, harnesses the sun's heat to... water heating em residences, hotels, hospitals and gyms.

The system uses solar thermal collectors, which capture heat and transfer it to water reservoirs, significantly reducing the use of electric showers and gas water heaters.

This application is especially advantageous in regions with high solar radiation and represents a simple and efficient way to save electricity.

How does photovoltaic energy work?

Photovoltaic energy is generated when sunlight hits solar modules, producing direct current (DC) electricity.

This current passes through an inverter, which converts it into alternating current (AC), the type of energy used in homes, businesses, and industries, and compatible with the conventional electrical grid.

There are two main models of photovoltaic systems:

  • Distributed generation: installation on roofs, facades or small plots of land, connected to the local electrical grid;
  • Centralized generationLarge solar power plants, connected to the National Interconnected System (SIN).

Both models help expand Brazil's electricity generation capacity. The choice between them depends primarily on consumption patterns, project type, and the technical and economic conditions of the location.

What are the types of solar energy?

Professionals install photovoltaic panels on a residential roof, illustrating in practice what solar energy is and how it is generated from sunlight.
Installing solar panels on rooftops is one of the most common forms of distributed solar energy generation in Brazil. Photo: Adobe Stock

 

There are three main ways to harness solar energy: photovoltaic, solar thermal and heliothermalThey all use sunlight or heat as a source, but in different ways. Learn more below: 

1. Photovoltaic solar energy

Photovoltaic energy directly transforms sunlight into electricity. This happens through... solar modules composed of photovoltaic cells, which produce direct current electrical energy when exposed to solar radiation.

This electricity is converted into alternating current by an inverter, and can power homes, businesses, industries, farms, and electric vehicles. 

In fact, this is the most widely used type of solar energy in Brazil and worldwide, mainly due to its versatility and low operating cost.

2. Solar thermal energy

Solar thermal energy uses solar collectors to capture the sun's heat and to heat a fluid, normally waterThis heated fluid can be used in showers, swimming pools, building heating systems, and industrial processes.

This is a simple and efficient technology that reduces electricity consumption and is quite common in homes, hotels, and hospitals.

3. Solar thermal energy

Solar thermal energy, also known as concentrated solar power (CSP), utilizes parabolic mirrors or lenses to concentrate sunlight onto a single pointo, generating high temperatures.

Concentrated heat warms a fluid, which produces steam and activates turbines to generate electricity.In addition to generating energy on a large scale, solar thermal power can be used to store heat, supply industrial processes, and even desalinate seawater.

Where can solar energy be applied?

Solar energy can be applied to homes, businesses, industries, and entire cities, generating electricity, heat, and sustainable solutions for everyday life.

In Brazil, second data from the Brazilian Photovoltaic Solar Energy Association (Absolar), Already exist More than 5 million properties with solar systems., which represents more than 22% of the installed capacity of the national electricity grid.

The most common applications of solar energy are:

  • Solar water heating in homes, hotels, hospitals and swimming pools;
  • Seawater desalination in regions with water scarcity;
  • Solar pumps for irrigation and rural water supply;
  • Solar streetlights, which store energy during the day and illuminate streets at night;
  • Refrigeration and preservation of food and vaccines. in isolated communities;
  • Portable solar cookers and chargers, used in campsites and remote areas;
  • Electric vehicles with solar panels, still in the testing and expansion phase in the country.

Abroad, Dezhou, in Shandong province, northwest China, is an example of how this source can transform entire cities. Known as the "Solar City," Dezhou is home to 5 million inhabitants and has... 98% of its energy comes from the sun.. 

According to Washington Postthe place is considered the "Silicon Valley's clean technology version", with Solar Valley, a hub dedicated to innovation in solar energy.

In Brazil, this movement is also beginning to take shape. According to Geraldo Silveira, an engineer and specialist in photovoltaic systems, several cities are already using solar energy not only to generate electricity, but also to promote... leisure and well-being.

"It will become increasingly common to see solar energy being used for purposes like these over the next few years, due to the combination of advantages it offers.", the expert points out, in matter of Canal Solar. 

These examples show how solar energy is becoming established as a clean, accessible, and everyday solution. It's a resource that connects innovation, sustainability, and quality of life.

What are the benefits of solar energy?

Solar photovoltaic energy has established itself as one of the main alternatives for generating clean and sustainable electricity in Brazil and worldwide.

In addition to promoting savings on your energy billThe use of this source strengthens economic development, drives technological innovation, and helps mitigate the environmental impacts of the electricity grid.

Horizontal infographic illustrating the main benefits of solar energy: clean and renewable energy, savings and competitiveness, autonomy, and savings on electricity bills. Important.
Solar energy generates clean electricity, reduces costs, and offers autonomy for consumers and businesses. (Image: Reproduction) Canal Solar

 

In the middle of the day

Solar energy is a renewable sourceClean and inexhaustible. Unlike fossil fuels, photovoltaic generation does not emit greenhouse gases nor are there any pollutants during the electricity production process.

This type of energy directly contributes to reducing the global warmingTo improve air quality and reduce the carbon footprint of human activities.

Second data from the Brazilian Photovoltaic Solar Energy Association (Absolar)The use of solar energy in Brazil It has already prevented the emission of more than 66 million tons of CO2. since 2012, which is equivalent to planting more than 470 million trees.

Furthermore, the growth of solar energy has helped the country maintain one of the cleanest electricity grids in the world, with over 80% of generation coming from clean sources.

for companies

Companies that adopt solar energy systems gain in competitiveness and sustainabilityThe main benefits are: 

  • Reduction of operating costs;
  • Predictability in energy expenses;
  • Enhancing the institutional image;
  • Alignment with ESG criteria (acronym for Environmental, Social and Governance, or Environmental, Social and Governance, in Portuguese).

One example of success comes from the municipality of São Desidério (BA), where the Dom Perignon Farm implemented an intelligent irrigation system that combines solar and thermal energy.

The project, developed by the company Loop, reduced diesel consumption by 70% and generated a savings of more than R$2 million in just one four-month harvest.

According to Luvânio Lopes, CEO of Loop, the technology increased soybean productivity from 40–60 to over 100 sacks per hectare, proving that the integration of innovation and solar energy can transform agriculture.

Want to see more examples like this? Check out the... Full list of 10 success stories in 2024 na 26nd edition of the Magazine Canal SolarAccess is 100% free and digital!

for consumers

For those who install solar energy at homeThe main advantage is... savings on the electricity bill, which can reach 95% reduction.

The investment yields an average return between 3 and 6 years, while the lifespan of the systems exceeds 25 years.

In addition to direct savings, the property appreciates in market value, and the consumer gains greater energy independence, reducing dependence on the public grid and the impact of tariff adjustments.

House equipped with a photovoltaic system on the roof, an example of how solar energy can be applied in homes for savings and sustainability.
Residential solar energy systems help families save on their electricity bills and contribute to a better environment. Photo: Adobe Stock

 

Read more: Solar energy in apartments: how it works, advantages and more

What are the main challenges for solar energy in Brazil?

Despite the significant growth of solar energy in the country, which already has more than 60 GW of installed powerThe sector still faces challenges. regulatory, operational and financial barriers that limit its progress.

According to Absolar, the pace of expansion could be even greater if there were no project cancellations by distributors and a lack of compensation to entrepreneurs for cuts in renewable energy generation. 

This scenario primarily affects large solar power plants, which coexist with legal uncertainty and increased perception of risk, due to the absence of clear compensation rules defined by Aneel.

Among the main current challenges for solar energy in Brazil are:

  • Bureaucracy and regulation: The processes for connecting to the electricity grid are still slow and vary between distributors. Aneel and Absolar are discussing revisions to the regulations to reduce uncertainty for investors and consumers.
  • Technical obstacles in distributed generation: small systems face connectivity difficulties under allegations of power flow inversion, often without technical studies that prove actual overloads on the network.
  • Financing and access to credit: Although specific lines of credit exist, many consumers still encounter obstacles to finance photovoltaic systems, especially in smaller projects and in the North and Northeast regions.
  • Technical training: The demand for qualified professionals is growing rapidly, but in some regions there is a shortage of skilled labor.
  • Electrical grid infrastructure: In remote areas or areas with aging networks, the electrical system is not yet prepared for the growing volume of distributed generation.

Absolar advocates for the approval of Basic Energy Income Program (Rebe) and the update of the Law 14.300 / 2022 (which created the Legal Framework for Distributed Microgeneration and Minigeneration) as fundamental measures to guarantee legal certainty and accelerate the sustainable growth of the sector.

Want to learn even more about this topic? Check out the podcast episode from... Canal Solar over What to expect from solar energy in Brazil!

FAQ: Frequently asked questions about solar energy

Below, we answer the most common questions about what solar energy is to help you better understand how this technology works and why it's an excellent investment:

How much can you save on your electricity bill using solar energy?

With a well-designed system, it is possible to reduce by up to 95% of the electricity billThe exact savings depend on consumption, property location, and the characteristics of the installed system.

Does solar energy work on cloudy or rainy days?

YesEven with lower solar intensity, photovoltaic panels continue to generate energy on cloudy or rainy days, although with reduced efficiency. Production may decrease, but it doesn't stop completely.

Does the photovoltaic energy system work at night?

NoDuring the night, since there is no sunlight, photovoltaic panels do not produce electricity.

HoweverThere are ways to continue using electricity from the solar system during this period:

  • In grid-connected (on-grid) systemsThe consumer uses energy offset by surplus generation during the day. In other words, the electricity injected into the grid is transformed into energy credits that can be used at night.
  • In battery-powered systems (off-grid or hybrid)The surplus energy generated during the day is stored and used at night or during power outages from the distributor.

Thus, even without sun, it is possible to guarantee energy autonomy and continuity of supply, depending on the type of system installed.

What is the payback time for solar energy?

The average return on investment for a residential photovoltaic system varies. between 3 and 6 anosAfter this period, the system continues to operate with low maintenance and generate savings for more than 25 years.

Do solar panels need maintenance?

Yes, but it's minimal.The main recommendation is periodic cleaning of the circuit boards (especially in areas with a lot of dust or pollution) and an annual technical inspection to ensure the proper functioning of all components.

Is it possible to zero the electricity bill?

YesIt is possible to zero out the consumption portion of the bill. However, minimum fees and charges such as the availability fee will continue to be charged by the distributors, even with a positive energy balance.

Does solar energy increase property value?

Yes. Properties with photovoltaic solar systems are more valuable on the market.In addition to sustainability, they offer long-term savings, which is a major attraction for buyers.

What is the power of solar energy?

The power output of a photovoltaic system It varies according to the project and consumption needs.In Brazil, we have already surpassed the mark of 60 GW of installed capacity, combining centralized and distributed generation.

Is solar energy a primary or secondary source of energy?

Solar energy is considered a primary source of energyBecause it derives directly from solar radiation, which is a natural, renewable, and abundant source. 

It is converted directly into electrical energy by photovoltaic panels, without the need for prior transformation.

Would you like to delve even deeper into the topic? Read all about it at Canal Solar and stay informed about the best opportunities, trends, and solutions in the photovoltaic sector..

Conclusion

Understanding what solar energy is helps to understand why this source has ceased to be just another alternative and has come to occupy a central position in the Brazilian electricity matrix.

With over 60 GW of installed capacity, technological advancements, and environmental benefits, the photovoltaic sector has established itself as one of the pillars of sustainable development in the country.

For homes, businesses, rural properties, and public institutions, adopting this energy source means savings on electricity bills, energy independence, and reduced environmental impact.

Despite regulatory and infrastructure challenges, the sector's growth continues at an accelerated pace. The expansion of solar energy shows that Brazil is prepared to lead the clean energy transition in Latin America.

Want to better understand this market and keep up with upcoming trends? Access Canal Solar And check out complete and up-to-date content about the photovoltaic sector in Brazil.

energy solar energy GD (distributed generation) What is solar energy Resolution 482/2012
Editorial Photo Canal Solar
Redação Canal Solar
Content signed by experts and collaborators of Canal Solar, with technical analysis, practical reflections and experiences from the solar energy sector.
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Answers of 4

  1. Jeovaldo Jose da Silva said:
    20 from 2022 to 19 at 52: XNUMX

    Goodnight!
    Okay, I liked the comments, because they clarify how photovoltaic solar energy happens, especially in Brazil..., it is very important for the population to form their ideas on the subject,
    thanks,
    Electrical engineer.

    Reply
  2. Rosana Silva said:
    6 June 2022 to 17: 59

    I would like to obtain recent information about this type of energy and investment

    Reply
  3. ROBERTO IROIUKE HAMAMOTO said:
    29 from 2021 from September to 22: 17

    I would like to receive information about ground and floating solar power plants.

    Reply
  4. Paulo Roberto Souza Gomes Gomes said:
    29 March 2021 to 00: 01

    I WANT TO KNOW OUT OF CURIOSITY SO I CAN INSTALL IT IN MY HOME LATER.

    Reply

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