Decommissioning guide

What to Do With Solar Panels When Decommissioning a Solar Farm

5 minute read  ·  Solagix Editorial

Aerial view of a utility-scale solar farm

As the first generation of utility-scale solar farms reaches the end of its operational life, project managers and asset owners face a question that the industry is still working out how to answer: what do you do with the panels?

The scale of the challenge is significant. The International Renewable Energy Agency estimates that by 2030, cumulative end-of-life solar panel waste could reach 8 million tonnes globally. By 2050, that figure is projected to rise to 78 million tonnes. The decisions made now about how to handle decommissioned panels will shape the sustainability credentials of the solar industry for decades to come.

This guide sets out the main options available to solar farm operators, asset owners, and EPC contractors when managing end-of-life or surplus panels.

Why panels are being decommissioned earlier than expected

Solar panels are designed to last 25-30 years, but many are being removed well before the end of their physical lifespan. The main reasons include:

The result is a growing supply of panels that still have significant productive life remaining, often 10-15 years of useful generation capacity, entering the market well before physical end-of-life.

Your main options for end-of-life panels

Aerial view of solar panels in the Netherlands

Photo: Pexels

1. Bulk sale to a specialist buyer

For panels that are still functional or have degraded output but no physical damage, bulk sale to a specialist procurement company is typically the highest-value outcome. Working panels are in growing demand in emerging markets across Africa, Southeast Asia, and South America, where the economics of second-life solar make strong sense.

A good bulk buyer will assess the panels based on make, model, age, condition, and quantity, and provide a per-panel price that accounts for logistics. The process is straightforward: submit your inventory details, receive a valuation, agree terms, and arrange collection.

This option recovers value from the asset rather than treating it as a disposal cost, which has obvious advantages for project economics and sustainability reporting.

2. Refurbishment and resale

Some specialist operators will refurbish panels with minor defects, replacing junction boxes or repairing frames, before selling them into secondary markets. This is more complex logistically and typically only makes sense for higher-value panel brands or newer models with strong market demand.

3. Recycling

When panels are physically damaged beyond repair or have degraded to the point where reuse is not viable, recycling is the responsible option. Solar panels contain recoverable materials including aluminium frames, glass, copper, and silicon, all of which can be recovered and reprocessed.

Under the WEEE Directive in the UK and EU, solar panels are classified as specialist waste and must be handled by a licensed waste carrier. Recycling costs vary but typically range from £10-25 per panel depending on volume and logistics.

It is worth noting that recycling should be a last resort rather than a default. For panels with remaining productive life, recycling destroys value that could instead be recovered through reuse.

4. Donation

Some operators choose to donate functional panels to NGOs or community energy projects, particularly in developing markets. This option generates no revenue but can deliver meaningful ESG outcomes and reputational value. It works best for smaller quantities or panels that are functional but not commercially attractive to buyers.

What to consider when choosing an option

The right choice depends on several factors:

The emerging market for second-life solar panels

The second-life solar market is growing rapidly. Demand is strongest in Sub-Saharan Africa, where electrification rates remain low and the economics of used panels compare favourably with grid extension or new panel procurement. Southeast Asia and parts of Latin America are also active markets.

For sellers, this demand dynamic means that working panels, even those with significantly degraded output, often have a market value that makes bulk sale a better option than recycling. A panel producing 70% of its rated output is still a viable energy source in a market where any generation is better than none.

The documentation and chain of custody requirements for responsible second-life sales are also increasingly well established, making it easier for corporate sellers to demonstrate a responsible outcome to their own stakeholders.

Getting a valuation for your decommissioned panels

If you have a solar decommissioning project coming up and want to understand the options and likely value of your panel inventory, the first step is a straightforward assessment. At Solagix, we provide no-obligation valuations within 48 hours of receiving your inventory details.

We purchase panels in bulk from utility-scale projects globally, with a minimum of 1,000 panels per transaction. Logistics are handled on a case-by-case basis and factored into the offer price, keeping the transaction clean and simple.

Submit your inventory details here and we will be in touch within 48 hours.