How do Solar Panels Generate Electricity?

Solar panels are made of photovoltaic cells (PV)  that convert solar energy (energy received from the sun) into electricity.  When sunlight hits the solar panels, the electrons in the photovoltaic cells are activated and start to flow. The movement of the electrons generates an electric current, which is stored in the panel wiring. 

This generated electricity is in the form of direct current (DC), which can’t be used immediately as housed-hold appliances require alternate current (AC). For this purpose, an inverter is used to convert direct current to alternating current. Once converted to AC, the electricity is ready to be used for households or offices.