The purpose of a solar panel is to convert sunshine into electricity. When sunlight contacts a solar panel, the solar cells within the panel harness the light’s energy and turn it into Direct Current electricity.  The inverter transforms Direct Current electricity into Alternating Current electricity. This electricity is used to power your home. If your system creates more power than your home needs, then the extra energy goes to your local power grid. When sunlight is not feeding your panels, such as during the night, your home is powered by your utility provider.