Stop me if this sounds familiar: you got solar panels because you wanted to do something good. Maybe for the planet. Maybe to save on power bills. Maybe both. You were told it was clean, efficient, and the future. And that felt true until you heard that old solar panels often end up in landfills.
If you feel frustrated by that, you’re not alone. Many Australian homes now have rooftop solar panels, but hardly anyone knows what happens when those panels are taken down. Only about 10% of them are recycled. The rest? Stockpiled, shipped overseas, or dumped.
That’s where this article comes in. You’ll learn why this is happening, why recycling isn’t enough, and what needs to change so solar can stay a truly sustainable solution.
As a trusted solar installer, PSC Energy helps homeowners make smart, future-proof solar choices. We’ve been at it for a while. We ethically recycle all solar panels we remove from roofs. We’re here today as educators first to address an issue the solar industry doesn’t like talking about.
In this article, you’ll learn about the following:
- Are Solar Panels Recyclable?
- Why Recycling Isn’t the Silver Bullet for Solar Panels
- What Product Stewardship for Solar Panel Recycling Should Really Look Like
In this guide, we’ll show you what to watch for and what the solar industry needs to fix.
Ready for the full story? Let’s get into it.
Are Solar Panels Recyclable?
Solar panels are everywhere now. Over 3.5 million Australian homes have them. And every year, about 300,000 new systems are added. That’s a huge win for clean energy. However, it also raises a problem that few people discuss: what happens when those panels are no longer in use?
Most panels are warranted to last 25 to 30 years. But many are taken down long before that. Some are removed because of minor faults. Others come down when owners upgrade to bigger systems or chase new government subsidies. When that happens, panels that still work often go to waste.
Solar panels are now Australia’s fastest-growing type of electronic waste. And unlike old phones or TVs, they’re not easy to recycle. Most are sealed tight to survive storms and heat, which makes pulling them apart very hard. That’s one reason why only a tiny portion gets recycled.
The problem isn’t just about how hard it is to recycle a panel. It’s also about how we treat panels once they’re up on the roof. Many people are advised to replace the entire system when only one or two panels break. Sometimes, a new solar rebate makes it more cost-effective to install a new system than to repair the old one.
Even though a panel might still be functioning properly, there is little support for testing, fixing, or reusing it. And because there’s no official system in place for what to do with panels after removal, most of them don’t get a second chance.
If you’re interested in learning a bit more about solar panels and energy systems, you might want to check out the following article titled, Are Solar Panels Worth It in NSW, Australia? A Price Breakdown for 2025.
Why Recycling Isn’t the Silver Bullet for Solar Panels
Australia’s National Waste Policy places a strong emphasis on recycling. However, in waste management, recycling should follow reuse and repair. It’s the last resort before disposal.
Recycling panels is tricky. Most are imported, rather than being made locally. That means we can’t control their design, which often doesn’t allow for easy disassembly. Even if we had the tech to break them down, there’s another hurdle: there aren’t enough panels being collected yet to make recycling profitable.
Plus, remote areas in Australia have it worse. Transporting old panels from distant towns to the city for processing costs a lot. There is no clear rule on who should pay for that: local councils, homeowners, or manufacturers.
If you’re interested in learning a bit more about weighing the cost of solar against the cost of the grid, you might want to check out the following article titled, Cost of Solar Panels vs. Cost of Energy from the Grid.
What Product Stewardship for Solar Panel Recycling Should Really Look Like
That’s where a product stewardship scheme can help. This scheme should be a set of rules that makes everyone, from manufacturers to importers, sellers, and users, share the responsibility of handling waste. Other products, such as tyres, motor oil, and mobile phones, already have this kind of system in place.
The idea is simple. A small fee is added to the product price. That money then goes into collecting, transporting, and processing waste at the end of the product’s life. It can also fund public education or research into better recycling methods.
Solar panels have been on Australia’s priority list for a stewardship scheme since 2017. In 2020, the government asked for help to build one, but later backed off. A discussion paper was released in 2023, but no real action followed.
One key issue is cost. Recycling isn’t cheap. Moving panels across the country, especially from remote places like island communities in the Northern Territory, makes it even more expensive. The big question is: who should pay?
Should it be you, the solar customer? Should councils with small budgets cover it? Or should the companies that sell solar panels take more responsibility?
If we design the scheme well, it could lower waste, create local jobs, and help recover valuable materials for new tech. But we must build it with reuse and repair in mind, not just recycling.
If you’re interested in learning a bit more about lowering greenhouse gas emissions with solar, you might want to check out the following article titled, What Is Net Zero by 2050 for Australia?
What Needs to Happen Next
Panels that could be reused are thrown out. Recycling is rare. And no one seems clear on what the rules are. That needs to change.
Australia must build a strong product stewardship scheme for solar panels. One that supports reuse, repair, and local recycling. One that works for people in cities and those in remote towns. And one that makes sure solar stays a smart choice for the environment.
In the meantime, homeowners can take small steps to improve their energy efficiency. Keep your system well-maintained. Ask your solar installer about repair options before replacing panels. And if you’re upgrading, find out if your old panels can be reused.
At PSC Energy, we believe solar should stay clean from start to finish. That’s why we help customers choose quality systems and provide guidance on the next steps. Because a greener future doesn’t stop at the roof; it extends long after the panels are removed.
If you’re interested in learning a bit more about the federal solar rebate, also known as the Federal Cheaper Home Batteries Program, you might want to check out the following article titled, What the 2025 Federal Election and the Government Rebate Means for Solar Batteries in Australia.
FAQ: Solar Panel Waste and Recycling in Australia
What happens to old solar panels in Australia?
Most old solar panels are not recycled. Only about 10% go through a recycling process. The rest are often sent overseas, stored in warehouses, or disposed of in landfills.
Why are solar panels being removed early?
Many panels are taken down before they stop working. This can happen because of minor faults, upgrades to bigger systems, or new government rebates that reward full system replacements.
Can solar panels be reused or repaired?
Yes, many can. But right now, there are currently few rules or systems in place to support repair or reuse. Most people are advised to replace the entire system, even if only one or two panels are faulty.
Why isn’t recycling enough?
Recycling should be the last option after trying to reuse or repair an item. Solar panels are hard to take apart, and recycling them isn’t profitable yet because there aren’t enough being collected.
What is a product stewardship scheme?
A product stewardship scheme is a program that makes everyone in the supply chain (like manufacturers and sellers) help manage waste. It can include recycling, transport, and public education, funded by small fees added to the product cost.
Does Australia have a product stewardship scheme for solar panels?
No, not yet. The idea has been discussed since 2017, but a national scheme hasn’t been implemented.
Who should pay for solar panel recycling?
That’s still being debated. Options include consumers, local councils, or the companies that make and sell the panels.
What can I do with old solar panels now?
Ask your installer if they can be reused, repaired, or properly recycled. Avoid sending them to landfills if they still work.
How is PSC Energy helping with this issue?
PSC Energy is a trusted solar installer that helps customers make better long-term choices. They offer guidance on the repair, reuse, and responsible disposal of solar systems.
