The functioning of a solar panel system is fairly simple –

• During the day, solar cells in your solar panels absorb the energy from sunlight
• Circuits within the cells collect that energy and turn it into direct current (DC) energy  
• However, most appliances in our home work on Alternating Current (AC) electricity. Therefore, the DC electricity generated from panels is passed through a device called an inverter to convert it to the usable AC electricity
• This AC electricity output is either connected to the mains of your home, or stored in a solar battery so that it can be used in all appliances at your home