Blog
June 19, 2025
Tigo Energy Breaks Down Optimizers vs. Microinverters with Signature Solar
In a recent episode of Amp Up: Solar Talk hosted by Signature Solar, John Lerch from Tigo Energy breaks down what every solar professional should know about optimizers, monitoring, and why system architecture matters more than ever—especially as battery adoption and module wattages rise. Major highlights from the livestream:
Open Ecosystem = Greater Design Freedom
Tigo’s open architecture allows installers to choose the components that best fit each project—without being locked into a single brand. Unlike closed systems where optimizers and inverters must match, Tigo MLPEs work with a wide range of inverter manufacturers. This flexibility enables:
- More custom and cost-effective system designs
- Easy retrofitting and repowering of older systems
- Simpler inverter replacement in the future
- Compatibility with today’s high-powered solar modules
Tigo’s commitment to backward compatibility also helps protect long-term investments.
Optimization: More Than Just Energy Gains
Tigo’s MLPEs offer value far beyond higher energy production. They also deliver:
- Targeted performance improvement by mitigating shade, mismatch, and other real-world issues
- Module-level monitoring that helps identify problems quickly and supports remote troubleshooting
- Built-in safety features like Rapid Shutdown that enhance code compliance and emergency response
Tigo supports selective deployment so you can apply optimization only where it’s needed—keeping performance high and costs manageable.
Understanding the “Microinverter Tax”
John introduces the concept of a “Microinverter Tax” to describe the energy and cost penalties associated with AC-coupled solar systems—especially when batteries are added.
AC-coupled systems, such as those using microinverters, require multiple energy conversions between solar modules, batteries, and the home. Each conversion step reduces efficiency and increases complexity. In contrast, DC-coupled systems, like those powered by Tigo’s EI hybrid inverters and optimizers, streamline energy flow and simplify system architecture.
As battery adoption and electricity costs increase, these design differences can have a meaningful impact on system value and long-term performance. Learn more and access the full Microinverter Tax ebook.
3 Trends Shaping the Future of Residential Solar
During the discussion, John outlined three key trends influencing how residential solar systems are designed and why a one-size-fits-all approach no longer works:
- Increasing Module Wattage: Modern solar panels are significantly more powerful than just a few years ago. This introduces challenges for microinverters that are rated per module—often leading to energy clipping when the panel’s output exceeds the inverter’s capacity.
- Higher Battery Adoption Rates: Battery adoption has surged, and with batteries discharging daily in many homes, energy is cycling more frequently through the system. Design inefficiencies—like multiple AC/DC conversions—become more costly in this context.
- Rising Utility Rates: As electricity rates continue to climb, every kilowatt-hour matters more. Lost energy due to system inefficiencies has a direct financial impact, which makes system architecture—and energy retention—a bigger priority for homeowners.
These trends are converging, making it more important than ever to design systems that are efficient, scalable, and adaptable. Tigo’s DC-coupled approach is well-aligned with where the market is heading.
Watch the full video to explore how smart system design can unlock more value for your customers—now and into the future:
