What Are the Warning Signs of a High-Risk Solar Proposal?
A high-risk solar proposal is not identified by price alone. The greatest concerns usually appear when the contracting company is unclear, technical responsibilities are unidentified, equipment and system capacity are vague, savings are presented as guaranteed, major costs are excluded, payment is heavily front-loaded or warranties are described without a practical Malaysian claim and replacement process.
What Company Identity Warning Signs Should You Check?
The company receiving the contract and payment should be identifiable and connected to the quotation, invoice, project team and warranty obligations.
- No full legal company name
- No SSM registration number
- Only a trading name is shown
- No registered business address
- No official company email address
- No named project representative
- No named after-sales representative
- Quotation and invoice use different entities
- Payment requested to an unrelated company
- Payment requested to a personal account
- Company refuses to issue an official receipt
- Registration claims cannot be independently checked
- Company has recently changed identity without explanation
- Customer is pressured to pay before verification
Quotation Entity
The legal entity issuing the quotation should be clearly stated and should normally be the party responsible for the contract.
Invoice Entity
The invoice should identify the same project and explain any lawful difference between the seller, contractor and payment recipient.
Payment Recipient
The bank-account holder should be consistent with the contracting arrangement. An unexplained third-party recipient increases recovery and accountability risks.
Warranty Provider
The proposal should identify which company remains responsible for workmanship and warranty coordination after installation.
What Technical Responsibility Warning Signs Should You Check?
Solar installation involves design, electrical work, testing, commissioning and documentation. A proposal becomes higher risk when no qualified party is identified for these responsibilities.
- No responsible RPVSP identified, where applicable
- No registered electrical contractor identified
- No competent person identified
- No engineer or consultant identified when required
- No party responsible for system design
- No party responsible for electrical calculations
- No party responsible for testing
- No party responsible for commissioning
- No party responsible for certification
- Technical questions are answered only by sales staff
- Installer refuses to provide licence or registration details
- Subcontractors are used without accountability
- The main contractor denies responsibility for subcontracted work
- No correction process for technical defects
| Technical Role | Low-Risk Proposal | High-Risk Warning Sign |
|---|---|---|
| System Designer | Named party prepares and supports the design | No one accepts responsibility for capacity or layout |
| Electrical Contractor | Registered contractor is identified | Electrical work is assigned to an unnamed installation crew |
| Competent Person | Appropriate responsible person is identified | No qualified person is named for supervision or certification |
| Testing Party | Tests, records and signatories are defined | Proposal only states that the system will be switched on |
What Site Assessment Warning Signs Suggest Higher Risk?
A detailed proposal should normally be based on relevant property and electricity information. A final fixed proposal prepared without meaningful assessment may rely on assumptions that later become variations or exclusions.
- No recent electricity bills reviewed
- No electricity tariff checked
- No single-phase or three-phase confirmation
- No Maximum Demand review where relevant
- No physical or suitable remote roof assessment
- No roof material identified
- No roof-age or condition discussion
- No shading assessment
- No roof orientation review
- No usable roof-area calculation
- No electrical switchboard inspection
- No meter-board assessment
- No cable-route review
- No inverter-location assessment
- No installation-access assessment
- No structural question for a questionable roof
Electricity Review
Confirm the tariff, consumption pattern, supply phase, demand and account information used for the recommendation.
Roof Review
Record material, condition, age, dimensions, orientation, drainage, shading and available installation area.
Electrical Review
Assess the switchboard, meter position, cable route, connection point, earthing and possible upgrade requirements.
Access Review
Identify scaffolding, lifting equipment, restricted areas, working hours, safety requirements and delivery access.
What System Design Warning Signs Should You Look For?
- No total panel DC capacity
- No total inverter AC capacity
- DC and AC capacities are treated as the same figure
- No panel layout
- No string arrangement
- No MPPT allocation
- No single-line diagram
- No connection-point information
- No cable-route information
- No shading-loss consideration
- No clipping discussion
- No export-control design where required
- No battery or backup architecture despite backup claims
- Future expansion is promised without technical limits
- System size is based only on available roof space
- System size is based only on reducing the bill to zero
| Design Area | What Should Be Clear? | Warning Sign |
|---|---|---|
| System Capacity | Panel DC and inverter AC capacities are stated separately | Only one unexplained kW figure is shown |
| Roof Layout | Panel positions, orientations and exclusions are shown | Maximum panel count is promised without a layout |
| Electrical Design | Strings, MPPTs, protection and connection point are defined | No electrical design document is included or promised |
| Battery Backup | Battery, transfer equipment and protected loads are defined | “Hybrid inverter” is presented as automatic whole-house backup |
What Equipment Warning Signs Should You Check?
Equipment descriptions should allow the customer to understand exactly what will be supplied and what warranty applies.
- Only the panel brand is stated
- Only the inverter brand is stated
- No exact model numbers
- No quantity of panels
- No wattage per panel
- No inverter quantity or AC capacity
- No equipment datasheets
- No product-warranty documents
- No performance-warranty terms
- No mounting-material description
- No protection-equipment description
- No monitoring-equipment description
- “Equivalent model” substitutions are unrestricted
- Used or refurbished equipment is not addressed
- Product origin is described inaccurately
- Equipment availability is promised without reservation terms
Which Generation and Savings Claims Are Warning Signs?
- Guaranteed elimination of the electricity bill
- Guaranteed fixed monthly savings
- Guaranteed approval or export income
- No annual-generation figure in kWh
- No calculation assumptions
- No self-consumption assumption
- No export assumption
- No shading or system-loss allowance
- No annual degradation allowance
- No equipment-downtime allowance
- No maintenance-cost assumption
- No inverter-replacement assumption
- Very short payback without supporting calculations
- Future tariff increases are presented as certain
- Financing costs are excluded from payback
- Projected savings are presented as contractual guarantees
| Claim | Reasonable Presentation | High-Risk Presentation |
|---|---|---|
| Annual Generation | Estimate supported by stated assumptions and losses | One large number with no modelling basis |
| Electricity Savings | Estimate based on tariff, usage and self-consumption | Guaranteed bill reduction regardless of future use |
| Payback Period | Calculation includes cost and stated assumptions | Very short payback presented without a calculation schedule |
| Export Value | Based on the applicable arrangement and stated assumptions | Exported electricity is presented as guaranteed high income |
What Application and Approval Warning Signs Should You Check?
The proposal should distinguish the provider’s preparation and coordination responsibilities from decisions made by utilities, regulators or other approving parties.
- Approval is described as guaranteed
- No applicable programme is identified
- No application responsibility is assigned
- No customer-document requirements are listed
- No technical-document requirements are listed
- No technical-assessment requirement is discussed
- Study fees are hidden or described vaguely
- No response plan for application queries
- No process if capacity is reduced
- No process if the application is rejected
- No responsibility for document corrections
- No registered electrical-contractor documents mentioned
- No competent-person documents mentioned
- No testing or commissioning records mentioned
- No Form G or Form H responsibility stated where applicable
- Customer is asked to sign incomplete forms
Identify the Arrangement
Confirm which programme, self-consumption or grid arrangement is being proposed.
Identify Required Studies
Confirm whether a technical assessment or other study may apply and who pays for it.
Assign Document Responsibility
Separate customer documents from the provider’s technical, contractor, testing and certification documents.
Define Unsuccessful Outcomes
State the design, price, refund and cancellation process if the application cannot proceed as proposed.
What Pricing and Payment Warning Signs Suggest Higher Risk?
- Price is valid only if payment is made immediately
- Large deposit required before verification
- Full payment required before equipment delivery
- Most payment required before testing
- No milestone definitions
- No official invoice
- No official receipt
- No tax treatment stated
- No breakdown of official fees
- No list of excluded costs
- No refund terms
- No cancellation terms
- No variation-order process
- Installer may change price without customer approval
- Financing cost is not disclosed
- Payment account does not match the contracting entity
| Payment Area | Lower-Risk Approach | Higher-Risk Warning Sign |
|---|---|---|
| Deposit | Reasonable amount with written refund conditions | Large non-refundable payment before assessment |
| Equipment Payment | Linked to documented order, reservation or delivery | Payment demanded without model or delivery evidence |
| Installation Payment | Linked to verified physical progress | Nearly full payment required before work begins |
| Final Payment | Linked to testing, commissioning and complete handover | No amount retained for defects or missing documents |
What Roof and Installation Warning Signs Should You Check?
- No pre-installation roof-condition record
- No roof photographs
- No mounting method described
- No waterproofing method described
- No responsibility for broken tiles or sheets
- No roof-leak responsibility
- No workmanship-warranty period
- No structural consideration for a questionable roof
- No wind-load consideration
- No corrosion consideration
- No drainage clearance
- No safe maintenance access
- No cable-support description
- No protection or earthing description
- No scaffolding or lifting allowance
- No process for correcting installation defects
What Warranty and After-Sales Warning Signs Should You Check?
- Warranty is described only verbally
- No written workmanship warranty
- No roof-leak warranty
- No Malaysian warranty contact
- No responsibility for warranty registration
- No claim-submission responsibility
- No diagnosis responsibility
- No warranty-labour terms
- No transport-cost terms
- No removal or reinstallation terms
- No expected replacement lead time
- No after-sales response target
- No monitoring support terms
- No support arrangement if the installer closes
- Product warranty is presented as complete system coverage
- Long warranty claims are unsupported by written documents
| Warranty Area | What Should Be Clear? | Warning Sign |
|---|---|---|
| Product Warranty | Covered defects, period and claim procedure | Only a warranty-year number is shown |
| Workmanship Warranty | Covered installation defects and correction duty | No written installer responsibility |
| Warranty Labour | Diagnosis, access, transport, removal and reinstallation | Customer is told all warranty work is “free” without detail |
| After-Sales Support | Contact, response process and applicable charges | Customer is told to contact the manufacturer directly |
How Can You Classify Solar Proposal Risk?
| Risk Level | Typical Indicators | Suggested Response |
|---|---|---|
| Lower Risk | Verified company, clear design, exact equipment, defined scope, balanced payments and written warranties | Continue detailed comparison and contract review |
| Moderate Risk | Some missing details, assumptions or exclusions that can be corrected in writing | Request a revised proposal before paying or signing |
| High Risk | Identity mismatch, vague system, guaranteed claims, major upfront payment and no accountable technical or warranty party | Pause the transaction and independently verify all material claims |
| Unacceptable Risk | False documents, misleading identity, unauthorised payment recipient or refusal to provide basic written information | Do not proceed and preserve all records of the communication |
What Should You Do When You Find Warning Signs?
Pause Payment
Do not make a deposit until the contracting entity, payment recipient and proposal scope have been verified.
Request Written Clarification
Ask the provider to correct missing company, technical, equipment, payment and warranty information.
Verify Independently
Check registrations, company information, technical parties, equipment documents and warranty channels independently.
Compare Equivalent Proposals
Obtain alternatives using the same system capacity, equipment expectations, scope, warranties and payment structure.
Revise the Contract
Ensure important representations become written contractual obligations rather than sales promises.
Walk Away When Necessary
Do not proceed when a provider refuses reasonable verification, written clarification or accountability.
What Should You Ask Before Accepting a Solar Proposal?
- What is the exact legal name of the contracting company?
- What is its SSM registration number?
- Does the payment account belong to the contracting entity?
- Who is the responsible RPVSP, where applicable?
- Which registered electrical contractor will perform the work?
- Which competent person will supervise or certify the installation?
- Has the roof been assessed?
- Has the electrical installation been assessed?
- What are the exact panel and inverter models?
- What are the total panel DC and inverter AC capacities?
- Where is the panel layout?
- What assumptions support the generation estimate?
- What assumptions support the savings estimate?
- Which services are included?
- Which services and fees are excluded?
- Is a technical assessment likely to be required?
- Who pays technical-study and utility fees?
- What happens if a lower capacity is approved?
- What happens if the application is rejected?
- Can equipment be substituted without written approval?
- What triggers each payment?
- How much is payable before equipment delivery?
- How much is retained until testing and handover?
- Who is responsible for roof damage or leakage?
- How long is the workmanship warranty?
- Does warranty coverage include labour?
- Who handles future warranty claims?
- What Malaysian after-sales support is available?
- What documents will be provided at handover?
- What are the cancellation and refund terms?
High-Risk Solar Proposal Final Checklist
- Unclear legal company identity
- Unrelated payment recipient
- No official invoice or receipt
- No responsible technical parties
- No meaningful site assessment
- No accurate electricity review
- No exact equipment models
- No DC and AC capacity distinction
- No system layout or design
- Guaranteed approval
- Guaranteed bill elimination
- Unsupported savings or payback
- Hidden technical-study fees
- Unclear application responsibility
- Large upfront payment
- No milestone-based payment schedule
- Unrestricted equipment substitutions
- No roof-condition record
- No roof-leak responsibility
- No workmanship warranty
- No warranty-labour terms
- No Malaysian support contact
- No testing and commissioning scope
- No handover-document list
- No cancellation or refund procedure
- Pressure to sign immediately
What Is Solar100’s Role in Proposal Risk Comparison?
Solar100
- Supports solar-provider discovery
- Helps customers organise initial project information
- Supports initial quotation comparison
- Highlights common proposal warning signs
- Helps identify differences in scope and warranties
- Does not certify a proposal as risk-free
- Does not perform engineering or legal due diligence
- Does not guarantee provider performance
Selected Solar Provider
- Verifies its legal and registration information
- Assesses the property and electricity account
- Prepares the project-specific design and proposal
- Identifies responsible technical parties
- Explains application responsibilities and limitations
- Provides the agreed equipment and installation
- Provides written warranties and support terms
- Remains responsible for its contractual commitments
Frequently Asked Questions
Does a very cheap solar proposal always mean high risk?
No. A lower price may be legitimate, but the capacity, equipment, scope, exclusions, payment structure, warranties and support should be compared on equivalent terms.
Is a large solar deposit a warning sign?
It can be. The proposal should explain what the deposit pays for, when it becomes non-refundable and what evidence or deliverable the customer receives.
Can a solar installer guarantee Solar ATAP approval?
A provider may prepare and coordinate the application, but an official approval outcome should not be represented as unconditional or guaranteed.
Is it risky if the proposal does not state exact equipment models?
Yes. Without exact models, the customer cannot properly compare capacity, technical compatibility, functions, warranty or replacement support.
Is guaranteed electricity-bill elimination realistic?
It should be treated cautiously. Actual bills depend on consumption, solar production, tariffs, export treatment, fixed charges, downtime and future operating conditions.
Should the proposal identify the electrical contractor?
The responsible electrical contractor and competent technical parties should be identifiable for the applicable electrical work, testing and certification.
Is a long equipment warranty enough?
No. The customer should also check Malaysian claim support, diagnosis, transport, removal, reinstallation, replacement time and workmanship coverage.
What should I do if the company name and bank account differ?
Pause payment and request a documented explanation. Verify the legal relationship and confirm which entity remains responsible for the contract and warranties.
Can one missing detail be corrected?
Often, yes. Ask for a revised written proposal. Risk becomes more serious when the provider refuses clarification or several important warning signs appear together.
Does Solar100 guarantee that a listed provider is risk-free?
No. Solar100 supports provider discovery and initial comparison but does not guarantee proposal accuracy, technical design, approval, financial condition, installation quality or future service performance.
Check and Compare Your Solar Proposal
Send your recent electricity bills, property location, proposed system capacity, panel and inverter models, existing quotations, payment schedule, warranty terms and exclusions to begin comparing proposal scope and identifying questions that should be clarified before you proceed.
Request and Compare Solar Quotes