An inverter is a device that converts direct current (DC) into alternating current (AC). This conversion is necessary because most electrical devices and appliances run on AC, while solar panels generate DC. Inverters also ensure that the energy produced by solar panels can be used to power homes, businesses, and other electrical systems.
Inverters use electronic components such as transistors, capacitors, and diodes to convert the DC energy from solar panels into AC energy.

A transformer is a device that is used to regulate voltage levels in an electrical system. Transformers can step up (increase) or step down (decrease) the voltage of an alternating current.
Transformers are invaluable components in energy systems as they provide a passageway for the transmission of electricity from power plants to homes and businesses.
Transformers work on the principle of mutual induction, where a changing magnetic field induces a voltage in an adjacent coil of wire. In a transformer, there are two coils of wire, the primary coil, and the secondary coil. When an alternating current flows through the primary coil, it creates a changing magnetic field, which induces a voltage in the secondary coil, resulting in the transformation of the voltage.

AC-DC (Alternating Current-Direct Current) electrical panels are systems that are mostly used in solar power plants and enable the collection of alternating and direct currents in one place. .