Where should the solar inverter & batteries be located?
Solar inverters & batteries, similar to any other electrical equipment should be installed in a cool, dry, dust-free and shaded location.
In case of a grid-tied solar power system, the grid-tied solar inverters are normally rated for outdoor use. The manufacturer normally specifies the environmental conditions in terms of the temperature & humidity the equipment is designed to withstand and these must be maintained. Adequate ventilation must be provided and while the inverters are rated for outdoor installation, direct sunlight is to be avoided as this will degrade their efficiency. From a system efficiency perspective, the grid-tied inverter must be placed as close as possible to the meter to minimize the voltage drop between the inverter and the grid connection for energy export. This distance is more critical than the distance between the solar panels and the inverter as the solar panels are typically at a higher voltage (300 to 600V DC) compared to the inverter output that is at 220V AC.
In case of solar systems with storage, the hybrid, or, off-grid solar inverter is normally not rated for outdoor use and should be placed in a shaded area with adequate ventilation. The solar inverter should also be placed as close as possible to the batteries to minimize overheating & voltage drop as the DC currents in the cables between the battery & the inverter can be large.