Like all semiconductor photovoltaic devices, cadmium telluride (CdTe) modules have a characteristic response to temperature changes. This paper describes the effects of the temperature coefficient of power, using operational system data to quantify the First Solar CdTe technology energy-yield advantage over typical crystalline silicon technology in high-temperature conditions. This paper also describes the underlying mechanisms of initial stabilization and longterm degradation that influence module efficiency. The processes used to characterize and rate module power output, given these effects, are further discussed. First Solar’s significant experience in building and operating power plants in high-temperature conditions, along with associated system performance data and accelerated lab test data, is reviewed to substantiate the warranty considerations and long-term capability of power plants using CdTe PV modules.