<p>This paper analyzes the use of phase change materials (PCMs) as a cooling mechanism in photovoltaic systems to improve energy efficiency and sustainability. The use of phase change materials, recognized for their latent heat storage capabilities, is crucial for controlling photovoltaic panel temperatures and enhancing operational stability. This research examines several forms of PCMs, such as organic, inorganic, and bio-based substances, emphasizing their benefits and drawbacks in relation to thermal conductivity, recyclability, and environmental effects. The assessment includes innovations in encapsulation methods and the advancement of nano-enhanced PCMs for their contribution to optimizing thermal performance. Design options, including the incorporation of fin structures and hybrid systems that merge passive and active cooling techniques, are evaluated for their efficacy in various environmental contexts. Additionally, the issues of scalability, long-term dependability, and material deterioration are examined, along with prospective improvements related to intelligent control systems and real-time monitoring. The study emphasizes the necessity of reconciling cooling efficiency with economic and environmental factors, offering a thorough perspective on prospective research avenues. The findings underscore that continuous progress in material science and control systems is essential for the extensive use of PCM-based cooling in solar energy applications.</p>