In the PV (Photovoltaic) power system, a junction box collects the DC voltage generated from the PV module and transfers it to the PCS (power conditioning system). The junction box prevents damage caused by the voltage difference between the serially connected PV modules and provides convenience while repairing or inspecting the PV array. In addition, the junction box uses the diode to protect modules from the inverse current when the PV power system and electric power system are connected for use. However, by using the reverse blocking diode, heat is generated within the junction box while generating electric power, which decreases the generating efficiency, and causes short circuit and electric leakage. In this research, based on the purpose of improving the performance of the PV module by decreasing the heat generation within the junction box, a junction box with a built-in bypass circuit was designed/manufactured so that a certain capacity of current generated from the PV module does not run through the reverse blocking diode. The manufactured junction box was used to compare the electric power and heating power generated when the circuit was in the bypass/non-bypass modes. It was confirmed that the electric power loss and heat generation indicated a decrease when the circuit was in the bypass mode.