starbase levels

I'm confused about the meaning of SB levels. At first I thought it would be the number of modules that would increase the function of the base, for example if a mining SB had two modules that increased mining that would raise the level. But, by looking at the equipment on my SB's I see this isn't true.

I have SB's that are heavily armed and defended yet they are still level 0. I notice there is an experience category and that seems to climb with combat...so level is advanced by warfare?

If it is experience, then ships advance levels the same way?

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Yes, ships and starbases gain experience through combat (and if you have survey modules, also through certain anomalies). The experience gained depends on how advanced your ships are compared to the enemy's. The more powerful they are, the longer it takes for them to gain a level. New levels increase the amount of HP your ship has. With enough care, you can have ships with double the base HP or more, making them quite hard to defeat (as long as you keep ugrading them with the latest weapons and defenses).