When purchasing a solar system, you have two main options to consider: grid-tied or on-grid vs. off-grid solar systems. As the name implies, grid-tied solar means the solar system is connected to the electrical grid, and off-grid solar means the solar system is not connected to the grid.
In order to pick the right type of system, it’s important to list the goals you’re hoping to achieve by adding solar energy. Here at Paradise Energy Solutions, our primary focus is grid-tied solar systems, but we realize it’s important to consider the advantages and disadvantages of both grid-tied solar and off-grid solar, so you can identify the system that best meets your goals.
What Is Off-Grid and Grid-Tied Solar Energy?
An off-grid solar energy system is not connected to the utility grid, whereas a grid-tied (aka on-grid) solar energy system is connected to the utility grid. Whether off-grid or on-grid system will determine your access to electricity, what equipment is needed for excess production, what happens when the grid goes down, and how you’re billed for electricity.
Grid-tied Solar Systems
What is an On-Grid Solar System?
A grid-tied solar system is connected to the electrical grid and, unless special equipment is installed, requires the grid to be running for the solar system to produce energy. This type of system integrates seamlessly with the local utility grid, allowing homeowners and businesses to use solar power during the day and draw electricity from the grid when the solar panels aren’t generating enough energy, such as at night or on cloudy days.
Advantages of a Grid-Tied Solar System
- Grid-tied systems tend to be the less expensive option due to not needing batteries and other equipment
- This type of system is great for those who don’t have the room or financing to install a solar system big enough to cover 100% of their energy usage. You can continue to pull electricity from the grid if needed
- Net Metering allows the electricity generated by a solar system to offset the electricity used from the grid during the night or on cloudy days
- The grid becomes your cost-effective, reliable storage solution
- In some regions, Solar Renewable Energy Credits (SRECs) allow owners of a grid-tied system to receive extra income by selling the SRECs their system produces