Grid-Connected Solar Power Systems Vs. Off-Grid Solar Power Systems

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Due to the growing prices of electricity, millions of Australians are turning to solar power solutions. Small businesses and homes across Australia that install a small-scale PV solar cells receiving benefits under SRES (Small-Scale Scheme) to help with the cost of solar system purchasing.

Also, LRET (Large-scale Renewable Energy Target) is also run by the Federal Government and aimed at producing large-scale renewable energy as power stations.

In Australia both -federal and state rebates are available for solar rooftop and solar storage which can considerably recover the purchasing cost and installation cost of a solar system.

There now are two ways using which you can reclaim/reduce part of setting up the cost of your rooftop solar PV and solar storage. The first way is by using government rebates which subsidize the purchasing cost as well as installing your solar system, but it’ll depend upon, your location and the programs running in your area. Once you’re done with system installation, another way to recoup some of the purchasing cost is by selling surplus electricity back into the grid, also known as a feed-in tariff.

Residential solar PV has risen in Australia at considerably higher rates.


During the time when people wish to install PV systems, a number of times they get puzzled between grid-connected and off-grid solar power kits.

When shifting to solar PV system, it could be a challenging task for a consumer who needs to make several decisions like – selecting right type of PV panels, determining the energy usage, deciding between grid-connected and off-grid systems and many more. Even though all photovoltaic systems work on PV (photovoltaic) effect, it solely depends upon the user how he utilizes the power generated by solar PV system. If the user wants to utilize the power independent of the electricity distribution network, then he can choose off-grid system otherwise, if the power output is more than what’s required, then the consumer can go for grid connected solar system which will help him to send the excess energy back to the grid through net metering.

Seems complicated? As a matter of fact, there’s a very simple difference between grid connected and off grid solar power systems. Off grid solar power system is not connected to the grid, whereas the grid connected solar system is connected to the power grid. Consumers’ decision regarding a specific grid system will impact the solar equipments required for the installation, energy bills and also the solar system installation method.

Sounds complicated? Actually, the difference between on grid and off grid solar system is quite simple. As the name suggests, an off grid solar system is not connected to the grid, while an on grid power system is networked to the utility grid. A customer’s choice of a particular grid system influences the equipment needed for the installation, installation method as well as energy bills.

Image shows On-grid solar system and Off-grid solar system

On-grid solar systems:


On-grid solar systems or grid-connected solar power systems produce electricity by harnessing the power of the solar system and these types of systems are directly connected to the electricity power grid. The excess electricity produced by these types of solar systems is send back to the power grid and consumers can earn credits for this excess electricity fed back. On-grid solar systems work in association with the electricity grid. If suppose, the solar power system fails to generate ample amount of energy, then the system can run using the electricity supplied through the utility grid.

Applications of on-grid solar systems:


Companies or businesses can depend on grid connected PV systems to fulfill their everyday needs and at the same time can earn revenue from the extra energy produced by the system.

Advantages of on-grid solar systems:


1. Grid-connected solar systems are very reasonable priced as well as easy to install.


2. Businesses can recover their cost of investment in an around 3 to 8 years.


3. Users of rooftop solar systems and commercial solar systems can earn income by sending back the surplus energy generated by the system.

Off-grid Solar PV systems:


Off-grid systems are not connected to the utility system i.e. these systems work independently of the utility grid but they’ve energy storage batteries to store the solar power generated by the system. Off-grid system is formed by – solar panels, storage battery, charge controller, grid box, inverter, mounting structure and balance of systems. Solar panels store ample amount of sunlight during the day time and use the extra power produced during the night time.

Off-grid systems are self sufficient and are capable of providing electricity in the areas where electricity grid is not present. Despite that, off grid solar systems need a special device to work and it can be expensive to install. These types of solar PV systems are perfect for businesses which can survive for a short time without electricity.

Applications of off-grid solar systems:


• Power supply in rural and remote areas – Off-grid solar PV systems can accelerate separate, long-term and sustainable power generation in rural and remote areas.

• Energy back up in areas with repeated power cuts – A number of places face repeated electricity cuts due to malfunctioning of electricity transmissions, which can affect the operations of businesses and institutions. These solar systems can provide a cost effective and feasible long-term energy backup solution to resolve the problems arising during repeated power cuts.

Advantages of off-grid solar systems:


1. Off-grid systems can work independently without relying on the power grid.


2. These systems produce ample amount of energy which can be stored and used for later use i.e. at night or when the grid is down.


3. These systems are perfect for rural and remote areas where there’s no power grid available.


4. Your electricity supply won’t get affected even when there’re power grid failures or complete blackouts.

Conclusion:


Electricity usage is forecasted to increase by 2040. The solar energy is offering several benefits, at the same time tax rebates to the businesses which help people to shift to clean energy sources. Photovoltaic cells are considered as a source of clean energy and they provide a number of benefits based on the type of solar system you choose. Because of the drop in the prices of solar PV since the last few years and useful government policies setting up PV system in business enterprises and homes have become more economical.

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