Photovoltaic (PV) systems are generally divided into two major categories: grid-connected (also known as grid-tied) systems that are interfaced to an electricity grid and stand-alone systems that are self-contained. Since the 1990s the market has shifted decisively toward PV power plants and installations on buildings connected to an electricity grid. In 2000 grid-connected PV had overtaken stand-alone systems in global market share, and in 2016 more than 98% of solar cell production was being deployed in grid-connected systems.
An on-grid or grid-tied solar system is a system that works along with the grid. This means that any excess or deficiency of power can be fed to the grid through net metering. Many residential users are opting for an On-grid solar system as they get a chance to enjoy credit for the excess power their system produces and save on their electricity bills. You will always have power either from the solar system or from the grid. They do not have batteries.
In more detail, the various items numbered 1-10 in the figure have the following functions:
1. Solar Panel - Solar panels are the main components of the on-grid solar system. They comprise more than 50% of the total cost of a solar system and are the components that capture solar energy and convert solar energy into electrical energy.
2. Solar Inverter - At the heart of the grid-connected system, the inverter extracts as much DC power as possible from the PV array and converts it into AC power at the right voltage and frequency for feeding into the grid or supplying domestic loads. Solar Inverters help in converting the DC output produced from the solar panel into AC supply.
3. Panel Stand - Panel stands are also a major component of the entire solar system. Some people do not give much heed to this component and try and save a few bucks by using a low-quality stand. However, remember that this stand will support the solar panels and if the stand is not sturdy your solar panels could just fall resulting in a heavy loss. It is the skeletal structure holding the panel in the proper position. These stands are generally made of aluminium or galvanized iron. Solar panel stands can be fixed or movable to track the sun.
4. Solar Wire - Solar Wire or Solar Cable is the medium through which electricity is transferred from solar panels to the inverter. Generally, there are two types of wires in the market, such as AC Wire and DC Wire. It is called a solar wire as the solar panel output is DC current.
5. DCDB / ACDB - A DC Distribution Board or DCDB is used for connecting the output power from the solar panel to the input of the inverter while AC Distribution Board or ACDB distributes the electrical power from a solar inverter to the AC load system through an energy meter.
6. Earthing Kit - An earthing kit is used to protect the on-grid solar system from thunder.
7. Lighting Arrestor - Lightning Arrestor is used to protect the on-grid solar system from lightning
8. Net Meter & Solar Meter - Net metering is a special metering and billing agreement between utilities and their customers, which facilitates the connection of small, renewable energy-generating systems to the power grid. It is an important component in an on-grid solar system as it keeps the reading to claim credit in your future electricity bills. For solar energy, Net Metering is also very important as solar energy unlike other forms of renewable energy is produced a lot in residential and commercial segments.
9. Safety Equipment - To safeguard the solar system from damage such as lightning and other faulty conditions, protection devices are used. These comprise of surge arrestor, circuit breaker, grounding method, etc.
10. Installation Accessories - These include installation accessories like wires, cabling, mounting structures, junction boxes, etc.
The adoption of domestic rooftop installations is mushrooming in developed countries in response to the falling prices of solar PV modules, the support of governments, and the enthusiasm of citizens to do something positive about global warming. Larger grid-connected systems, for example, those installed in homes, schools, offices, public buildings, and factories, extend the power scale from hundreds of kilowatts up to megawatts (MW). All have the advantage of generating solar electricity where it is needed, reducing the losses associated with lengthy transmission lines and cables. And at the top of the grid-connected power scale come multi-megawatt power plants, generally remote from individual consumers, which send all their power to the grid.
In an on-grid solar system, solar panels will continue to produce power during the day. This power can either be used instantly or exported to the grid with no backup for power outages. If at any time the system runs out of power, it draws the same from the electricity grid. Hence, a user will never run out of power in this case. Similarly, any excess that is produced by the system is fed to the grid. The advantage of an on-grid system is that the user will get a credit in his electricity bill for the extra power he sent to the grid. So, his electricity bills will also be reduced. Always assess your Home's Energy Consumption, Solar Potential, Solar Electricity Needs, etc. before installing an on-grid solar system.
The light from the sun falls on the solar panels from where electricity is generated. This DC from the sun is converted into AC with the help of the inverter, which is then used by consumers in their homes or any commercial establishment. Till this stage operations of any solar system are the same. The main difference is beyond this point. After the electricity that is consumed by us, there can be two routes for the extra energy generated:
1. It can be either stored in batteries for use at a later part of the day (off-grid solar system) or
2. Fed to the grid (on-grid solar system). Based on the feed-in-tariff rates (tariff fixed by the government, for purchase of the solar power generated from solar plants) in your area, your electricity bill is reduced for the amount of power that you have sold to the power grid.
1. Guaranteed 24*7 power supply - With an option to use either solar power or the main power grid, the consumer will always have access to power and will never suffer from a power outage.
2. Opportunity to earn more - With the help of a net meter installed at your home, you can track the number of units you sent to the power grid and claim a credit for that in your home electricity bill. This forms a lucrative option for consumers who think of it as an extra opportunity to make money. Almost all the states in the USA and even India have mandated Net Metering.
3. More Savings - The main purpose of installing an on-grid solar system is to reduce your electricity bills. You can adjust the usage depending upon peak demand hours and hence end up paying no peak demand charges. These are the higher rates of charge that the utility charges for using the grid during high-demand hours. Also, you end up paying less on electricity bills and earn more through Net Metering.
4. Good Investment Returns - An on-grid solar system offers a good investment option. It has 5 years as payback time and provides free electricity for the next two decades. You can convert your property into a revenue-generating avenue by investing in solar and achieving ROI in just 4-5 years.
5. Works efficiently - The on-grid system works in sync with the grid. There is no limitation in the grid-tied system, you can run any home appliance on the grid-tied solar system. Also, it utilizes 100% of solar power produced from solar panels. For example, a 1 kW on-grid system can run 5 kW power.
6. Easy to install - Installation of an on-grid system is easy and can be done easily by oneself on the rooftop. It can be easily installed on residential rooftops, rooftops of commercial complexes, housing societies, community centres, government organizations, private institutions, etc.
7. Less Costly - Since an on-grid solar system does not require batteries, it is cheaper to install when compared to an off-grid system. It is less costly when compared to other solar systems.
8. Less Maintenance - An on-grid solar system involves less maintenance and generally has a longer life when compared to an off-grid system.
9. Subsidies and Other Incentives - A user can avail of government subsidies and other incentives to install on-grid solar systems.
1. Installation Space: Installation of an on-grid system is easy and can be done by oneself on the rooftop. A minimum of 100 square feet is required for every Kilowatt of installation.
2. Solar Subsidy Scheme: An entity installing an on-grid rooftop solar system enjoys several incentives and subsidies from the government, which differs from state to state and is also different for countries.
Maharashtra - The Maharashtra Electricity Regulatory Commission (MERC) has allowed for the benefits of net metering on rooftop solar installations of up to 1 MW in size.
Kerala and Rajasthan - Similar policies exist in Kerala and Rajasthan.
Tamil Nadu - While Tamil Nadu does not prescribe net metering laws for industrial establishments. Other than attaining the green credential, a 20% subsidy is available on an on-grid solar system.
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