The Difference Between On-Grid & Off-Grid Solar Systems

Off-grid vs On-Grid

If you’re thinking about switching to solar energy, you’ve probably come across two common terms: on-grid and off-grid solar systems. But what do these mean exactly? And more importantly, which one makes sense for your home or business?

Choosing the right type of solar system isn’t just about installing panels on your roof. It’s about understanding how each system works, how you’ll use the electricity, and what fits your lifestyle and budget best.

In India, where power needs and grid access vary a lot, from big cities to remote villages, the choice can be different for everyone. This blog will break down the differences between on-grid and off-grid solar systems so that you can pick the option that’s just right for you.

What Is An On-Grid Solar System?

An on-grid solar system is connected to the normal electricity grid that powers your home or business. During the day, when your solar panels produce electricity, you use that power first. If you make more electricity than you need, the extra goes back to the grid.

At night, or when the sun isn’t shining enough, your home automatically uses electricity from the grid as usual. This way, you always have power without needing batteries.

One big advantage here is net metering. This means that when you send extra electricity to the grid, your electricity bill gets credited for it. So, if you produce more solar power during the day, you pay less or sometimes nothing for electricity.

What Does An On-Grid System Include?

  • Solar panels on your roof or ground
  • A grid-tied inverter (this changes the solar electricity from DC to AC, which your home uses)
  • A bi-directional meter to measure how much power you use and how much you send back to the grid

We offer on-grid solar solutions for urban homes in cities like UP and Chandigarh. For a typical 6 kW system, the cost starts around ₹15 lakh (including installation). The system helps cut electricity bills by up to 90% in states like Chandigarh, where net metering policies are strong.

What Is An Off-Grid Solar System?

An off-grid solar system works without any connection to the electricity grid. It is mainly used in places where grid electricity is not available or is unreliable, such as remote villages, farms, or islands.

Since it’s not connected to the grid, the system stores the electricity you make in batteries. You then use this stored power when the sun isn’t shining. Because of this, you need enough batteries to last through the night or cloudy days.

What Does An Off-Grid System Include?

  • Solar panels
  • A charge controller to safely charge batteries
  • A battery bank to store electricity (usually lithium-ion batteries)
  • An off-grid inverter to convert battery power to usable electricity
  • Sometimes, a backup generator for extra power when needed

We have installed off-grid solar water pumps and microgrids in rural areas of Punjab and Himachal Pradesh. These systems help farmers pump water for irrigation even when the grid is not reliable. An off-grid setup with a 6 kW capacity and batteries costs around ₹30 lakh, depending on battery size and installation.

How Do These Systems Work In Everyday Life?

Let’s see how energy flows with each system in simple terms:

SituationOn-Grid SystemOff-Grid System
Sunny DayUse solar power, send extra to the gridUse solar power, charge batteries
Night or Cloudy DayUse electricity from gridUse stored electricity from batteries
Power OutageThe system shuts down for safetyThe system works normally
Extra EnergySold back to the grid through net meteringStored in batteries, or wasted if full

On-grid systems are great if you have a stable grid. But during a power cut, the solar system stops working to protect workers fixing the lines.

Off-grid systems keep running during outages, which makes them ideal for places with frequent blackouts or no grid.

How Much Does It Cost?

Costs vary, but here is a rough idea based on our typical pricing in India for a 6 kW system:

ItemsOn-Grid System Cost (₹)Off-Grid System Cost (₹)
Solar Panels11,00,000 – 14,50,00011,00,000 – 14,50,000
BatteriesNot required3,00,000 – 10,50,000
Inverter75,000 – 1,50,0005,25,000 – 6,00,000
Installation & Others2,20,000 – 3,70,0003,70,000 – 7,40,000
Total14,95,000 – 19,70,00022,00,000 – 38,40,000

On-grid systems cost less because they don’t require batteries, and maintenance is easier. Off-grid systems need batteries and sometimes backup generators, which add to cost and upkeep.

Which System Should You Choose?

Here are some simple questions to help decide between an on-grid or off-grid system:

  • Is your home or business connected to a reliable electricity grid?
    • If yes, an on-grid system is usually better and cheaper.
    • If no, you will need an off-grid system.

  • Do you want to avoid electricity bills completely?
    • Off-grid solar systems eliminate electricity bills but require a bigger initial investment.

  • How often do you experience power outages?
    • If your area has frequent blackouts, off-grid or hybrid systems can keep your power running.

  • What is your budget?
    • On-grid systems cost less upfront.
    • Off-grid systems cost more because of batteries.

  • Are you comfortable managing your energy use?
    • Off-grid systems require careful energy management, especially on cloudy days.

Why Consider Hybrid Systems?

Hybrid systems combine on-grid solar with battery storage. This means you can save on electricity bills like an on-grid system and still have backup power during outages.

Though hybrid systems cost more (adding about ₹20 lakh for batteries and setup), they are becoming popular in cities facing occasional blackouts.

Conclusion

The difference between on-grid and off-grid solar systems mainly comes down to whether you are connected to the electricity grid or not.

  • On-grid solar systems are great for most city homes and businesses in India. They save money on electricity bills and are easier to maintain.
  • Off-grid solar systems suit rural areas or places with poor grid access. They provide energy independence, but cost more and need batteries.
  • Hybrid systems offer the best of both worlds with backup power and grid connection.

Inter Solar Systems works across India, providing customised solutions for homes, farms, businesses, and villages. Whether you want to cut your electricity bills in Chandigarh or bring power to a remote farm in UP, they have solar systems to fit your needs.

If you are ready to explore solar power, understand your energy needs, and choose the right system, Inter Solar Systems is there to help you make a smart, sustainable choice.

FAQs

1. What is the difference between on-grid and off-grid solar systems?

On-grid solar systems are connected to the electricity grid. They use solar power during the day and draw from the grid when needed. Off-grid systems work independently with no grid connection, storing power in batteries for use anytime.

2. Which solar system is better: on-grid or off-grid?

It depends on your location and needs. On-grid systems are better if you have a reliable grid and want to reduce your electricity bills. Off-grid systems are best for remote areas without grid access or if you want complete energy independence.

3. How does an on-grid solar system work?

Solar panels produce electricity during the day, which your home uses first. Extra electricity goes back to the grid, and at night or on cloudy days, your home uses electricity from the grid as usual.

4. Do I need batteries for an off-grid solar system?

Yes, batteries are necessary for off-grid systems because they store solar energy for use when the sun isn’t shining, like at night or on cloudy days.

5. Can I run AC on an off-grid solar system?

You can, but running an air conditioner requires a larger solar and battery setup because AC uses a lot of power. At Inter Solar, we design off-grid systems carefully to ensure they handle such high energy needs.

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