On-grid vs Off-grid Solar Systems - Key Differences and Benefits
As of 2024, India has reached a solar power capacity of 60 GW—a significant leap from 3 GW in 2014. This growth was fueled by the launch of the National Solar Mission in 2010, which aimed for 20 GW by 2022. It is projected that solar's share in the electricity mix will rise from 5% in FY 2022 to 25% by FY 2032. Additionally, technological advancements have made solar energy more cost-effective and efficient.
The goal was revised to 100 GW, owing to promising growth in the sector. For the same, various technologies including On-grid and off-grid solar systems are being used to ensure energy accessibility, efficiency, and sustainability. The choice of these systems for particular projects depends on the energy needs with distinct features, advantages, and applications suited to different energy needs.
What is an On-Grid Solar System?
On-grid solar systems, as the term suggests, are solar systems that are connected to the grid. They are deployed with a direct connection with the utility grid and do not require battery backup. In this type of system, the electricity is first used by the consumers, and the unused, remaining power is exported back to the grid. The excess energy is measured through net metering, where users get credit for the surplus energy supplied. The components that are used in On-grid systems have components including solar panels (photo-voltaic panels), mounting structures, metering systems to allow users to get energy credits, and power junction units. These systems are used in different settings such as urban homes, businesses, and areas with reliable grid, and infrastructure.
What is an Off-Grid Solar System?
Off-grid solar systems are deployed independently of the grid, providing a sustainable and reliable energy source. They can generate their energy without being dependent on the grid making them suitable for remote areas. In terms of components, they incorporate solar panels to convert solar energy into electricity, charge controllers for energy efficiency and inverters for powering devices in off-grid setups. Due to their independence, they are suited to remote locations and areas with unreliable or no grid access.
Key Differences Between On-Grid and Off-Grid Systems
Dependency on the Grid:
On-Grid systems are dependent on utility grids that allow them to draw power when solar energy is insufficient whereas Off-grid systems are independent of utility grids.
Energy Storage:
On-grid systems do not require battery storage because they can utilize the grid as backup source. Whereas off-grid systems require continuous power supply during periods without sunlight hence they require battery storage to store energy.
Cost:
On-grid storage is less expensive compared to off-grid storage due to absence of costly battery storage solutions. Cost-efficiency makes On-grid more accessible to the homeowners. Due to the requirement of batteries along with additional equipment, the cost is higher in off-grid solar systems.
Suitability:
On-grid are suitable for urban and sub urban areas relevant to those who are aiming for cost-efficient solar systems whereas off-grid are suitable for remote areas where utility grid is not available and there is a need for reliable power back-up.
Key Benefits of On-Grid and Off- Grid Systems
On-Grid Solar Systems
On-grid solar systems have lower upfront costs.
They have the ability to sell surplus energy to the grid (net metering).
There is no battery replacement and minimal maintenance is required.
Off-Grid Solar Systems
Off-grid systems are completely energy independent.
These solar systems have reliable power supply in remote locations.
They are ideal for areas with frequent power outages.
Factors to Consider When Choosing Between the Two:
Four factors that need to be considered considered when choosing between the two -
Location and grid availability.
Energy consumption needs.
Budget for installation and maintenance.
Long-term sustainability goals.
Both on-grid and off-grid systems have their distinct advantages and disadvantages. The choice depends on budget, personal preferences related to energy independence, reliability and location. The revised goal of the National Solar Mission, 2022 has expanded the solar power scope paving the way for adoption of both on-grid and off-grid solar systems. Headsup B2B is here to cater to your solar power needs with tailored, efficient solutions. Contact Headsup B2B for all your solar energy solutions needs.