How does a grid tied solar system work?

Everything you need to know about Grid Tied Solar system

As the cost of power gets increasingly higher grid tied solar system is becoming the most popular choice for home electricity. Although there are several types to consider, grid tied solar system is currently the most common system for household use in American homes.

Grid tie solar system means it is a solar power setup that is connected to the electrical grid and works without any battery backup equipment. Despite growing interest in battery technologies, most homeowners still opt for installing a grid tie solar setup without any battery on their roofs.

The grid tied solar system offers more than just an opportunity to reduce your carbon footprint. It is the easiest, simplest, and most cost-effective way to harness the sun’s energy. In this post, I am going to explain what a grid tied solar system is, how a grid tie solar system works, and how it is different from other systems, which makes it a popular choice for homeowners.

What is a grid tied solar system?

A grid tie solar system uses solar panels and other components to generate electricity from sunlight while maintaining a connection to the local electricity grid. Backup batteries are not connected to a grid-tied system. If a home or business requires more power than what is available from the solar panels, the required power is imported from the utility grid. On the flip side, when the solar panels produce more energy than your home’s requirement, the excess power is exported to the utility grid and you receive energy credits in exchange for the excess power that is sent to the utility grid.

A grid tied solar system is usually the ideal economical choice for both homes and businesses as it is far less expensive than a self-contained system requiring a battery bank for backup. With this system, you never have to worry about running out of power as long as the grid is running.

What components are needed for making of a grid tied solar system?

There are three main components involved in the making of a grid tied solar system.

1. Solar panels: The solar panels collect the sun’s energy and produce DC electricity;

2. Grid tie solar inverter: The inverter converts the direct current (DC) power produced by the panels into alternating current (AC) that homes can use and can be sent to the grid;

3. Net energy meter: A bi-directional meter that is used for net metering, checks how much excess power is being sent to the grid and how much is being imported from it to determine monthly billing and credits for the homeowner;

How does a grid tied solar system work?

Here’s how the grid tie solar system works:

1. Rooftop solar panels which are made of silicon, a semi-conductive element, absorb energy from the sun and convert it into DC (direct current) electricity. The amount of electricity a panel can generate depends on many factors, including the type of panel, placement of panel, time of day, and temperature;

2. The grid tie solar inverter takes the DC electricity generated by the solar panels, and converts it into AC electricity to power your home;

3. When the solar panels are producing more electricity than your home’s requirement, the excess energy is sent to the grid. On the other hand, if you are using more energy than the panels produce, you can draw your additional requirements from the grid. That’s where the net energy metering comes in;

4. A bi-directional meter is used for net metering which measures the amount of energy imported and exported out of your home. The homeowners who have invested in solar will generally receive credits for exporting power to the grid, which is often enough to offset their energy bills every month;

You may also like to read: How solar panels work step by step – an easy guide 

How grid tied solar systems are different from other systems 

There are three basic types of solar power systems,

1. Grid tied solar system;

2. Off-grid solar system;

3. Hybrid system or backup power system;

An off-grid solar system is a self-contained system and not linked to the electrical grid like a grid tied system. This system produces all its own electricity and requires a battery bank to store the excess energy the panels produce to provide backup power during the night time or during long stretches of time without sunlight.

The hybrid system or backup power system is tied to the electrical grid and thus can both send electricity to it and draw electricity from it like the grid tied system. However, this system also has batteries to store electricity to provide backup power during emergencies. The hybrid system allows homeowners to power their homes not only during overcast days or the night but also when there is an energy blackout of the grid.

Whereas, in a grid tied system the homeowners cannot access electricity during overcast days or the night if there is a grid power outage. Moreover, a grid tie solar system will automatically shut off when the grid goes down to prevent energy from back feeding into the grid to keep utility workers safe.

The grid tied solar system however is by far, the most cost-effective way to go solar because it doesn’t include batteries which are the most expensive component of any solar system.

You may also like to read this related post: Off Grid Power System for homes using Solar power

Pros and Cons of grid tied solar system

Here’re the pros and cons of a grid tie solar system:

Pros

1. Can draw power from the grid when solar panels not generating enough power;

2. Lower installation cost and easier to maintain because it doesn’t include batteries or any form of energy storage to store solar power;

3. Most cost-effective way to go solar as it doesn’t include expensive battery backup equipment;

4. The excess electricity exported to the grid is often enough to offset the electricity used from the grid during the night or cloudy days;

5. Quick return on investment as the typical payback period for the system is 4 to 6 years;

Cons:

1. No backup power because grid tie solar doesn’t include battery backup equipment and the system is solely dependent on the grid to work;

2. When there is a grid power failure, the system automatically shuts down to prevent energy from back feeding into the grid to keep utility workers safe;

Frequently asked questions

Before I conclude let me also address some of the related questions often asked by potential home solar investors.

What is a grid tied solar system?

A grid tied solar system uses solar panels to generate electricity from sunlight while maintaining a connection to the local electricity grid. Such a system generates power for the home and it sends any excess power it generates, into the grid.

How much does a grid tie solar system cost?

The cost of a solar grid tie system depends upon the system size, where it is located, and the available tax credits offered by the state.  The cost of a 4Kw grid tie solar system, which should power a 2,000 square-foot home with average energy usage, is about $9,000 after deducting current federal solar tax credits. However, a bigger system costs more which can go up to $30,000 for a big 16Kw system.

Is grid tied solar worth it?

A grid tied solar system is the ideal economical choice for both homes and businesses as it is the most cost-effective way to harness the sun’s energy. Moreover, the homeowners who have invested in solar receive credits for exporting excess power to the grid, which is often enough to offset their energy bills every month.  

Which is better grid tied or off-grid?

A grid tied system is usually a better choice for homeowners who live in close proximity to the electrical grid as it is far less expensive than a self-contained system.

Off-grid system, on the other hand, has the added cost of an expensive battery bank to store the excess energy the panels produce to provide backup power during the night time or during long stretches of time without sunlight. This system is, therefore, better for remote locations where the cost of extending power lines from the electrical grid is considerably high.

Conclusion

One of the biggest decisions the homeowners have to make is whether to install a standard grid tied solar system, an Off-grid solar system with battery backup, or a hybrid solar system.

After going through this post it should be clear now why the grid tie solar system tends to be the most popular choice for residential applications. It is the easiest, simplest, and most cost-effective way to harness the sun’s energy. This system is virtually maintenance-free and far less expensive than a self-contained battery backup system, and you never have to worry about running out of power as long as the grid is running, even during the darkest times of the year.