On-Grid vs Off-Grid Solar: What’s the Difference, and Which One is Right for You?

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what is on grid and off grid solar system

Published: 22 Aug, 2025 | By Solar

To be realistic, electricity is something we cannot live without anymore now. Whether you live in a village or a metro city it’s a necessity, from charging your mobile phone to cooking food, you need it for everything. You cannot even imagine your day to day life without electricity, how will you even get water to flush in the morning if there’s no electricity.

But with the cost and electricity bills rising, people are realising that they need an alternate solution and have started asking questions like:

“Can solar power be a better option for me?”

And if you are one of them, spending your precious time on the internet, trying to figure out what to do and how to do, and if what you are planning to do is even good? This article is for you, to answer your questions and know what are the benefits of using solar panels for home.

Just the facts, shared by the team at Spectra Solar Power, a company that’s been helping homes and small businesses across India make the switch to solar, one rooftop at a time.

So First, What is a Solar System?

Before we get into the technical details, let’s give you an idea of the basics…

A solar system is the setup that includes solar panels, batteries, wires, handles and stands. Basically the whole setup that is installed on your rooftop or open land, which then captures sunlight and then converts it into electricity and then that electricity is used to power your appliances.

But how you use and store this electricity is what decides whether your system is on-grid or off-grid. And you also get confused with “what is on-grid and off-grid solar systems” and here we have answers for that. So, that you are no more wasting time and not doing any monthly electricity savings.

What is an On-Grid Solar System?

An on-grid system is connected to your local electricity board’s power lines. That means it works along with the electricity you already get from your state power supplier.

Here’s how it works and all of on-grid solar system benefits:

  • When the sun is out, your solar panels produce electricity.
  • That electricity powers your home or shop.
  • If your panels make more electricity than you need, the extra goes back to the grid.
  • And at night (or during cloudy days), if your panels aren’t producing enough, you take power from the grid like usual.

This setup uses a special meter called a net meter. It keeps track of how much power you send to the grid and how much you take back. So your bill only charges you for the net amount you’ve used and would have used.

Why People Choose On-Grid Systems:

  • You save on bills every month. Many people cut their power costs by 60–90%.
  • You don’t need batteries, which can be expensive.
  • If your system produces more than you use, you can actually earn credits or reduce your bill even further.
  • Maintenance is easier since there are fewer parts to manage.

At Spectra Solar Power (one of the best solar companies in India), we’ve installed many on-grid solar systems across homes, schools, and small businesses, especially in tier 2 and 3 towns, because this setup makes the most sense in places where the power supply is regular but expensive.

What is an Off-Grid Solar System?

Now let’s talk about the off-grid solar system and the benefits of off-grid solar systems​. This is the system that works without keeping any kind of relationship with the main grid. It’s off-grid in that sense.

So how do you get electricity at night or on cloudy days?

That is where off-grid systems are different, they come with batteries. When your solar panels produce electricity during the day, some of it is stored in the battery and then at night, or whenever your panels aren’t producing enough, your battery kicks in and powers your home, reducing average electric bill with solar panels.

This system is ideal for areas where:

  • The electricity grid hasn’t reached yet.
  • There are frequent or long power cuts.
  • Or you just want to be completely self-reliant and not depend on government supply at all.

Why People Choose Off-Grid Systems:

  • You have electricity even when there’s a blackout.
  • You don’t need to deal with electricity bills anymore.
  • It gives you full control, you make your own electricity, store it, and use it when needed.

Off-grid systems do cost more upfront because of the batteries. But for many people in rural areas, the peace of mind and independence are worth every rupee.

Still Confused? Let’s Break It Down Further

Feature On-Grid System Off-Grid System
Connected to the Power Grid? Yes No
Batteries Needed? No Yes
Power Available During Blackouts? No Yes
Monthly Electricity Bill? Reduced (or zero with net metering) Zero
Ideal for Towns & cities with stable electricity Villages & remote areas with poor/no supply
Setup Cost Lower Higher (due to batteries)

Which One Should You Pick?

That depends on where you live, how much power you use, and what kind of reliability you need.

Go for an On-Grid Solar System if:

  • You live in a town or city where power cuts are rare.
  • You want to lower your electric bill after solar panels and use the savings elsewhere.
  • You want a simple system without battery maintenance.

Choose an Off-Grid Solar System if:

  • You live in a remote area with no grid connection or frequent cuts.
  • You want complete freedom from power bills and electricity companies.
  • You need reliable electricity 24x7 for farming equipment, medical devices, etc.

Not sure what’s right for you? The team at Spectra Solar Power can help. We don’t just install solar, we help you understand it. Our experts visit your site, assess your usage, and suggest the system that actually fits your life, not just your roof.

What About Government Subsidy?

Good news: The Indian government offers subsidies for solar panel installation, especially for on-grid rooftop systems.

In many states, you can get up to 40% off your total cost. It’s part of India’s push to make solar energy more affordable for regular families and small businesses.

At Spectra Solar Power, we take care of the entire subsidy process. You don’t have to worry about paperwork, approvals, or chasing departments. We’ve done this for hundreds of customers, and we can do it for you.

Who To Trust Then?

Spectra Solar Power is committed to making clean energy affordable and easy for everyone.

Why customers trust spectra solar power:

  • Good Quality solar panels and inverters that’ll last you.
  • Affordable pricing for both on-grid and off-grid solar systems, so no more confusion based on financial terms.
  • Friendly support for people in Tier 2 and 3 cities, you don’t feel weird asking them what you actually want
  • Years of experience in solar panel installation, so they actually know what they are doing
  • Excellent after-sales service, so if you have any problem, you know who to contact.

Whether you want to reduce bills, enjoy power backup, or live off the grid, Spectra Solar Power is here to help.

Conclusion

Solar is not just for big cities, we’re already in the times/generation where families in smaller towns and villages are also enjoying the savings and freedom of solar energy.

Before you choose a system, think about:

  • Your budget, very important
  • Your electricity situation/ powercuts?
  • Your future power needs, any plans for buying new stuff?
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