Off-grid vs Grid-tied Solar Which Is Right for You in 2025?

Are extravagant electricity bills adding more stress to your life? Are you compromising your comfort by using less power? Are you spending less and saving extra money for the energy bills? Well, we have the perfect option that can help you say bye-bye to all these factors. Solar panel installation. Yes, installing solar panels can help you save money without compromising your comfort. Sunburn Solar is a leading solar panel provider that assists you with your energy requirements.

At Sunburn Solar, first, we understand your energy needs and accordingly offer various solutions that are best for your residential as well as commercial uses. As you thought about installing solar panels, there are mostly two options: off-grid and grid-tied solar panels. At Sunburn Solar, we have both of these options, but you might get confused about which one you want to install for your home or commercial space. This blog is exactly what you need to find out.

Let’s dive into the guide of off-grid and grid-tied solar panels and find out which one is right for you in 2025.

What is an off-grid solar system?

An off-grid system, in other words, is known as a stand-alone solar system. An off-grid system is combined with the following components.

• Solar panels capture the sunlight and convert it into power.
• A battery system that can store excessive power as well as be helpful at night or during cloudy days.
• A controlled system or inverter that can manage the power when there is a power outage.
• One can also install a generator in case the battery runs low.

Off-grid systems are not connected with any main grid system; hence, your home or office space generates and uses its own electricity and becomes energy independent. Additionally, you may have guessed that off-grid systems make your home energy independent; they require having big systems that can provide your home or office energy round the year.

As per the research, we have noted that off-grid systems are mostly preferred in remote or rural areas of Australia. If we have to conclude the off-grid system in one sentence, then it will be this: off-grid systems offer energy-independency but they require advanced equipment and careful planning.

What is a grid-tied system?

You might have guessed it from the name that a grid-tied solar system is connected with the main grid and your home. Grid-tied system has the following components:

• Solar panels convert sunlight into electricity.
• An inverter that turns the power for your usage.
• A connection to the public electricity grid.

Grid-tied system works in this way:

• In the daytime, solar panels convert sunlight into power and provide energy for your home and offices.
• If the power generation is excessive of your requirements, the excess power goes back to the main grid. As the power goes back to the main grid, you get the feed-in tariff for the same.
• Vice versa, at night or during cloudy days, if your solar panels are not generating enough power, you can get an energy supply from the main grid.

As your excessive power goes back to the grid, there are various feed-in tariff programs that offer the maximum benefits.

• There is a Small-Scale Renewable Energy Scheme that offers rebates up to 30% through STCs.
• In some states, there are various rebate programs as per the state governments.
• Ask your provider and know everything about these programs.

As we understand what off-grid and grid-tied systems are now, let’s understand the key differences between these two.

• Grid connection: Off-grid systems are stand-alone solar systems; they are not connected to the main public grid. On the other hand, grid-tied systems are connected to the main public grid.
• Components: Off-grid systems require solar systems and battery banks to store excess power. Grid-tied systems also require solar panel systems and a grid-tied inverter to connect with the public grid.
• Reliability and Backup: Off-grid solar systems are energy independent, and if the battery runs out, you can light up your home or office only through the inverter. Whereas grid-tied solar systems have built-in backup from the grid.
• Cost: Off-grid solar systems are typically more expensive than grid-tied systems. Due to off-grid systems’ energy independence, they require higher installation costs.
• Energy Independence: Off-grid systems are energy independent and hence survive the blackout situation without affecting their power. On the other hand, grid-tied systems are dependent on the main grid, so if the power gets cut from the main grid, you may have to survive the blackout situation.
• Use of Excess Energy: Off-grid systems can come with disadvantages, as if you generate excessive power, either it can be saved or completely lost. On the other hand, a grid-tied system offers feed-in tariffs if you generate excess power; it gets back to the grid, and you get money for the same.
• Sustainability: If you are living in a remote or rural area, then an off-grid system can be the best for you. Or else, if you want to be energy independent, then these systems are the best option to consider. But if you are living in a suburban area, then you can consider a grid-tied system, as you can easily connect it to the main grid.

The above-mentioned points can make it easier for you to select which solar system installation is the best choice for you.

Also Read: Thin-Film vs. Traditional Solar Panels: A Comprehensive Pros and Cons Comparison

Conclusion

As you are searching for solar panel installation, you must consider all the options and then select which one is best as per your energy requirements. You may not be aware of the fact that various solar panels offer different benefits. Hence, we suggest connecting with an accredited provider, letting them assess your energy requirements, and suggesting which one is best suited for you. Sunburn Solar is an accredited solar installation provider in Melbourne. You can contact us, and our team will assist you with the whole process.