An on-grid solar system, also known as a grid-connected photovoltaic power system, is designed to generate electricity while being connected to the utility grid. This system comprises solar panels linked to one or more inverters. The electricity produced by the solar panels is in DC form, which is then converted to AC by the inverters. Unlike off-grid systems, this configuration does not use batteries; instead, any excess power generated is fed back into the grid.

This setup significantly reduces power bills, as surplus electricity can be sold to the local electricity supplier, ensuring efficient utilization of the generated power.