If you are in a location that is "On Grid", meaning that you get traditional power resources, you can use solar power or wind power to supplement or entirely offset your traditional utilities. These systems, whether powered by wind or sun are usually called "On Grid" or "Grid Tie" systems. When you install your solar power electric system or your wind power electric system you can tie it into your traditional electricity meter using a grid tie inverter. As you generate power, your system automatically detracts from your own electricity meter thereby reducing your bill.
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If you produce more electricity than your home actually needs, it can be automatically sold, often at cost prices, to the utility company further offsetting your costs (depending on the policies of your local utility and municipality) of going solar. Using a solar grid tie or wind power to grid interface will not only help you offset utility bills, but you also avoid costly batteries and systems that you would need to hold the excess power you are generating.
Comparison & Overview of 3 Types of Grid Tie Inverters
Grid Tie Inverters Convert DC to AC
Grid tie inverters are a central component to your solar panel electric system or wind power electric system. Grid tie inverters convert DC power generated by solar and wind electric systems into AC power used by most domestic electrical devices and your grid tie power inverter will do the same, pumping AC electricity back into the electric "grid" and offsetting your power consumption and cash outlay.
Grid Tie Solar Inverters Simplify and Reduce Costs of Going Solar
A solar grid tie inverter system is significantly simpler and less costly than solar inverter systems that are completely disconnected from the electric utility grid (off-grid). A grid tie inverter system essentially consists of just four major components in addition to the wiring: solar panel array, solar panel mounts, the grid tie inverter itself, and overcurrent protection (fuses, combiners boxes, and disconnects). Whereas, off grid inverter systems require the addition of solar charge controllers, battery bank and additional overcurrent protection and wiring.