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The Good & Bad
There are many advantages and disadvantages associated with being on the grid. Below is a comparison of the pros and cons of both on-grid and off-grid applications - you should consider these as you decide which is most suitable for your needs.
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On-Grid
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Off-Grid
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Advantages
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Allows renewable energy generators to use the "grid as storage" for excess generation, thereby reducing the need for expensive battery storage systems and improving the payback period for the investment.
Eliminates the need for an expensive second meter, thereby reducing the installation costs.
Reduced or eliminated environmental impact from the disposal of lead-acid batteries, the burning of fossil fuels for backup generators and potential spills of generator fuel.
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Systems are easy to set up
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Disadvantages
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Grid connection is not permitted everywhere in Canada
Process to obtain approval for interconnection from the utility company can be lengthy and complicated, and requires careful planning
For DC output turbines, connection to the grid requires an inverter capable of producing “grid-ready” AC electricity. While such inverters are commonly available for photovoltaic systems, most of these models can only be used with wind turbines if they are tied to a battery bank that acts as an energy buffer. A number of leading manufacturers of small wind turbines are in the process of developing ‘battery-less inverters’ that avoid the extra cost of battery banks. Note, for battery-less inverters, the requirement by many utilities for inverter compliance with the UL 1741 standard limits the amount of time some small wind systems can spend storing energy in the grid. Be informed of recent inverter developments (consult an expert, if necessary) before deciding to go with a battery-less inverter for on-grid application.
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Cost of batteries
Maintenance of batteries
Back-up system costs (for hybrid systems)
Higher level of skill, knowledge, and discipline required for managing electrical load according to what your generation system(s) can provide
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