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Grid Tied systems are so named because the house is still connected to the utility grid (the power company). Although the house may completely use all solar electricity produced, any excess electricity produced flows back to the grid and the homeowner receives a credit from the power company, if your power company offers this option. In some cases, the meter simply runs backwards. If consumption exceeds production, extra electricity is drawn from the utility. Since overnight power consumption is also supplied by the power company, grid tied systems do not need battery banks and thus tend to be less costly.

Many utilities offer financial incentives for grid tied systems. Check with your local power company to find out if they offer such a program. Tucson Electric Power customers should click here to check out the Sun Share program.

See details on AZ State and Federal Solar Tax Credits