For most Gujarat homes with a regular DISCOM connection, an on-grid system with net metering is the simplest choice and qualifies for the PM Surya Ghar subsidy. A hybrid system adds a battery for backup during power cuts, at extra cost and upkeep. Off-grid systems are meant for places without a grid connection, and they do not qualify for the PM Surya Ghar subsidy.
Here is how each type works, so you can decide what your home actually needs.
The three types in one line each
- On-grid (grid-tied): panels, an inverter and a net meter. No battery. The grid acts as your "storage".
- Hybrid: panels, a hybrid inverter and a battery, still connected to the grid. It can run some loads during a power cut.
- Off-grid: panels, an inverter and batteries, not connected to the grid at all. Whatever you use must come from the panels or the batteries.
On-grid: what most homes pick
An on-grid system sends any extra daytime power to the grid and draws from the grid at night. Your net meter keeps count, and your DISCOM settles the difference every billing cycle. We explain that in detail in our post on net metering in Gujarat.
The advantages are straightforward. There is no battery to buy, maintain or replace, so there is less that can go wrong. It works with the subsidy, and the panels and inverter are the only major parts.
The one thing to understand: an on-grid system shuts down during a power cut, even in bright sunshine. MNRE's technical specifications for the scheme require grid-connected inverters to have "islanding protection", which means the inverter switches off quickly when grid power fails. This protects line workers who may be repairing the grid and expect the lines to be dead. So if your area has frequent outages and backup is important to you, on-grid alone will not solve that.
If your system shows no output during a power cut, this protection is the reason. We explain it in why solar stops during a power cut.
Hybrid: on-grid plus a battery
A hybrid system works like an on-grid system most of the time, but a battery stores some energy. When the grid fails, the inverter disconnects from the grid (for the same safety reason) and powers selected loads in your home from the battery and panels.
Things to think about before choosing hybrid:
- Cost and upkeep. The battery and hybrid inverter add to the price, and batteries need care. We don't quote prices, so ask the installer to show the hybrid and on-grid options side by side.
- Battery life. Under MNRE's specifications, panels must keep more than 80% of rated output for up to 25 years. Batteries wear out far sooner than that, so plan for at least one battery replacement over the life of the panels.
- Backup is limited. A battery is usually sized for essential loads like lights, fans, a fridge and a Wi-Fi router, not for running ACs all night. Ask the installer exactly which circuits will be backed up.
- Space and safety. The battery needs a dry, shaded, ventilated spot indoors or in a protected area.
On the subsidy: MNRE's operational guidelines for PM Surya Ghar say a rooftop system may include extra components like battery storage, but the subsidy is calculated only on the capacity of the solar panels. A battery does not increase your subsidy. Systems that are connected to the grid but do not feed power into it (such as some battery hybrid setups) can be eligible, subject to approval by the state electricity regulator, and the DISCOM checks the reverse power protection during inspection. If you plan a hybrid system and want the subsidy, ask your installer to confirm how it will be metered and approved with your DISCOM before you sign.
For battery sizing and what backup really covers, see solar battery backup for home.
Off-grid: for places without a grid connection
An off-grid system has no link with the DISCOM. Every unit you use must come from the panels in real time or from the batteries. That means a larger battery bank, careful sizing for cloudy and monsoon days, and battery replacement over time.
The same MNRE guidelines state that off-grid installations are not eligible for the subsidy under PM Surya Ghar, which covers grid-connected rooftop systems tagged to a residential DISCOM connection. And with no grid connection, there is no net metering either, so surplus units on a sunny day simply go unused once the batteries are full.
For a normal city or village home in Gujarat that already has an electricity connection, off-grid rarely makes sense. It suits places where the grid does not reach, like a remote farmhouse. For farms, the more common off-grid use is a solar water pump. Standalone solar pumps for farmers in areas without grid supply come under a separate scheme, PM-KUSUM, and our solar water pump page covers that.
Side by side
| On-grid | Hybrid | Off-grid | |
|---|---|---|---|
| Connected to the grid | Yes | Yes | No |
| Battery | No | Yes | Yes (larger) |
| Power during a power cut | No | Yes, for selected loads | Yes, within battery limits |
| Net metering | Yes | Depends on how it is metered and approved | No |
| PM Surya Ghar subsidy | Yes | Possible, on panel capacity only, subject to approval | No |
| Upkeep | Lowest | Medium (battery care and replacement) | Highest |
How to decide for your home
Ask yourself three questions:
- Do you have a DISCOM connection? If yes, start with on-grid or hybrid. If no, off-grid is your option.
- How often does your power go, and for how long? If cuts are rare or short, on-grid is usually enough. If they are frequent and backup matters (for example, for an elderly family member, a home business or children studying), consider hybrid. Some homes keep their existing inverter-battery setup for backup and add an on-grid solar system separately; ask your installer whether that suits your wiring.
- What do you want backup for? List the loads. A short list keeps a hybrid system's battery small.
Whichever you choose, check the installer the same way: portal registration, DCR and ALMM-listed panels, and written maintenance terms. Our installer checklist covers that.
Your next step
Write down roughly how many power cuts you had in the last few months and which appliances you would want running during one. Take that list, plus a year of electricity bills, to the installer and ask for an on-grid and a hybrid option for comparison. If you want, we can connect you with one checked installer near you.
This guide is general information, not advice. Scheme rules and amounts change, so check the official portal or your DISCOM before you decide.