An On-Grid Solar System (also known as a Grid-Tied Solar System) is a solar power system that is directly connected to the local utility grid. This system allows you to generate electricity from solar panels and use it in your home or business while also being able to send excess energy back to the grid. When your solar panels produce more energy than you need, the extra electricity is fed into the grid, and you can earn credits or be compensated for it, depending on your utility company's policies.