Inverter in a simple term
An inverter is a crucial part of a photovoltaic solar energy system because it transforms the direct current (DC) power generated by the solar panels into alternating current (AC), the kind of electricity used in homes and businesses.
Based on the phase of a particular application, there are typically two types of inverters available in the market: single phase and three phase.
Single phase grid tie inverter

Single phase grid tie inverters are used in photovoltaic solar energy systems that are connected to a single phase electrical grid.
These inverters are appropriate for usage in home and small business systems since they are often more affordable and smaller than three phase inverters.
Three phase grid tie inverter

Three phase grid tie inverters, on the other hand, are used in photovoltaic solar energy systems that are connected to a three phase electrical grid.
These inverters are larger and more expensive than single phase inverters, but they are more efficient and can handle a larger load.
Nett Energy Metering (NEM) Program in Malaysia
In the case of public residential or commercial buildings that are originally connected to the national grid, a grid tie inverter can be used to supplement the electricity provided by the grid.
These inverters allow excess electricity produced by the solar panels to be sold back to the utility, which helps to offset the cost of the system and reduce the amount of electricity that needs to be purchased from the grid.

This is how Nett Energy Metering (NEM) program in Malaysia works. Amount of excess electricity that is produced by solar panel arrays for the current month, would be offset and would be brought forward to the next month that would reduce the electric utility bills.
For example, if a residential or building has a photovoltaic solar energy system with a grid tie inverter, the solar panels will generate electricity during the day, which can be used to power the building. At night or when the sun is not shining, the building will continue to be powered by the national grid.
Self Consumption (SELCO) Program in Malaysia
Another approach specifically for Malaysia application is known as Self-consumption (SELCO). This is applies when electricity is being generated, in this case from solar array panels for own usage and any excess is not allowed to be exported to the grid.

To ensure that extra energy won’t be exported to the grid, a system configuration by an expert, often implemented on the inverter, is required.
DC Battery Storage System

The extra energy would be stored in a DC battery system so it could be used, particularly at night when solar energy production was no longer able to be generated.
Application of battery system would have a very significant additional cost, depends on how large the battery storage capacity user want to have.
 
					 
												
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