Photovoltaic systems utilize the infinite clean energy of the sun, without creating any air pollution or noise and mechanical vibration. A PV system operates without the need of fuel, rotation surfaces, high temperatures or high pressures. It is therefore to do maintain and simple to install as well as having a long life cycle. The global market for PV systems continues to grow rapidly by 30[%] per year. This paper suggests a new design method for the PV system installation that will allow to the improvement of system efficiency. This method is in accordance with the loss parameter compensation method designed for the PV systems and investigated through simulation and practical experimentation. It was applied to an interconnected 10[kW] grid PV system and was demonstrated in the field. Features such as solar array, PCS, system efficiency, performance and stability were considered. Through the proposed optimal parameter design method, the features of the system were studied, and the 10[kW] PV system was demonstrated and analyzed.