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A simple and cost effective control technique has been proposed for MPPT from the photovoltaic array under varying climatic conditions (Irradiance w/m2 of the photovoltaic). This paper proposes an energy system combing solar photovoltaic with battery backup as a small-scale alternative source of electricity in rural areas. The proposed system is an attractive owing to its simplicity, ease of control and reliability. The paper also discusses about the in detail results for low and average irradiance cases are presented and analyzed in order to determine, how output power and other quantities are affected by changes in solar irradiance. In this, the solar cell is delivering power to both AC and DC loads with battery backup. The role of MPPT algorithm is to charge battery quickly, maximum utilization of solar power and also uninterrupted power supply when solar power fails. The system performance is analyzed with and without MPPT algorithm, if failure in solar power how the system responds with and without battery backup were evaluated using MATLAB/SIMULINK.