In grid-connected photovoltaic systems, a key consideration in the design and operation of inverters is how to achieve high efficiency with power output for Various modes of operation. The classical inverters are three level having reduced complexity and robust design, but efficiency is low and harmonics are high. Hence increased power losses. These power quality issues can be over-come by designing a multi-level inverter (MLI). MLIs have a higher number of output voltage levels as compared to the two/three levels in traditional inverters. The advantage of MLIs is its staircase-like output waveform, which resembles more closely to sinusoidal waveform than the traditional inverters; hence THD is very low. In the proposed work a neutral point clamped MLI is designed for grid integration of PV system. The performance analysis have been carried out for both single as well as three phase system to obtain low THD and high efficiency.