Worldwide, building is one of the most consuming energy sectors which are contributing significantly to the greenhouse effect, climate change and negative environmental impact. In Algeria, building sector is responsible of about 42% of the final energy consumption, with about 35% in the residential houses and 6% in the tertiary. This consumption is still in expansion, due to mainly on an exceptional growth of population and urbanism. The main objective of this paper is to study and assess the contribution of the grid-connected photovoltaic system in the energy balance in the residential building. A case study is applied in the northern region of Algeria. The photovoltaic system supplies the house with electricity during the sunny days, and during the night or the cloudy days, the house is powered by grid. The calculation of energy performance is based on the optimization, rationalization and saving energy approach. This takes into account the energy profiles of residential homes, real data and meteorological conditions (ambient temperature and irradiance). The results show clearly that the use of saving energy and grid-connected photovoltaic system allows a reduction of energy demand and a positive annual electricity balance of the studied residential house. The PV system generated 67.6% of the overall energy used in the house. Only, 33.4% are purchased from the grid. An energy positive balance of 2 kWh/day is observed.