So what is a Microgrid?

The National Grid is a large network of electrical power lines and generators that supply power to homes and businesses. A Microgrid is a small, localized network of electrical generation and distribution that supplies power to a specific area, such as a single building or a group of buildings.

A stand-alone microgrid has its own sources of electricity, supplemented with an energy storage system. They are used where power transmission and distribution from a major centralized energy source is too far and costly to operate. They offer an option for rural electrification in remote areas and on smaller geographical islands. A stand-alone microgrid can effectively integrate various sources of distributed generation, especially renewable energy sources.

Microgrid diagram.

So what are the benefits of a Microgrid?

  • Power reliability: A microgrid can provide a reliable source of electricity in areas with frequent power outages or unreliable grid infrastructure. With its own generation capacity and energy storage, a microgrid can ensure that critical loads are always powered.
  • Energy cost savings: A microgrid can help you to optimise energy costs by using a combination of renewable energy sources, such as solar or wind power, fuel cells and energy storage systems. By reducing reliance on traditional fossil fuel sources, a microgrid can help lower energy costs and improve your bottom line.
  • Environmental sustainability: A microgrid can reduce your carbon footprint by generating and storing renewable energy on-site. This can help you meet your sustainability goals and reduce your impact on the environment.
  • Energy independence: A microgrid can provide energy independence by allowing you to generate and store your own power. This can be particularly useful in remote or off-grid locations where access to grid power may be limited or non-existent.
  • Resilience: A microgrid can provide resilience in the face of natural disasters, extreme weather events or other grid disruptions. By having its own generation and storage capabilities, a microgrid can continue to provide power to critical loads even when the larger grid is down.

Electrification of isolated areas: currently 10% of the worldwide population do not have access to electricity, hence, an isolated microgrid system could bring a solution.