Growing global energy demand and increasing share of renewable energy sources in the global installed capacity are bolstering the demand for smart microgrid. Microgrids are smaller versions of the conventional power grids and are designed to serve localized electric loads. They incorporate distributed energy resources (DER) such as micro-turbines, wind and photovoltaic in parallel with the conventional power grid. The distributed energy resources (DER) allow microgrids to run in an islanding mode on account of which the microgrid and loads they serve are protected from the disturbances generated from the conventional power grids. This islanding mode is expected to occur when the microgrid disconnects from the conventional grid and runs independently.
Smart microgrid integrates buildings and consumers with electricity generation, electricity distribution, smart switches, automation, power storage, and other smart technologies. Microgrid, thus, includes generation, a distribution system, consumption and storage, and manages them with the advanced monitoring, control and automation systems.
The market for smart microgrid is expected to increase in near future on account of some underlying factors, such as vulnerability of electricity infrastructure to cyber threats, the increasing need for reliable and secure power, and emphasis on minimizing the electricity transmission and distribution losses. Smart microgrid solution increases the amount of on-site energy (generation and/or storage), thus reducing the risk of a catastrophic power loss and also results in reduction of associated costs.
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12 December 2017