In many respects, microgrids are smaller versions of  the traditional power grid. Like current electrical grids, they consist of power generation, distribution, and controls such as voltage regulation and switch gears. However, microgrids differ from traditional electrical grids by providing a closer proximity between power generation and power use, resulting in efficiency increases and transmission reductions. Microgrids also integrate with renewable energy sources such as solar, wind power, small hydro, geothermal, waste-to-energy, and combined heat and power (CHP) systems.

Microgrids perform dynamic control over energy sources, enabling autonomous and automatic self-healing operations. During normal or peak usage, or at times of the primary power grid failure, a microgrid can operate independently of the larger grid and isolate it’s generation nodes and power loads from disturbance without affecting the larger grid's integrity.  Microgrids interoperate with existing power systems, information systems, and network infrastructure, and are  capable of feeding power back to the larger grid during times of grid failure or power outages.

MICROGRID BENEFITS

• Provides power quality, reliability, and security  for end users and operators of the grid

• Enhances the integration of distributed and renewable energy sources

• Cost competitive and efficient

• Enables smart grid technology integration

• Locally controlled power quality

• Minimize carbon footprint and green house gas emissions by maximizing clean local energy generation

• Increased customer (end-use) participation