The electric grid is no longer a 20th-century, one-way system. A constellation of distributed energy technologies is opening the way to the "microgrid," one of many new local solutions to generating and managing energy. The question is whether microgrids will face macro challenges. Will state laws granting utility monopolies interfere? Will microgrids be able to sell their grid-strengthening services?
8. P E R S O N A L I Z E D
C O N T R O L
Software allows
many iterations
9. A S M A L L S TA R T
0.1%
Microgrid % of
total U.S. electricity generation
10. U P A G A I N S T A
M O N O P O LY
P R O B L E M
11. D I S T R I B U T I O N G R I D I N V E S T M E N T
L A G G I N G
American Society of Civil Engineers
“America will see an investment gap in distribution
infrastructure of $57 billion by 2020”
14. M I C R O G R I D
A group of interconnected loads and
distributed energy resources within clearly
defined electrical boundaries that acts as a
single controllable entity with respect to the
grid and that connects and disconnects from
such grid to enable it to operate in both grid-
connected or island mode.
16. M I C R O G R I D
• Likes to act alone
• Capable of making its own
decisions
• May benefit from
remaining grid connected
• Lots of possibility
Photo: tifotter via Flickr
17. A Q U E S T I O N
Where is one of the first 100% renewable microgrids
larger than 1 megawatt?
29. S TAT E F U N D I N G ?
Credit: Microgrid Resources Coalition
New York
Minnesota
NY Prize provides
funding for municipal
feasibility studies
No microgrid financing
30. E X E M P T F R O M R E G U L AT I O N ?
Credit: Microgrid Resources Coalition
New York
Minnesota
Exempt if:
1. solely on private
property OR
2. uses cogeneration,
small hydro, or
alternative energy
Exempt if:
1. muni or co-op OR
2. only serves tenants of
single building OR
3. serves < 25 persons
31. A R E M I C R O G R I D S P U B L I C U T I L I T I E S ?
Credit: Microgrid Resources Coalition
New York
Minnesota
New York does not
designate monopoly
service territories
Only if they serve fewer
than 25 persons
32. E A S Y I N T E R C O N N E C T I O N ?
Credit: Microgrid Resources Coalition
New York
Minnesota
B C
33. R E TA I L O R W H O L E S A L E M A R K E T
C O M P E N S AT I O N ?
Credit: Microgrid Resources Coalition
New York
Minnesota
Wholesale, yes. Retail
may be coming with
Reforming the Energy
Vision process.
Wholesale, no. Retail
limited to net metering
for 1 MW or smaller.
34. O T H E R B A R R I E R S
Credit: Microgrid Resources Coalition
New York
Minnesota
Distribution utilities
may be limited in
ownership of
microgrids.
Vertically integrated
utilities will likely fight
any laws enabling
microgrids.
36. R O O F T O P S O L A R A N D B AT T E RY S T O R A G E
P R I C E S K E E P FA L L I N G
Battery:costperkilowatt-hour
$0
$450
$900
$1,350
$1,800
Solar:CostperinstalledWatt
$0
$3
$6
$9
$12
2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020
Median solar installed cost
Lithium ion battery cost
37. www.ilsr.org
D O W N L O A D
O U R F U L L
R E P O R T
R E A D M O R E
@johnffarrell
Mighty'Microgrids''
Communi'es*all*over*the*country*are*finding*ways*to*break*the*macro*barriers*to*
microgrids.*As*we*flip*from*a*top>down*to*bo?om>up*grid*management*structure,*
major*policy*barriers*must*be*liBed*in*order*to*expand*energy*democracy*to*
customers*and*producers.*
!
Ma$!Grimley!and!John!Farrell!
March!2016!