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M I G H T Y M I C R O G R I D S
H O W S M A L L G R I D S C O U L D B E C O M E A B I G D E A L
John Farrell & Matt Grimley
March 15, 2016
A Q U E S T I O N
How much do Americans spend on
electricity each year?
A ( N ) ( I N E F F I C I E N T )
M A R V E L
P O R T I O N O F E L E C T R I C
G E N E R AT I O N L O S T A S
H E AT
67%
Electric outage rate
2005 2015Photo: SULA-CH via Flickr
U N P R E C E D E N T E D
O P T I O N S
1 I N S TA L L E V E RY
6 0 S E C O N D S
P E R S O N A L I Z E D
C O N T R O L
Software allows
many iterations
A S M A L L S TA R T
0.1%
Microgrid % of
total U.S. electricity generation
U P A G A I N S T A
M O N O P O LY
P R O B L E M
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”
S L O W T O
I T E R AT E
“ M I G H T Y ” M I C R O G R I D S
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.
M I C R O G R I D
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
A Q U E S T I O N
Where is one of the first 100% renewable microgrids
larger than 1 megawatt?
A F E W S A M P L E S
S TA F F O R D H I L L
Photo: Green Mountain Power
A U S T I N
Photo: clickykbd via Flickr
L O N G I S L A N D
Photo: Clean Coalition
M A C R O B A R R I E R S
S M A L L R U L E S F O R B I G
R E S U LT S
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
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
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
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
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.
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.
B I G O P P O R T U N I T Y
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
$12
2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020
Median solar installed cost
Lithium ion battery cost
www.ilsr.org
D O W N L O A D
O U R F U L L
R E P O R T
R E A D M O R E
@johnffarrell
Mighty'Microgrids''
Communi'es*all*over*the*country*are*finding*ways*to*break*the*macro*barriers*to*
microgrids.*As*we*flip*from*a*top>down*to*bo?om>up*grid*management*structure,*
major*policy*barriers*must*be*liBed*in*order*to*expand*energy*democracy*to*
customers*and*producers.*
!
Ma$!Grimley!and!John!Farrell!
March!2016!

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Mighty Microgrids: How Small Grids Could Become a Big Deal

  • 1. M I G H T Y M I C R O G R I D S H O W S M A L L G R I D S C O U L D B E C O M E A B I G D E A L John Farrell & Matt Grimley March 15, 2016
  • 2. A Q U E S T I O N How much do Americans spend on electricity each year?
  • 3. A ( N ) ( I N E F F I C I E N T ) M A R V E L
  • 4. P O R T I O N O F E L E C T R I C G E N E R AT I O N L O S T A S H E AT 67%
  • 5. Electric outage rate 2005 2015Photo: SULA-CH via Flickr
  • 6. U N P R E C E D E N T E D O P T I O N S
  • 7. 1 I N S TA L L E V E RY 6 0 S E C O N D S
  • 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”
  • 12. S L O W T O I T E R AT E
  • 13. “ M I G H T Y ” M I C R O G R I D S
  • 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.
  • 15. M I C R O G R I D
  • 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?
  • 18. A F E W S A M P L E S
  • 19. S TA F F O R D H I L L Photo: Green Mountain Power
  • 20. A U S T I N Photo: clickykbd via Flickr
  • 21. L O N G I S L A N D Photo: Clean Coalition
  • 22. M A C R O B A R R I E R S
  • 23.
  • 24.
  • 25.
  • 26.
  • 27.
  • 28. S M A L L R U L E S F O R B I G R E S U LT S
  • 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.
  • 35. B I G O P P O R T U N I T Y
  • 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!