Overcurrent relay protection is used in AC microgrids to detect excessive current levels that could damage electrical equipment or endanger personnel. It works by measuring circuit current and comparing it to a preset threshold. In microgrids, overcurrent relay protection is needed for fault detection, equipment protection, personnel safety, fault isolation, system stability, selectivity, and compliance with standards. It functions by sensing current, detecting and classifying faults, selectively tripping circuits, and coordinating with other protection devices. However, overcurrent relays have limitations like blind spots, lack of fault discrimination, coordination challenges, sensitivity to loads, and limited adaptability.