Microgrids are the groups of energy resources, both renewable and/or conventional, located and interconnected in a specific physical area that appears as a single entity to the alternating-current (AC) electric grid.
Microgrids may use the distributed resources to power the local loads combined with the capability to operate independently of the AC grid. Microgrids can easily work on a home-by-home level or a neighborhood level. Microgrids is thus a technically feasible option to address the concerns of sustainability, resilience, and energy efficiency. It is a lower-cost option for providing electrical power to regions in developing countries where conventional AC grids are not available or are too unreliable.
India is one of the countries that need microgrids. There are parts of the country that still do not have access to electricity. The cost of extending the grids to those areas is high, and this is where microgrids come into the picture. Microgrids present a compelling alternative by eliminating the need of the local electricity generation.
Accelerated improvements in performance and cost of energy-storage technologies are making microgrids an economically viable option for power systems in the very near future. They can deliver reliable, continuous access to electricity without expensive infrastructure development.
Predicting the growth of the microgrids is very much difficult. The demand of the microgrids have increased considerably, however, they face many challenges.
Some research suggests that while most microgrids today use fossil fuels, PV and storage are becoming more popular.
The question regarding the microgrids and its future is still evoked. Yet there are many strong technical and economic reasons to create microgrids. In the future, their role will only grow and their value is becoming clearer with each new installation.