Key Technologies, Standardisation and Business Models for Microgrids

The introduction of microgrid technology is closely related to the application and development of distributed power technologies. The concept of microgrid was introduced at the end of the last century and the beginning of this world, in order to achieve the coordinated development of grid and distributed energy sources, to fully exploit the value and benefits of distributed energy sources for grid and users, and to reduce the negative impact of grid connection on power quality, control and protection, and reliable operation.

A microgrid is a self-sufficient energy system that can serve a discrete geographical footprint, such as a university campus, hospital complex, commercial centre or community. In a microgrid, one or more distributed energy sources (solar panels, wind turbines, cogeneration, generators) generate electricity.

From Distributed Generation To Microgrids

   1. The grid connection of large-scale distributed generation brings challenges to system operation and management.

   2. Coordinating the contradictions between the grid and distributed power generation and resolving the impact on the grid and users caused by the simple grid-connected operation of a large number of distributed power sources with scattered locations, diverse forms and different characteristics.

   3. To reduce the impact of large-scale grid connection of distributed generation, large grids are now usually isolated.

   4. To fully exploit the value and benefits of distributed power generation to the grid and customers, to improve the utilisation rate of renewable energy, and to promote energy saving and emission reduction.

The Concept & Development Requirements of Microgrids in Different Countries or Regions

European region: Microgrid consists of distributed power sources, energy storage devices, controllable loads and low-voltage distribution systems, which can be operated in parallel with the main grid or in isolation through appropriate control means.

USA: A microgrid is a system consisting of a load and a microgrid together, which can provide both electricity and heat. The microgrid acts as a single controlled unit in relation to the main grid, meeting the needs of customers in terms of both power quality and security of supply.

Denmark: A microgrid is a small system that uses controlled distributed generation in a certain area to provide electricity according to customer demand.

Characteristics of Microgrids

A summary of microgrid projects in more than 20 countries, including the USA, Europe and Japan, has four basic characteristics.

1. Micro: Microgrid voltage level is generally below 10kV, system size is generally below megawatt level; connected to end-users, electricity is used locally.

2. Clean: Micro-grid distributed power generation is mainly clean energy, or the comprehensive use of energy as the goal of the form of power generation.

3. Autonomy: The microgrid can achieve basic self-balancing, and the exchange of power with the external grid generally does not exceed 20% of the total current

4. Friendly: It can reduce the impact caused by large-scale distributed power supply access to the grid, and can provide high quality and reliable power to users, and can achieve smooth switching between grid-connected and off-grid modes.

Market Demand and Development Drivers

• Energy saving and energy efficiency

• Improve grid acceptance of distributed energy

• Solving the problem of power supply in remote areas

• Improve the overall resilience of the grid to disasters

• Drive the development of related industries

Microgrid Development Overview

   1. Microgrids are developing rapidly around the world, and are in need of technical support and standardization

> Microgrids have changed the structure and operation of the power system at low and medium voltage level

> The traditional principles familiar to grid operators and equipment suppliers are being challenged

   2. Grid connection of microgrids and distributed power sources involves a number of areas such as generation, grid and consumers, and the complexity of the system is outstanding

> Microgrids need to be analysed systematically as a relatively independent unit in the relevant technology areas

> The positioning of microgrid functions in different application scenarios and the differentiation of system boundaries

> Identify missing standards and duplication from a system perspective, identify standards that need to be customized, and develop a roadmap and standards system for microgrid standardization

Microgrid Business Operation Model

(1) Integrated purchasing and selling model

Microgrid operating body: Microgrid ownership and operation rights belong to the grid enterprise at the same time.

Microgrid and distributed power supply settlement relationship: the power generated by the distributed grid is fully purchased by the grid enterprise.

(2) Self-generation and self-consumption mode

Micro-grid Operator: ownership and operation rights of micro-grid belong to the grid enterprise at the same time.

Settlement Relationship between microgrid and distributed power source: the power generated by the distributed power source is given priority for self-consumption, excess power is put online and insufficient power is provided by the grid enterprise.

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