What is a Microgrid?

A microgrid is a local, interconnected energy system within clearly-defined electrical boundaries. It incorporates decentralized energy resources, including storage; multiple energy sources or electrical-only; grid-connected or off-grid mode; a single entity with its own independent control in both modes; power ranges from several kW to multiple mW, with voltage ranging up to mV. Microgrids provide practical and accessible answers to improve energy reliability, resiliency, and energy accessibility, among other things. Microgrids are being used to rapidly electrify developing markets, while also finding applications in established areas as a means of stabilization and decentralization. Another major advantage of microgrids is the elimination of expensive transmission lines that are usually needed for a small community.