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ECEEE 2007 SUMMER STUDY • SAVING ENERGY – JUST DO IT!
31
1,074 Microgrids: An emerging paradigm or meeting building electricity and heat requirements ef ciently and with appro-priate energy quality 1,074 Marnay, Firestone
Microgrids: An emerging paradigm formeeting building electricity and heatrequirements efficiently and with appropriateenergy quality
Chris Marnay
Berkeley Lab MS 90R4000U.S.A.C_Marnay@lbl.gov
Ryan Firestone
Berkeley Lab MS 90R4000U.S.A.RMFirestone@lbl.gov
Keywords
 combined cooling, heating and power, commercial buildings,
community energy systems, microgrids, engine generators,gensets, on-site generation, photovoltaic, power quality and
reliability 
Abstract
Te rst major paradigm shi in electricity generation, deliv-
ery, and control is emerging in the developed world, notably 
Europe, North America, and Japan. Tis shi will move elec-tricity supply away rom the highly centralised universal serv-ice quality model with which we are amiliar today towards amore dispersed system with heterogeneous qualities o service.
One element o dispersed control is the clustering o sourcesand sinks into semi-autonomous
μgrid 
s (microgrids). Re-search, development, demonstration, and deployment (RD3)o μgrids are advancing rapidly on at least three continents,
and signicant demonstrations are currently in progress. Tisparadigm shi will result in more electricity generation closeto end-uses, oen involving combined heat and power applica-tion or building heating and cooling, increased local integra-tion o renewables, and the possible provision o heterogene-ous qualities o electrical service to match the requirements o 
 various end-uses. In Europe,
μgrid 
RD3 is entering its third
major round under the 7
th
European Commission Framework Programme; in the U.S., one specic
μgrid 
concept is undergo-ing rigorous laboratory testing, and in Japan, where the mostactivity exists, our major publicly sponsored and two privately 
sponsored demonstrations are in progress. Tis evolution poses
new challenges to the way buildings are designed, built, and
operated. raditional building energy supply systems will be-come much more complex in at least three ways: 1. one can-not simply assume gas arrives at the gas meter, electricity at its
meter, and the two systems are virtually independent o one
another; rather, energy conversion, heat recovery and use, and
renewable energy harvesting may all be taking place simultane-
ously within the building energy system; . the structure o en-ergy ows in the building must accommodate multiple energy processes in a manner that permits high overall ef ciency; and
3. multiple qualities o electricity may be supplied to various
building unctions.
Introduction
Tis paper examines the role o the
μGrid 
(microgrid) para-
digm in revolutionising the current universal centralised model
o electricity generation and delivery. Ten it provides a survey o several international research projects that pioneer research,development, demonstration, and deployment (RD3) o μgridconcepts as an alternative approach to integrating small-scale
(< 1 MW) distributed energy resources (DER) into commercial
buildings with peak electrical loads o less than about 2 MW
or into multi-amily buildings or housing estates. A μgrid is agrouping o generating sources and loads operating semi-inde-pendently o the legacy power system, or
macrogrid 
, typically interconnected at a single point o common coupling (PCC).
Te μgrid may include traditional reciprocating engine gen-
erators (gensets), microturbines, uel cells, photovoltaic mod-ules (PV) or other small-scale renewables, heat recovery romthermal generation and use, electrical and heat storage devices,and controllable end-use loads. Tree likely μgrid eatures are:1. ef ciently meeting total system energy requirements, oen
by including combined heat and power (CHP) technology,especially or building heating and/or cooling, 2. providing
Marnay, ChrisFirestone, Ryan
 
32
ECEEE 2007 SUMMER STUDY • SAVING ENERGY – JUST DO IT!PANEL 1. THE FOUNDATIONS OF A FUTURE ENERGY POLICY
heterogeneous levels o electricity security, quality, reliability 
and availability (SQRA) that match the requirements o vari-
ous end-uses, thereby potentially lowering expectations or
improvements in the macrogrid to meet the needs o a digital
society, and 3. appearing to the macrogrid as a controlled entity,
akin to a current local utility customer, or conversely akin toa small embedded generation source, i the μgrid exports. Te
materials presented are based on presentations at a series o 
international symposiums held in the U.S. in 005, in Canadain 006, and a third in Nagoya, Japan, in April 007. Materialsrom these events can be ound at http://der.lbl.gov
Dispersed Generation Paradigm Shift
rends emerging in the power system suggest that the highly 
centralized paradigm that has dominated power systems or the
last century may eventually be replaced, or at least diluted, by an alternative. In the new paradigm, control is more dispersed,and universal SQRA is replaced by heterogeneous service tai-lored to the requirements o highly diverse classes o end-uses.Tis shi may be thought o as comparable to the replacemento centralised computing by desk and laptop computers, or theswitch rom land based telecommunications to mobile devices.Our current power delivery paradigm has been in place world-wide or a long time, i.e. since the emergence o polyphase ACsystems around the turn o the last century. SQRA targets are
consistent virtually all across vast regions, e.g. all o North
America, and where standards cannot be met, it is usually the
result o a local technical dif culty and not the outcome o a
deliberate attempt to deviate rom the norm. Emerging changeson the demand-side include our seemingly unquenchable thirstor electricity, in large part driven by the increasingly dominant
role o commercial building use in post-industrial economies,by an emerging digital age that is signicantly tightening our
SQRA requirements, by the emergence o viable small-scaleossil generation oen with power electronics and CHP, andby an urgent need to incorporate small-scale renewable gen-
eration to abate carbon emissions. Meanwhile, on the supply-side, concerns about terrorism, restrictions on system expan-sion, and the uncertainties o volatile markets in energy-short
times bring our ability to maintain current SQRA standards
into doubt.
Two Visions of the Future Grid
wo alternative visions in current currency o how the power
system might be retooled to provide high SQRA are a
super-
 grids
view and a
dispersed 
paradigm. Tese are obviously only 
two o many possible paths and ull justice cannot be given here
to the technical intricacies o any specic vision. Te intent is
only to contrast in a comprehensible way the central theme
o two divergent alternatives. For more detail on a supergrids view, see Gellings
et al 
(004), Amin (005), or Amin and Wol-lenberg (005). A comprehensible vision or a dispersed grid is
presented by the European Commission (2006), or, or other
 voices rom the dispersed camp, see Lasseter
 
(006) or Marnay 
and Venkataramanan (2006), but these are by no means the
only contributors to this ongoing debate.
SUPERGRIDS VISION
A supergrids vision is shown in Figure 1. Te x-axis o Figure 1shows the history o the current centralised paradigm, and they-axis reliability expresses as nines, e.g. 3 nines implies 99.9 %
availability. Te equivalent annual expected outage times are
shown or reerence. Te SQRA o delivered electricity has mul-
tiple dimensions, e.g. voltage swells and sags, harmonic distor-tion, etc. Reliability is used here as a representative dimension
because it is much more easily comprehended than others,
and we have some intuitive sense o its historical trajectory, asshown. In the early days o centralized power systems, electric-ity was supplied by small local stations with only very ew gen-erators to a limited number o customers, in the very early daysusing DC. Tese highly unreliable systems were consolidatedby ones covering large areas based on Nikola esla’s conceptsor large-scale AC systems. Tis interconnection naturally im-proved reliability because many more generators were simul-taneously available. Te green arrow shows how this process,
together with signicant and steady technological progress,resulted in steadily improving reliability, reaching the levels
experienced in North America today; however, note that reli-
1,074 MARNAY, FIRESTONE
Figure 1. Schematic of a Supergrids Vision
 
PANEL 1. THE FOUNDATIONS OF A FUTURE ENERGY POLICY
 
ECEEE 2007 SUMMER STUDY • SAVING ENERGY – JUST DO IT!
33
 
ability is considerably better in western Europe, and better stillin some Asian countries, notably Japan. Te red arc reects thegreat concern in North America ollowing the huge New York blackouts o the 1970s that backup gensets or other emergency 
sources be provided to critical loads, and such requirements
became embedded in building codes. Tus, over the last quar-ter century or so, a separate higher reliability service has beenintroduced by installing generation close to sensitive loads.Te supergrids camp holds that deployment o diverse suiteso new technologies can signicantly improve the perormance
o all elements o power systems built around the traditional
paradigm; i.e., delivered SQRA can be dramatically improvedwithin the existing ramework. In the schematic, this is shown
by the arcing curves into the uture. While much o the im-provement inevitably must come in the distribution system
because most outages and power quality problems occur there,
over 90 % o interruptions in the case o North America. Distri-bution represents the most vulnerable link in the delivery chain
because o its sheer size and dispersion, as well as its exposureto the myriad hazards o extreme weather, accidents, and mis-chie. Even in the supergrids view, inevitably there will be end-
uses that require SQRA beyond even the perormance o the
much enhanced delivery chain, but these can be kept to a mini-
mum; i.e., the gap between dashed curves can be kept small.
Tis vision imagines massive investments in new technologiesor electricity delivery, such as superconducting lines, etc.
DISPERSED GRID VISION
In this view, traditional universal service upstream o the sub-
station is not improved signicantly but rather holds steady 
at current levels, as seen in Figure  as
universal homogeneousSQRA
. In other words, operation o the high voltage transmis-sion system and everything upstream o it are operated as now,
with similar rules and conventions,
and similar SQRA stan-dards
. Sensitive loads are then increasingly served locally intwo ways: rst, improvements in the distribution system are
deployed to improve on the existing system’s weakest link; andsecond, widespread use o supply and other resources close to
sensitive loads protect them at the levels they demand. Tisis shown in the gure as
local heterogeneous SQRA
. In otherwords, end-uses are serviced with SQRA tailored to their re-quirements. In a sense, this vision is one o increasingly het-
erogeneous SQRA downstream in the power system. Te tra-ditional universal SQRA is retained in the high voltage meshedgrid, but the distribution network has diering levels o invest-ment in equipment to enhance SQRA, and nally within cus-tomer sites, SQRA is ultimately matched to end-uses by meanso segregated circuits or by provision o high quality service atthe point o end-use, either by microgrids or power condition-ing equipment. In this dispersed paradigm, μgrids enter in two
ways, as coordinated groupings within the distribution net-
work that can operate semi-autonomously o the high voltagemeshed grid upstream o substations, and downstream o themeter where sources and sinks are organized to jointly provideheat and electrical energy, as well as heterogeneous SQRA.
Europe
Early μgrid RD3 in Europe occurred within the 5
th
Framework 
Programme (1998-2002). A Consortium led by the Nationalechnical University o Athens (NUA) included 14 part-ners rom 7 EU countries, including utilities, e.g. Électricitéde France, equipment manuacturers, e.g the German power
electronics company SMA, and research institutions and uni-
 versities, e.g. Labein. Te main objectives were to study highrenewable and other microsource penetration into the grid,μgrid islanding operation, and μgrid controls. Several levels
o centralized and decentralized control were explored at sev-
eral laboratories, notably the Institut ür Solare Energiever-
sorgungs-technik at the University o Kassel, the University o Manchester, and the National echnical University o Athens.
 
A ollow up project was completed within the 6
th
Framework Programme (00-006), again led by NUA but with a some-
1,074 MARNAY, FIRESTONE
Figure 2. Schematic of a Dispersed Vision
of 00

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