Microgrid

Microgrids are defined as a decentralized network of loads and energy generation units located
within specified electrical boundaries. They possess the ability to perform their operations under
the wide-area grid network or in their ‘island mode’, where they operate on their own without
exterior influence.

Microgrids can be classified into two main groups: AC and DC (“Alternating Current” and
“Direct Current”) microgrids based on their operational setup.

AC Microgrids
AC microgrids connect the various energy generation sources and loads in their network using an
AC bus system. Typically, AC microgrids consist of distributed generation sources such as
renewables, and conventional power generation sources such as engine-based generators. These
distributed generators are connected through an AC bus system with an energy storage medium
like battery energy storage system (BESS). Renewable generators such as solar photovoltaic,
wind turbines, etc. produce DC output. This output can be converted into AC through power
electronic-based converters.

Advantages of AC Microgrids
 Capability of integrating with conventional utility grid or in islanded mode make them versatile
 Compatibility with AC equipment such as AC-based loads like motors. This equipment can be
powered easily with the AC supplied from the microgrid
 No inverter requirement for AC loads
 Cost efficiency in the power protection systems
 Higher load availability for AC loads

Disadvantages of AC Microgrids
 Difficult controllability due to the factors of frequency, voltage regulation, and unbalance
compensation
 Lower power supply reliability can hinder the performance of equipment that requires an
adequate power supply for high-performance needs

DC Microgrids

The operational principle of DC microgrids is quite similar to their AC counterparts. The main
difference between them is the DC bus network for interconnection rather than the AC bus which
 interconnects the distributed generators and loads in the network. The operational voltage of
these DC buses often ranges from 350 to 400 Volts.
The main DC bus can be branched into other low voltage buses to fulfill the low voltage
requirements for electronics-based loads. Conversely, high voltage gain DC-DC converters in
DC-type microgrids increase the feasibility of connecting low voltage power sources like solar
modules (typically 20-45V) by boosting them to the high voltage DC bus. These converters can
be classified based on the extent of their voltage gain/power handling operation.

Advantages of DC Microgrids
 Higher conversion efficiency makes them an ideal option to run high-performance electrical
machinery
 Lower cost converter systems that can provide the additional cost benefits apart from the
renewable energy cost reduction factor
 Higher transmission efficiency due to no reactive current
 Higher power supply reliability even in the remote locations
 Relatively small cabling due to high voltage at low amperages
 Convenient controllability system that suffices without causing complexities such as
synchronization, harmonics, reactive power control, and frequency control

Disadvantages of DC Microgrids
 The higher initial investment can become an obstacle in their implementation
 Less market awareness with DC microgrids
 Lower compatibility with the AC loads, proportional to the number of AC-based loads
 Greater likelihood of voltage drop issues when no reactive power sources are present,
particularly for larger systems
 Greater complexity and costs when attempting to retrofit an existing AC system to DC

Why Choose Microgrids?

There are several reasons behind the popularity of microgrids.

First is their ability to incorporate a variety of energy generation methods, particularly renewable
energy.
Second, their adoption ensures uninterrupted energy supply in areas with an unreliable
centralized power grid or severe weather events. This makes them an attractive option for areas
facing severe climate patterns. Lastly, there are considerable potential cost savings associated
with microgrids.