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TECHNICAL



           A fully developed microgrid has the   studying one-of-a-kind ice cores from the Arctic will lose ancient history if the cores melt; and
        capability of automatically disconnecting   data centres that process millions of financial transactions daily require constant power to
        and operating independently from     ensure the flow of capital.
        the main grid. For example, if a storm
        disrupts energy service from the main   Incentives
        grid, automated controls will reduce   Government incentives for energy efficiency, renewable power generation and electric vehicle
        non-critical loads (selected lighting, HVAC   infrastructure all stimulate investment in advanced energy infrastructure.
        systems, etc.) and the microgrid will
        distribute power from on-site generation   Benefits to energy consumers
        and storage for an extended period of   Reliability
        time. When the main grid is back online,   Energy consumers have high expectations for reliable, high quality electricity but they don’t
        the microgrid will automatically reconnect,   expect to pay a lot for it. They need the lights to stay on, production lines to keep running
        recharge energy storage, and ramp    and energy costs to be low. Increasing the amount of on-site energy (generation and/or
        down on-site generation as appropriate.   storage) with a microgrid solution reduces the risk of a catastrophic power loss and may
        Microgrids will get approximately 20 to   lower costs.
        25% of their on-site power generation
        from renewable technologies integrated   Efficiency
        with thermal energy storage and electric   Lowering consumption is the fastest way to impact energy costs. A first step is creating
        battery storage if cost competitive.  transparency throughout the system with advanced metering to drive savings – “what gets
                                             measured gets managed.” Implementing other technologies, such as energy efficient lighting,
        Market drivers                       variable frequency drives (VFDs) on motors and chiller/boiler upgrades, will further improve
        The key factors influencing the      energy efficiency. Increasing the amount of on-site generation has the added advantage of
        emergence of microgrid solutions are the   minimising transmission and distribution line losses.
        vulnerability of energy infrastructure to
        cyber threats, growing energy demand,   Security of supply
        the need for reliable and secure power,   Energy supply is vulnerable to acts of terrorism, natural disasters, and other risks. Increasing
        and external incentives.             the amount of on-site generation in conjunction with appropriate physical and cyber security
                                             measures is a risk mitigation strategy.
        Cyber security
        As the reliance on modern            Sustainability
        communication technology increases   A growing number of organisations place a higher value on renewable energy generation and
        (wireless, cloud computing), power   are committing to long-term targets, regardless of the expected time to recoup the investment.
        systems are vulnerable to cyber-attacks   For example, a university may want to serve as a “living laboratory” for environmental
        and hackers. In some specific customer   engineering and technology developed by its students and researchers, or a manufacturer
        segments, such as the military and   may want to increase its Dow Jones Sustainability Index score by reducing GHG in their
        research labs, there is significant value in   production processes.
        a secure network.
                                             Evolution of energy modernisation
        Growing demand                       Implementing a microgrid solution will involve four phases: demand reduction, on-site
        The population is growing rapidly, and   generation and storage, advanced controls and automatic grid independence (see Figure
        more electricity is being used per person,   2). Each phase is not completely distinct, nor must they be implemented in sequence –
        increasing congestion and stress on   there are areas of overlap. Generally, a customer that follows this path will have the lowest
        the physical grid and on the utilities   lifecycle cost. More mature and economic technologies will be implemented first, and
        tasked with managing it. In addition,   newer technologies, which may not yet have very favourable cost/benefit ratios, will be
        the locations of demand growth are   implemented later.
        unbalanced, which poses a challenge to
        maintaining the reliability of the system.

        Reliable and secure power
        Certain commercial and industrial
        environments have a critical need for
        a constant power supply and cannot
        afford brownouts or blackouts – research
        labs, data centres, semiconductor
        manufacturing and infrastructure deemed
        critical to national security. For example,
        research labs conducting trials may
        require a certain temperature and air
        quality to have the results compliant with
        the FDA; climatologists in San Diego   Figure 2



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