Despite continually falling costs, renewables have yet to see grid-wide adoption. However, sustainable power initiatives on a smaller scale have achieved impressive results. As these microgrids become increasingly common, they could pave the way for a greener, more reliable future.
Many microgrid projects don’t start with climate resilience in mind. Rather, they’re usually ways to bring power to remote communities, and renewables end up being the best way to do so. Whatever the reasons, these decentralized, often simple setups may offer a glimpse into the energy industry’s future.
The Growth of Renewable Microgrid Generators
Microgrids themselves are nothing new. Independent energy networks have been around almost as long as electrical service itself, especially in factories, small towns and construction sites. Historically, though, these networks have often relied on conventional means of generating electricity, including using fossil fuels. That’s starting to change.
Several recent projects under the Department of Energy’s Energy Improvements in Rural or Remote Areas (ERA) program feature renewable microgrid generators. One project involves a 120-kilowatt (kW) solar array that will provide power to remote native communities in Alaska. By reducing diesel consumption by up to 40%, the installation will significantly lower the cost and emissions of the area’s electrical needs.
Another winning project will use a 2.5 kW solar panel setup to electrify 300 tribal homes that spend up to half their income on energy. Interestingly, this microgrid features something seeing growing attention in conversations about the national grid — battery storage. The use of batteries ensures the solar panels’ intermittency doesn’t limit the availability of electricity, even when peak consumption doesn’t align with peak generation.
Commercial microgrid projects have also switched to renewables. In 2020, a construction site used hydrogen fuel cells to power 20 on-site cabins for offices and meeting rooms while the area was disconnected from the larger grid. A 216 kW battery array provided backup energy to ensure consistent service.
Promoting Further Expansion
Renewable microgrids like this will become increasingly common as pressure to reduce emissions rises. Government projects like the ERA program help by offering funding to offset the initial costs that may otherwise hinder their development. Canada’s Smart Renewables and Electrification Pathways (SERP) program, for example, has already allotted $346 million to renewable energy projects.
Simple economics have become a factor, too. In many areas across the globe, renewables are the cheapest form of energy available, and technological advances will only make them more affordable. As a result, they’re a natural fit for powering remote microgrids. Ongoing costs are likely to be a larger concern in isolated, often poorer, communities, so moving away from the price volatility of fossil fuels makes the most economic sense.
The Next Step for Microgrids
The growing adoption of renewables in remote microgrids serves as a proof of concept. With more of these communities seeing marked improvements in energy costs and emissions, it becomes harder to ignore the broader potential.
Instead of struggling to make renewables work on a nationwide scale, utility companies could build a network of microgrids, which we already know work with renewables. Providing enough battery storage to support solar power across an entire city may be challenging and expensive. Applying the concept to individual neighborhoods, each with its own energy generation, storage and distribution systems, is less so.
Of course, it will take substantial time and investment to reorganize the nation’s energy infrastructure as a collection of microgrids instead of a large, central grid. However, the transition could start in remote communities and new facilities before moving to big city neighborhoods. Existing examples suggest it’s possible.
Microgrids Could Hint at the Future of Energy
An entirely green grid will require a change in the way we think about power distribution. Recent community microgrid projects hint at a solution. While much is still uncertain about the future, the success of these installations shows promise as an alternative to today’s grid infrastructure.