activated, allow the microgrid to flexibly schedule demand to
match generation. Lastly, some form of energy storage, either
electrical, such as batteries or flywheels, or thermal, such as
heat retained in an air-conditioned building's walls, is useful
to aid the balancing of supply and demand. Finally, a
sophisticated sensing, communications, and control system is
needed to link all these microgrid assets together. Key
characteristics of this system should include:
• Advanced high-speed control methods are needed to
maintain microgrid stability and provide intelligent and
dynamic operation, despite having no central point of grid
“inertia”[3] and [4].
• Advanced sensing, diagnostics, forecasting, and
adaptation technologies are needed to provide the
microgrid control system with detailed and up-to-date
information on the status of the microgrid [4] and [5]. Care
must be taken to ensure that a minimum number of sensors
are used and that the total capital outlay is also minimized.
• Integrated communications systems link the various
resources in the microgrid to ensure reliable operation,
even during typical communication outages [5].
• Advanced materials to provide economic,
high-performance energy storage devices, such as batteries
or flywheel technologies, will facilitate microgrids of
growing complexity and size.
The Advantages of Microgrids
While the previous sections suggest microgrids as a natural
path in the evolution of the wider electricity system, there are
also a number of discrete benefits for owners and operators of
microgrids.
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