What is a Microgrid and How Does it Work? A microgrid is a distribution network that incorporates a variety of distributed energy resources (DER) that can be
optimized and aggregated into a single system. The integrated system can balance loads and generation with or without energy storage and is both capable of islanding and operating in parallel with a traditional utility power grid. A microgrid incorporating Capstone combined heat and power (CHP), solar, and battery storage can help many facilities substantially reduce their energy costs for both base and peak load, especially when compared to using either CHP or solar PV and battery storage alone. Additionally, an on-site microgrid system can increase the value of your property assets and meet sustainability goals for your business or institution.
