Distributed Energy Resources – Microgrids

Summary

The script discusses the challenges of energy supply and demand in the face of technological advancements, introducing distributed energy resources (DER) as a solution. DER systems, which include alternative energy sources, energy storage, and inverters, offer businesses a reliable, affordable, and clean way to meet energy demands. The script outlines steps for implementing DER, emphasizing the benefits of increased reliability, reduced costs, and environmental sustainability, and suggests contacting experts for further assistance.

Takeaways

• 🌐 The way businesses use energy is evolving with new technologies, but this can disrupt the balance of energy supply and demand, posing risks to productivity and revenue.
• 🔌 Traditional energy generation relies on large, remote power stations that use various sources, including coal, gas, nuclear, and renewables, and deliver energy through a complex grid system.
• 💡 The grid's reliability can be compromised, leading to situations where facilities may not receive power despite demand, impacting production and revenue.
• 🌟 Distributed Energy Resources (DER) offer an alternative, allowing businesses to generate and store energy on-site for more efficient use during peak times.
• 🔄 DER systems consist of alternative energy sources, energy storage units, and an inverter and distribution unit that manage energy flow within the facility.
• 🌞 Facilities with solar and wind power can maintain production during grid outages, but storage is essential for when these sources are unavailable.
• 🔌 Advanced inverters, such as island inverters, can disconnect from the grid for safety while continuing to power the facility, preventing 'islanding'.
• 🔄 A control unit directs energy to where it's needed, sending it to the facility during high demand and to storage during low demand or surplus.
• 🔋 Energy storage units, typically batteries, store excess energy for future use, enhancing the value of the DER system and enabling microgrid capabilities.
• 🛠️ Implementing a DER system involves conducting an energy assessment, understanding peak usage, and considering equipment and conditions necessary for energy production and storage.
• 🌿 DER systems are beneficial for the bottom line and the environment, offering reliability, cost savings, and clean, renewable energy options.

Q & A

How is the traditional energy supply system described in the script?

The traditional energy supply system is described as having large energy-generating stations scattered around the state, usually in remote areas, which produce energy using various sources such as coal, gas, nuclear, and renewable energy. Energy is then delivered to end-users through complex transmission and distribution systems known as the grid.

What challenges does the current energy grid face according to the script?

The script mentions that the current energy grid faces challenges in meeting the increasing demand for electrical energy, which can lead to problems that put companies at risk of decreased productivity and lost revenue.

What is the alternative solution presented in the script to meet a facility's energy demands?

The script presents distributed energy resources as an alternative solution, which can help a business use energy more efficiently by creating and storing it on-site for use at peak operating times.

What are the components of a distributed energy system as described in the script?

The components of a distributed energy system include alternative energy sources for electricity production, energy storage units, and an inverter and distribution unit that controls how energy is distributed on-site.

How does an inverter function in a distributed energy system?

An inverter in a distributed energy system converts the direct current produced by most alternative energy sources into the alternating current required by business equipment.

What is the purpose of preventing islanding in inverters?

Islanding prevention in inverters is primarily for the safety of grid workers, ensuring that power production on-site does not continue while the grid is down.

What is an 'Island inverter' and how does it differ from a standard inverter?

An 'Island inverter' is designed to disconnect from the grid for safety while continuing on-site power production, unlike standard inverters that prevent islanding to ensure grid worker safety.

What role does a control unit play in a distributed energy system?

A control unit acts as the hub to route where the energy goes next, sending it out to the facility during high demand and routing surplus energy to a storage unit during low demand.

How can a distributed energy system reduce electricity costs for a business?

A distributed energy system can reduce electricity costs by allowing the business to purchase less energy from the grid, especially during peak times of use, and by avoiding demand charges.

What are some steps a business should take to implement a distributed energy system?

Steps include conducting a thorough energy assessment, obtaining a full year of electric bill data, assessing peak energy use, determining barriers to energy improvements, considering equipment needs for energy production and storage, and evaluating other considerations such as electrical service and wiring.

How can a business get assistance with assessing the effectiveness and cost of distributed energy resources?

A business can contact the Clean Energy and Transportation Initiative or STEADY at WWC ETI education org to be put in touch with an expert who can provide assistance.

Outlines

00:00

🔌 The Challenge of Energy Supply and Demand

This paragraph discusses the evolving landscape of energy usage in businesses and the challenges it poses to the existing electrical grid. It highlights the reliance on large, remote energy generating stations that use various sources like coal, gas, nuclear, and renewables. The script explains how these stations deliver energy through a complex grid system, which can be vulnerable to disruptions affecting businesses' productivity and revenue. The paragraph introduces the concept of distributed energy resources (DER) as a solution to increase energy efficiency, reliability, and cleanliness by generating and storing energy on-site, especially during peak times. It also touches on the components of a DER system, including alternative energy sources, energy storage units, inverters, and distribution units, and the importance of preventing 'islanding' for safety.

05:02

🌱 Implementing a Distributed Energy System

The second paragraph delves into the steps and considerations for implementing a distributed energy system within a facility. It emphasizes the importance of conducting an energy assessment to identify areas for improvement, such as increased reliability, lower emissions, or reduced peak demand charges. The summary advises obtaining a full year of electric bill data to understand energy consumption patterns and to assess peak usage times. It also mentions the need to consider regulatory barriers, local permits, and codes, as well as the impact on other tenants. The paragraph outlines the process of evaluating the necessary equipment for energy improvement, considering power needs and operational conditions such as weather or sunlight. It concludes by discussing the benefits of a microgrid-style system, including reliability, cost-effectiveness, and environmental friendliness, and suggests contacting the Clean Energy and Transportation Initiative for expert assistance.

Keywords

💡Energy Supply and Demand

Energy supply and demand refers to the balance between the amount of energy produced and the amount of energy consumed. In the video, it is mentioned that changes in the way businesses use energy can affect this balance, leading to potential risks for companies, such as decreased productivity and lost revenue when the grid struggles to meet the increasing need for electrical energy.

💡Grid

The grid is the network for delivering electricity from power stations to end-users. It is composed of transmission and distribution systems. The video script highlights the grid's role in delivering energy and the problems that can arise if something happens to it, such as a power outage, which can lead to no energy production and subsequently no revenue.

💡Distributed Energy Resources (DER)

Distributed Energy Resources are systems that generate and store energy on-site, providing a more efficient and reliable alternative to traditional grid reliance. The video emphasizes the benefits of DER, such as affordability, reliability, and cleanliness, and how they can be used to meet a facility's energy demands during peak times or in the event of a grid power outage.

💡Alternative Energy Sources

Alternative energy sources are non-traditional energy sources like wind and solar, which are used in DER systems. The script discusses the integration of these sources into a business's energy strategy to create a more sustainable and less grid-dependent energy supply.

💡Inverter

An inverter is a device that converts direct current (DC) produced by alternative energy sources into alternating current (AC), which is used by most business equipment. The video explains the importance of inverters in the DER system, especially the newer 'Island inverters' that can disconnect from the grid for safety while continuing on-site power production.

💡Energy Storage

Energy storage refers to the practice of storing energy for future use, typically in batteries. In the context of the video, energy storage units are part of the DER system, allowing businesses to store excess energy generated during low demand periods and use it when needed.

💡Micro Grid

A micro grid is a localized group of energy resources that operate as a single controllable entity and can disconnect from the grid to operate independently. The script describes how adding energy generation and storage resources can free a business from the grid and allow it to operate in any situation, including during a power outage.

💡Energy Assessment

An energy assessment is a process of evaluating a facility's energy use to identify areas for improvement. The video script outlines steps for conducting an energy assessment, such as obtaining electric bill data, assessing peak energy use, and identifying potential barriers to energy improvements.

💡Peak Demand Charges

Peak demand charges are fees charged by utilities based on the highest rate of electricity consumption during peak times. The video mentions that a DER system can help reduce these charges by providing energy during peak times, thus lowering the overall electricity costs.

💡Regulatory Barriers

Regulatory barriers are legal or policy-related obstacles that may prevent or complicate the implementation of certain energy projects. The script advises considering any regulatory barriers when planning for energy improvements, as they can affect the feasibility of distributed energy resources.

💡Renewable Energy

Renewable energy is energy generated from natural resources that are replenished on a human timescale, such as sunlight, wind, and water. The video emphasizes the use of renewable energy in DER systems, highlighting its benefits in terms of being pollution-free and sustainable.

Highlights

The way businesses use energy is changing due to new technologies, affecting energy supply and demand balance.

The current energy grid struggles to meet the increasing need for electrical energy, leading to potential productivity and revenue loss.

Energy is generated in remote areas using various sources like coal, gas, nuclear, wind, and solar, and delivered through complex transmission systems.

Distributed energy resources offer a more efficient way for businesses to use energy by generating and storing it on-site.

Distributed energy systems include alternative energy sources, energy storage units, and an inverter and distribution unit.

Facilities with alternative energy sources like solar and wind can maintain production during grid power outages.

Inverters convert direct current to alternating current required by business equipment and prevent islanding during grid outages.

Island inverters allow for disconnection from the grid while continuing on-site power production, enhancing safety and reliability.

A control unit acts as the hub to route energy to where it is needed, managing demand and surplus.

Energy storage units, typically batteries, store energy for future use, enhancing the value of distributed energy systems.

Implementing a distributed energy system can reduce electricity costs, including peak time of use rates and demand charges.

Islanding capability in a disconnected mode enables the creation of a microgrid, providing energy independence.

Conducting a thorough energy assessment is crucial for identifying energy improvement needs and understanding consumption patterns.

Obtaining a full year of electric bill data can help assess peak energy use and identify facilities in question.

Separate metering may be required for separate facilities to confirm energy consumption and identify potential improvements.

Understanding local permits and codes is essential for making energy improvements and implementing distributed energy resources.

Considering the levels of power needed and the time of day they are needed is crucial for optimizing energy production and storage.

Other considerations include electrical service and wiring, installation requirements, and training, which can impact the success of a distributed energy system.

An on-site microgrid system can positively impact the bottom line and the environment by providing reliable, affordable, and clean energy.

Contact the Clean Energy and Transportation Initiative for assistance with assessing the effectiveness and cost of distributed energy resources.

Transcripts

[Music]

[Music]

you

the way businesses use energy continues

to change

new technologies bring exciting growth

in many industries but these changes can

affect the delicate balance of energy

supply and demand as today's grid

struggles to meet the increasing need

for electrical energy problems arise

putting companies at risk of decreased

productivity and lost revenue here's how

it currently works huge energy

generating stations are scattered around

the state usually in remote areas these

facilities produce energy using coal gas

nuclear and more recently renewable

energy sources like wind and solar

energy is delivered to the end-user

through complex transmission and

distribution systems also known as the

grid this process appears seamless to

the end-user you flip a switch and a

light turns on but what if something

happens to the grid somewhere between

the generating station and your facility

you flip a switch and the light doesn't

turn on no energy means no production

and no production means no revenue now

there's another way to meet your

facility's energy demands that is

affordable reliable and clean it's

called distributed energy resources

distributed energy resources can help a

business use energy more efficiently by

creating it on-site and storing it for

use at peak operating times such an

energy system consists of alternative

energy sources which produce electricity

energy storage units to store it and an

inverter and distribution unit which

controls how energy is distributed

on-site this is the brain of the

operation facilities with one or two

alternative energy sources like solar

and wind can carry production along for

a while in the event of a grid power

outage but when the sun goes down or the

wind stops blowing those energy sources

are gone adding energy generation and

storage resources frees youth from the

grid and allows you to operate in any

situation the key to this process is

what happens to the electricity when you

have alternative energy sources the

energy your facility generates is

transported to an inverter an inverter

converts the direct current produced by

most alternative energy sources to the

alternating current your business

equipment requires most inverters need

ac signals from the grid to operate and

because the AC power produced by

inverters flows both ways to the

consumer and to the grid they are

designed to prevent

islanding or continued power production

on site while the grid is down this is

done primarily for grid workers safety

recently inverters are coming onto the

market as Island inverters these are

designed to disconnect from the grid for

safety while continuing on-site power

production to keep things running a

control unit another critical component

acts as the hub to route where the

energy goes next when there is high

demand for energy the inverter and

control unit sends it out to your

facility to power anything that needs it

buildings vehicles equipment and more

during low demand or when there is a

surplus of energy generated energy is

routed to a storage unit which consists

of batteries this energy storage unit

does just that stores energy for future

use together the system can reduce

electricity costs from the utility such

as peak time of use rates and demand

charges add the capability of islanding

in a disconnected mode and you now have

a micro grid now that you know what

components are needed to implement a

distributed energy system for your

facility it's time to take a closer look

at how to make this a reality

here are some steps you'll want to take

1 conduct a thorough energy assessment

of your facility make a list of where

your facilities need energy improvements

such as increased reliability lower

emissions or reducing peak demand

charges obtain a full year of electric

bill data which includes level of

electric energy consumed throughout each

day 15-minute increments would be ideal

assess where and when peak energy use

occurs separate metering may be required

for separate facilities to confirm the

facilities in question or under your

control

make sure the properties are under your

control or if they may be leased in

under constraints that could affect your

energy options determine if you have

other tenants that may be impacted 3

determine if there are any barriers to

making the energy improvements consider

whether any regulatory barriers make

understand what local permits and codes

will allow for consider what you need in

distributed energy resources to achieve

improvement goals after taking a look at

what you already have for energy supply

consider what equipment may be needed to

achieve the energy improvement to

identified consider the levels of power

you need and the time of day you need

them based on current consumption

patterns then consider the energy

producing capacity of the equipment and

the conditions that are needed for

operation for example weather or

sunlight energy storage may be needed to

maximize the value of your distributed

energy system and make it possible to

island like a true micro grid five other

considerations other considerations will

need to be made of course such as

electrical service and wiring

installation requirements and training a

qualified engineer or contractor will be

able to assist you in the evaluation

specification and procurement stages of

the project an on-site micro grid style

system can positively impact your bottom

line and the environment how its

reliable multiple energy resources built

into your current facility means

production continues even if the grid

fails or if one of your resources isn't

available its affordable

once your system is up and running

you'll enjoy low energy bills by

purchasing less energy from the grid

you might even choose to be off the grid

completely it's clean energy produced

from your alternative energy sources can

be 100 percent pollution free coming

from renewable sources that are

naturally replenished and practically

limitless if you would like assistance

with assessing the effectiveness and

cost of distributed energy resources for

your company site contact the clean

energy and transportation initiative or

steady at WWC ETI education org will put

you in touch with an expert near you

you