Microgrid company profit model

What is a microgrid business model?

With respect to microgrids, a business model defines the way in which a microgrid project or business is planned, implemented, and executed to meet strategic objectives. Strategic objectives can range from community resiliency to renewable energy integration to greater profit for a new economy enterprise such as a data center.

Can a microgrid be commercially & financially viable?

For a microgrid to be commercially and financially viable, it must address both the technical (e.g., plan, operations, components, and functions) and commercial (e.g., revenue, expense, and profit) components of the business model definition.

Who is collaborating on community microgrid ownership models?

Community Microgrid Ownership Models Pacific Energy Institute would like to thank Jared Leader of SEPA for his collaboration on multi-user microgrids and Prof. Maggie Winslow, Eric Ackerman, Johanna Zetterberg, Madison Hoffacker and Patty Cook for their review of this paper.

What is a microgrid planning capability?

Planning capability that supports the ability to model and design new microgrid protection schemes that are more robust to changing conditions such as load types, inverter-based resources, and networked microgrids.

Why are privately owned microgrids barred from becoming operational?

Due to the nature of multi-user microgrids crossing a utility’s infrastructure, privately owned microgrids typically have been barred from becoming operational, largely because the microgrid overlaps the utility’s jurisdiction and presents an issue of oversight for the state’s public utility commission.

How much does a microgrid cost?

The Distributed Energy Resources (DERs) used in microgrids are also more expensive than those used in traditional power plants. Building a new microgrid or transforming a current system into a hybrid system can cost around 10,000 or even hundreds of millions.