Why microgrids are becoming an important part of the energy infrastructure

The term “microgrid” is somewhat non-specific and always changing. This is not necessarily a bad thing. In one form or another, microgrids have been in the energy service toolbox for 30 years. However, with the evolution of software systems, cost reductions in energy technology, and increasing customer drive for sustainability, reliability, resilience, and cost predictability, microgrids have become more capable today and have experienced a surge in deployment. Make no mistake, the growth is customer driven. So, what does the future hold for microgrids? If customers continue to seek cost predictability, sustainability, and reliability/resilience in their energy services, then long-term growth in the microgrid industry should be obvious, even in the face of resistance from utilities and policymakers. Where will microgrids be in 2035? 2050? Will utilities embrace microgrids? Will policymakers become facilitators of microgrids? Will municipalities and rural cooperatives use microgrids to hedge costs and improve sustainability and resilience for their citizens/members? This article will discuss the trends and drivers stemming from the early days of microgrids that still exist today which likely lead to an institutionalization and growth of microgrids in the future.