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MICROGRIDS: INSOURCING MORE RELIABLE ENERGY RESOURCES TO CONNECTICUT TOWNS AND CITIES FIRST DRAFT FOR DISCUSSION PURPOSES ONLY EXECUTIVE SUMMARY Over the past eight years, many Connecticut municipal officials have developed a strong motivation to insource energy to their communities by developing peer-to-peer distributed energy networks known as microgrids. Their motivations stem from a desire to supplement the existing utility company grid to increase reliability and also to lower costs and environmental footprints. They envision that local microgrids will be collectively owned and run by energy users in Energy Improvement Districts (EID’s) enabled by State law in 2007 or, alternatively, as Connecticut Electrical Cooperatives enabled in 1971. Microgrid architecture integrates demand from neighboring energy users and in-sources power supply with an optimized mix of on-site technologies, thereby reducing demand and enhancing local generation. Demand-side investments in a microgrid might include building control and demand response systems or the installation of more efficient end-use equipment. Supply-side investments in the 2 to 20 MW range might include engines or turbines for combined heat and power plus renewable energy such as fuel cells, waste-to- energy systems or building-integrated solar and wind systems. While several towns and cities have established EID’s, a number of issues have prevented the establishment of the State’s first community microgrid. Chief among these are: 1) a need for technology to interconnect microgrids safely to the utility company distribution grid; and 2) a need to balance microgrid benefits between microgrid users, other energy users and utility company shareholders. On March 6th, therefore, a number of microgrid stakeholders will gather at Trinity College for the Connecticut Distributed Energy Solutions Summit. Stakeholders will include municipal officials, EID Board members, and large private energy users. State energy regulators, legislators, and utility company officials will also participate in the Summit along with companies that design, finance, build, own and operate microgrids. In the wake of widespread outages during Hurricane Irene and last year’s early-season snow storm, the Solutions Summit answers the calls of the Governor and some members of the State Senate for an expansion of distributed energy throughout Connecticut. The purpose of this paper is describe the depth of municipal interest in installing microgrids and to frame some of the issues that have retarded development of microgrids so that they may be addressed at the Summit. While the Solutions Summit will consider what can be learned from the few distributed generation and municipally-owned distribution systems that performed well during the storms, a review of utility company performance in restoring power will be left to others. Performance during the storms may have differed considerably both between the State’s two Page 1PDF Image | MICROGRIDS
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