This paper describes the economically optimal adoption and operation of distributed energy resources (DER) by a hypothetical California microgrid consisting of a group of commercial buildings over an historic test year, 1999. The optimisation is conducted using a customer adoption model (DER-CAM) developed at Berkeley Lab and implemented in the General Algebraic Modeling System (GAMS). A microgrid is a semiautonomous grouping of electricity and heat loads interconnected to the existing utility grid (macrogrid) but able to island from it. The microgrid minimises the cost of meeting its energy requirements (consisting of both electricity and heat loads) by optimising the installation and operation of DER technologies while purchasing residual energy from the local combined natural gas and electricity utility. The available DER technologies are small-scale generators (< 500 kW), such as reciprocating engines, microturbines, and fuel cells, with or without combined heat and power (CHP) equipment, such as water and space heating and/or absorption cooling. By introducing a tax on carbon emissions, it is shown that if the microgrid is allowed to install CHP-enabled DER technologies, its carbon emissions are mitigated more than without CHP, demonstrating the potential benefits of small-scale CHP technology for climate change mitigation. Reciprocating engines with heat recovery and/or absorption cooling tend to be attractive technologies for the mild southern California climate, but the carbon mitigation tends to be modest compared to purchasing utility electricity because of the predominance of relatively clean central station generation in California.
PrefaceIt has become apparent that the energy needs of today are not necessarily best met by the traditional, centralized power system paradigm. Increased desire for efficiency, security, stability, and local control of power quality and reliability all suggest modification of the central station tradition. Concurrently, the technologies required for such a paradigm shift are becoming a reality. What this new path might look like, and how it might be shaped by technological, economic and political factors, is addressed herein.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.
customersupport@researchsolutions.com
10624 S. Eastern Ave., Ste. A-614
Henderson, NV 89052, USA
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Copyright © 2025 scite LLC. All rights reserved.
Made with 💙 for researchers
Part of the Research Solutions Family.