Abstract:According to seismologists Chile has yet to face another big earthquake in the very near future, yet the country remains largely unprepared against massive electric power systems brake-down. The problem lies in the centralized electric power systems and the lack of adequate technologies and back-up/emergency power systems for disaster recovery. The flaws that are built into the very fabric of the presently centralized power systems were on full display in the February 27th earthquake in Chile. Nowhere it becomes more evident that hugely centralized power generation and distribution systems are extremely vulnerable and ineffective to disruptions from natural disasters, human error or other calamities. The large power networks that once proved very efficient and secure, are now at the center of discussion fueling the need for decentralization and the rapid growth of distributed generation (DG). Highly decentralized, diversified and DG-oriented energy matrix is notoriously much better suited to withstand these disasters. In centralized electric power grids, servicing large metropolitan areas, albeit with some but limited differentiation in service, can only be on or off, so either everyone gets power or no one does. This makes recovering power service in an emergency situation a much more difficult task. On the other hand, decentralized power systems (DPS) reduce the obstacles to disaster preparation and recovery by allowing the focus to shift first to critical infrastructure and then to flow outward to less integrated outlets. A DG-based model for a smart micro-grid based on hybrid electric power systems (HEPS) using both renewable energy technologies (RET) and conventional power generation units is presented. The hybrid energy system may be portable or fixed in one place, highly reliable, easy to assemble, modular, flexible and cost-effective solution, that is ready-to-run and go to where it is needed to supply power in natural disaster.