A Microgrid Case Study for Ensuring Reliable Power for Commercial and Industrial Sites

Regular interruptions to the power grid supply are common in many parts of the world, with frequent black- or brown-outs occurring on a weekly or even daily basis. Unreliability of a grid can be due to various reasons, such as issues related to power generation, weak network/infrastructure or harsh weather. However, the problems faced by Commercial and Industrial (C&I) sites due to an unreliable grid are generally the same: 1) production loss, lowering of workforce efficiency and possibility of damage to machines/equipment. In many cases power outages on critical manufacturing lines will also damage the work-in-process, further impacting operational costs. In this paper, a business case is presented to demonstrate how microgrids are offering a sustainable alternative to a glass factory in India affected by recurring outages. Four scenarios, which are simulated and optimized using the HOMER Pro microgrid modeling software, are developed for the business case. The scenarios are built considering various options a C&I plant (consisting of diesel generator) can be upgraded using a battery energy storage system (BESS) and/or solar PV generation. A sensitivity analysis has also been performed to analyze the impact of a range of input factors which can help in achieving the most cost effective micro-grid solutions.