Creating an Efficient Electricity Grid: Distributed Energy Resources (DER)
In today's electricity market landscape, there's a growing interest in more efficient ways to generate and distribute electricity. One such concept that holds a key to a more efficient energy market is "Distributed Energy Resources" (DER). In this blog post, we will explain DERs and explore how it’s impacting power markets and consumers.
What are Distributed Energy Resources (DER)?
Distributed Energy Resources, often referred to as DER, is an interesting approach to electricity generation and energy storage that empowers the market to produce energy where it's needed the most. Traditional power generation has historically relied on large centralized plants located far away from populated areas. In contrast, DERs utilize a variety of small-scale power generation and electricity-saving technologies, such as solar power, wind power, and energy storage, that can be installed closer to where the electricity is consumed by end users.
DERs is a decentralized power generator offering benefits to the power market including resilience, efficiency, and reliability. By utilizing renewable energy sources and advanced smart grid technologies, DERs enable consumers to tap into a more reliable grid, potentially leading to cost savings over time.
Understanding the Types of DER
Solar Power and Wind Power
Solar panels and wind turbines are excellent examples of DERs. Solar panels convert the sun's energy into electricity, while wind turbines convert the wind resources into usable electrical energy. By installing these solar photovoltaic (PV) systems on rooftops, and solar PV and wind on open land, the market can directly contribute to the build-out of renewable resources.
Energy Storage
Energy storage is a crucial aspect of DERs, ensuring efficient management of surplus energy. Batteries, flywheels, and pumped hydro storage are examples of common energy storage systems that store excess energy during periods of low demand and discharge this electricity for use during peak demand or when renewable resources are not readily available.
Grid Resilience
One of the most significant benefits of DER is enhancing grid resilience. DER systems, including microgrids, can help power critical facilities like hospitals, military bases, and universities independently during grid disruptions or natural disasters. This way, essential services can continue even when the main power grid is affected or offline for days or weeks at a time.
Smart Grid and Energy Efficiency
DERs are a driving force behind the development of smart grids, which use digital technologies to optimize energy distribution and consumption. With real-time data and automation, smart grids may ensure more efficient consumption of electricity, reduce line losses and offer insights into where electricity is needed on the grid during peak demand events.
DER in Action: The Concept of Microgrids
Microgrids are a prime example of how DERs are transforming our power markets. Microgrids are smaller-scale grids that operate independently or in coordination with the main electricity grid. They encompass distributed energy systems and renewable energy sources like solar and wind. Microgrids can power communities, military bases, or large campuses, ensuring reliable and resilient electricity supply during outage events or grid disruptions.
The Journey Toward Smart Cities
As power markets embrace DERs and smart grid technologies, the market moves away from the dream and closer to the reality of smarter cities. In this scenario, energy systems are more integrated and intelligent, with DER playing a pivotal role in enabling cities to optimize energy usage, decrease electricity losses, and improve the overall quality of the power market.
Conclusion
Distributed Energy Resources (DER) allow the electricity market to tap into renewable energy sources, leveraging energy storage, and building smarter electricity grids. DERs empower the market to create a more resilient, reliable, and cost-effective electricity ecosystem. As the market continues to adopt different DER technologies, the industry moves closer to realizing the vision of smart cities that thrive on integrated resources that are in sync with one another.
