Abstract:
Microgrids are power systems having one or multiple distributed generators as power sources,
that serve locally connected load and have the capacity to operate in various modes such as gridconnected, islanded or hybrid mode. Microgrids are gaining widespread recognition among the
researchers as they offer cost-effective solution in unelectrified or under-electrified areas. This is
primarily because they offer easier integration with the conventional grid, thereby increasing the
reliability of power systems and significantly reducing high costs of power transmission,
distribution and dispatch. Optimal design, planning and scheduling of distributed generators plays
a pivotal role on the techno-economic aspects of the Microgrids. Thus, it is imperative to identify
the performance parameters of each distributed generators and obtain optimization within the
given set of physical constraints. In this thesis, the feasibility of deploying alternate sources is
determined first, by means of computer applications and optimal configuration of Microgrid design
is developed using HOMER (Hybrid Optimization of Multiple Energy Resources). In order to be
more comprehensive, a total of 10 distinct Microgrid scenarios are simulated having the following
distributed energy resources – Solar PV, Wind Power, Diesel Generator, Advanced Grid and
lithium-ion batteries as Energy Storage Devices (ESDs) in various configuration. The simulation
process is performed on the concept of the two main dispatch strategies – Load Following and
Cycle Charging. It is concluded that significant benefits in terms of power economics– Cost of
Electricity (COE), Total Net Present Cost (NPC), Capital and Operational Costs, Net Grid Sales,
System Emissions, Annual Fuel Consumption and Renewable Fraction are obtained for the
optimal system resulting in the increase of system reliability, reduction in the Cost of Electricity by
4.4% and increased energy storage capacity by 15% thereby contributing to the effectiveness of
the proposed scheme.
