Microgrids and Their Application for Airports and Public Transit (2018) / Chapter Skim
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Pages 7-15
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7 The advancement of DER has had a large role in making microgrids technically feasible. Reductions in solar panel and turbine costs have made on-site generation feasible and, in some cases, even cost-competitive with utility grid power.
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8 Microgrids and Their Application for Airports and Public Transit Developing a complex, advanced microgrid system requires considerable time, financing, resources, and cooperation. Many microgrids can be developed in incremental steps, however, transitioning to a fully capable microgrid over several phases of system integration.
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Background 9 Remote 39.7% Direct Current 0.4% Operational Microgrid Power Capacity by Segment, World Markets: 2Q 2017 Commercial/Industrial 24.2% Community 5.1% Utility Distribution 8.0% Institutional/Campus 16.8% Military 5.8% Figure 3. Operational microgrid power capacity market share by segment (Navigant Consulting, Inc.
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10 Microgrids and Their Application for Airports and Public Transit Figure 5. Planned microgrid power capacity market share by region (Navigant Consulting, Inc.
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Background 11 Natural and Human-Made Disasters One major catalyst to project growth has been funding in response to natural disasters such as Hurricane Sandy (often called "Superstorm Sandy")
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12 Microgrids and Their Application for Airports and Public Transit The National Oceanic and Atmospheric Administration (NOAA) has recorded billion- dollar weather events through July 2017.
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Background 13 systems and to eliminate costly downtime. Additional benefits and advantages of microgrids can be summarized as follows: • Resiliency: Resiliency refers to the ability of a system to adapt to changing conditions and withstand and recover quickly from disruption (DOE 2016)
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14 Microgrids and Their Application for Airports and Public Transit Microgrid Ownership, Revenue Streams, and Funding This section of the synthesis report presents an abbreviated summary of key points about microgrid ownership models, revenue streams, financing, and funding. The DOE has drafted a Microgrid Playbook for Decision Makers (final version pending release)
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Background 15 • Public or private debt; • Public or private equity; • Public taxable/non-taxable bonds; • Service agreements; and • State energy resiliency banks or "Green" banks. In recent years, extreme weather events have unlocked a number of funding mechanisms such as state- and federal-funded microgrid feasibility studies, tax incentives for system purchases, and grants for microgrid project design and construction.
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