As the world races towards a greener future, many are increasingly turning towards renewable energy sources to power their operations. However, writes Craig Tropea, account manager at POWWR, what is interesting is how many businesses, communities, and individuals are taking the pro-active position of researching, selecting, and implementing their preferred solutions without the assistance of traditional players.
Leading the way are the big box retailers, whose sprawling rooftops present vast untapped potential for solar.
So much so, that a report by Environment America Research & Policy Center suggested that the rooftops of America’s big box stores and shopping centres have the potential to generate 84.4TWh of solar electricity each year; enough to power almost 8 million homes.
Impressive numbers
Walmart has become a poster child for the movement. The retail giant is said to have more than 780 million combined square feet of rooftop space throughout its estate that can be used for solar energy systems, and many of it now is. In fact, it currently has over 600 projects in operation or under development and has further committed to add 10 GW of clean energy capacity by the end of 2030. These are impressive numbers.
The company has become so successful at generating its own renewable energy that it now sells off the excess to the communities nearby its stores. As Vishal Kapadia, its senior vice president, energy transformation explained: “The role we play in our communities provides us with a tremendous opportunity to help people transition to clean energy in a way that also helps them save money and live better.”
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No surprise
It is not just retailers that are seeing the benefits of microgrids, though. Another key sector is data centres. It is perhaps no surprise. Data centres are big energy consumers that devour around 2% of the world’s electricity. This is a problem that is not going to go away.
Their need for more computing power and storage is rising even higher with the emergence of artificial intelligence (AI) technologies. This is putting immense pressure on existing data centres to operate more efficiently whilst minimising their environmental impact.
As energy consumption by data centres grows exponentially, adoption of locally managed microgrids is proving necessary to help them take more control of their power supply. After all, microgrids provide them with the ability to minimise the impact of regional power outages and disruptions that could otherwise be catastrophic.
Technology advancements are an important catalyst
The move towards microgrids has been as much about regaining control as lowering costs. A microgrid can empower a business to not only control when they take energy off the grid but ensure they can push it back to the grid when it provides the best returns.
Technology advancements are an important catalyst. The latest AI-backed software platforms can analyse huge amounts of data in record time, so that businesses are able to forecast demand, scheduling, and position reporting effectively. Modern distributed energy resource management systems (DERMs) can also help ensure a microgrid works optimally by ensuring energy is correctly balanced throughout the grid.
There is no doubt that improvements to battery technology have also played a part. Modern lithium-ion batteries have far better energy density than in the past, allowing for longer-lasting batteries in smaller, lighter packages. Additionally, many new battery technologies are quickly changing the game. Lithium-Sulfur, Sodium-Ion, Ion-Air and Zinc base batteries are all currently being researched and developed in order to compete with more traditional, Lithium-ion batteries in terms of cost, sustainability, and efficiency.
Watch this space
We are even seeing the theory of the microgrid go one step further. Businesses or communities are banding together to create a Virtual Power Plant (VPP) that integrates multiple distributed energy resources to operate collectively as if they were a single, unified power plant. To work effectively though, these VPPs need to be coordinated using advanced software platforms so that energy production, storage, and consumption is optimised in real-time.
VPPs, such as those offered by Tesla, have the same benefits as private microgrids – grid reliability, integration of renewables, cost-effectiveness, and energy efficiencies – but are often multiplied due to economies of scale. Watch this space, because I see no reason for their adoption and implementation to slow down.
Becoming one’s own energy supplier
Microgrids will be crucial in supporting our aging power grid and moving us towards a more decentralised, renewable-based energy system. Costs of set up are coming down all the time, opening the process up to smaller and smaller companies.
Yet, setting up a microgrid remains a somewhat complicated process. Batteries can still be expensive. Plus, the available space is necessary to house the solar array in the first place. Weather, location, and regulations can also come into play to hamper the progress.
However, the benefits generally outweigh the risks. Becoming one’s own energy supplier can be an attractive prospect and is something I’d expect to see more and more do in the future. This is a good thing.
It is good for businesses, good for electricity customers, good for the grid, and good for the environment.