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Chapter 4 • Solar Power in the USA—Status and Outlook   77



                 4.4.4  A Vision for the Future of the US Grid—The Internet
                 of Interoperable Microgrids

                 In response to increased solar and rE penetration on the grid, local communities in the US
                 are creating customer-centric models for power generation, distribution, and purchasing
                 that diverge from the traditional investor-owned utility (IOU).
                   These new models, which are highly responsive to individual and community pref-
                 erences, are and will increasingly be enabled by the Internet of Things. Just as one can
                 now monitor sleep cycles, track personal fitness, and control room temperature through
                 smartphone apps, individuals and communities will soon be able to monitor energy
                 consumption and production from local sources, and use this data to make efficient and
                 effective demand response and purchasing decisions.
                   The centralized IOU brought electricity to every corner of the US. In today’s world of
                 individual choice, however, central generation can be viewed as a “one-size fits all” system
                 in which consumers have little to no control over the energy source, how power generation
                 aligns with demand, and pricing.
                   Net metering, time of use rates, and flexible ramping may soon be seen as a “band-
                 aid,” rather than a long-term solution for the needs of the modern US grid. New con-
                 ceptions of the electrical system are needed. An emerging alternative to the traditional
                 grid is the microgrid. The microgrid integrates increased distributed energy resources as
                 part of the optimal operation and management of an interconnected system. microgrids
                 may be the next evolution in grid operation as they enable increased renewable energy
                 integration, improved system resilience, and local economic revitalization. In addition,
                 microgrids enable new means of realizing the financial value of renewable energy and
                 demand response.
                   It is time for a reboot. The advent of Internet of Things (IoT) network connectivity en-
                 ables the rise of data-driven, community-tailored microgrids, and fleets of microgrids with
                 local distributed energy resources (DErs) that can be responsive to community preferences,
                 serve as a tool for local economic development and work in parallel with the grid. In addi-
                 tion, these microgrids can internally balance DEr variability to provide export consistency
                 and overcome other technical issues through innovations such as the Consortium for Elec-
                 tric reliability Technology Solutions (CErTS) microgrid architecture [49].
                   Emerging modeling software and graphical user interfaces (GUIs) will need to be em-
                 ployed to advance the grid of the future—an interoperable system that unifies distribution
                 system management with transactive energy purchasing.


                 References

                   [1]  E (n.d.). Electricity in the United States. U.S. Energy Information Administration. Available from:
                    https://www.eia.gov/energyexplained/index.cfm?page=electricity_in_the_united_states.
                   [2]  Quandrennial  Energy  review:  Second  Installment  (2017,  January  06).  US  Department  of  Energy.
                    Available  from:  https://www.energy.gov/epsa/downloads/quadrennial-energy-review-second-
                    installment.
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