ABSTRACT

This chapter examines the advantages and disadvantages of such mixes of “Distributed generators (DG) and grid” approaches, and provides some simple example studies to illustrate cases that compare “with grid” to “no grid” situations. It deals with a review of typical power grid reliability levels and pricing methods, and discusses the pros and cons of combined operation of DG with the grid. The chapter looks at a DG-grid interconnection case study in several scenario variations. The electric power “grid” is the local electric utility system. Regardless of the level of the system from which power is purchased, anyone buying power from the electric grid will have to pay for two aspects of the power purchased: capacity and energy. Many utilities or retail service companies, and probably, eventually, all energy service retailers under de-regulation, will offer a range of options with regard to service availability and price, beyond the standard services provided under traditional regulated utility pricing plans.