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The case for microgrids: Why localized power systems may become critical to energy-resilience strategies
Research - FEBRUARY 1, 2024

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The case for microgrids: Why localized power systems may become critical to energy-resilience strategies

by Paulina Torres, Elsa Wilson and Doug Mackenzie

The energy transition that the world must go through to meet climate goals and limit the effects of rising temperatures demands carbon-free, reliable and cost-effective power. The pathway to get there requires electrification of the built environment, adding intermittent renewables such as wind and solar to the grid, and optimizing power generation and distribution. Many power grids are already struggling to meet the demands placed on them today, and this will only be intensified by greater levels of electrification. According to the International Energy Agency (IEA), global electricity demand is expected to increase between 25 percent and 30 percent between 2021 and 2030.

At the same time, today’s power grids are aging and have little resilience against the increasingly frequent extreme weather events caused by climate change. These factors are driving the need for energy consumers to actively invest in resilient solutions. Companies can no longer wait for the utility to s

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