A Distributed Energy Resource (DER) is an electricity generation system that includes several small-scale devices instead of a centralized power plant and distribution network. DER is also referred to as a distributed energy grid.
DERs provide electricity generation to the lower-voltage distribution grid which is the last stage of the power network which connects to end-user customers. Some types of DERs include rooftop solar, EVs and batteries.
DERs play an increasingly significant role in the transition toward cleaner energy systems. There are three main aspects of distributed energy resources: decentralized production, microgrids and energy storage.
Decentralized Production
DER systems are decentralized, consisting of various small, modular technologies located near the electrical demand which can be from residential, commercial or industrial users. This is contrasted to centralized systems, which are conventional power stations such as gas, coal or large-scale solar and wind power plants. Decentralized production technologies may include renewable energy sources such as wind power, solar power, biomass, biogas and geothermal power.
Microgrids
Microgrids are localized, small-scale power grids that can autonomously operate or connect to the centralized grid. Microgrids help mitigate disturbances, enhance grid resilience and typically use low-voltage AC grids. The role of microgrids is to incorporate and effectively manage power coming in from a mix of DERs.
Energy Storage
Another key aspect of DERs is distributed energy storage. These are grid-connected devices for electricity storage. You may also hear these systems referred to as distributed energy storage systems (DESS), which are important components for distribution systems. In situations where electricity is expensive, DESS can offer consumers stored energy to create stability and reliability while supporting the prevention of power fluctuation due to the less consistent timing or renewable power generation.
Benefits of DERs
According to the World Resources Institute, DERs can lower power bills while raising revenue for local communities. DERs reduce utility bills, help communities meet climate goals and support the resiliency of the electric grid by taking pressure off the centralized grid during times of peak demand. Not only can DERs save money, but some can also provide back-up power when a grid is unavailable due to weather disruptions, maintenance and more. An additional beneficial asset of DERs is their flexibility and adaptability. They can be coordinated and managed by smart grid technology. This allows efficient integration with the existing electrical infrastructure.
nVent's Solutions
As the world becomes more sustainable and electrified, renewable energy solutions will play a critical role in our lives. The shifts towards wind, solar and other renewable energy sources are changing our power generation infrastructure—with that shift come new systems that need to be connected and protected. nVent solutions include safety and equipment protection for energy storage systems including climate control, power connections and grounding and bonding. Whether you are storing renewable energy or filling onsite needs, nVent is here to help you create reliable systems that protect your investments.