Integration of Renewable Energy in Microgrids and Smart Grids in Deregulated Power Systems: A Comparative Exploration

Abstract

In recent years, the importance of deregulated power systems has grown significantly, resulting in positive effects on stability, reliability, innovation, and investment in new energy grid technology. The competitive landscape among energy providers and distributors has empowered consumers to not only save money on their energy bills but also incorporate sustainable energy sources into the grid. To efficiently manage electricity distribution, deregulated power systems must include a smart grid and microgrid (MG). Herein, the potential for sustainable expansion of these systems, as well as their economic and environmental implications, are examined. A comprehensive grid system that integrates smart grids and MGs can offer a complete solution, catering to the evolving energy needs of communities and businesses. The advantages of establishing such a system, including improved grid stability, reliability, and increased utilization of renewable energy sources (RES), are highlighted. Furthermore, the integration of MGs and smart grids enhances the management of distributed generation, allowing power companies to optimize system operations for profitability and efficiency. By following these suggestions, businesses and stakeholders in the power sector can enhance the efficiency and responsibility of their systems, resulting in benefits for both the economy and the environment.