Reducing fuel consumption in microgrids using PV, batteries, and generator cycling

Diesel generators are the most common source of electricity for remote microgrids. Typically, remote microgrids have load profiles with large peak to average ratios which results in frequent operation of the generators at low loading. Generators are most efficient near rated load and operation at low loading results in poor fuel utilization and increased cost. Photovoltaics (PV) can be added to microgrids to reduce the cost of energy but can aggravate the problem of low generator loading. This paper analyses several methods to reduce fuel consumption in microgrids: PV, batteries, and generator cycling. The performance of these methods was evaluated through simulations using the software HOMER and an economic analysis. Results show the effectiveness of PV generator cycling, and batteries to reduce fuel consumption and energy costs.