Tuesday, February 18, 2014

How Microgrids Will Work (financially)

From Lux Research:

Lux Research utilized 15 different generation sources and cost/revenue inputs to build a bottom-up microgrid financial model giving the internal rate of return (IRR) and levelized cost of energy (LCOE) as metrics for given sector- and business-model-specific input assumptions.

While all models of microgrid development can potentially be profitable, MaaS – where the installing entity owns and finances the microgrid on behalf of the subscribing customers or power purchasers – provides the most flexible growth opportunities.

MaaS?

While customer-owned microgrids are standard today, a new business model, Microgrid-as-a-Service (MaaS) offers a flexible ownership structure and presents the best opportunity to capitalize on this growing market,

Source: http://electricalcontractor.com/?p=12849

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