According to a recent report from Navigant Research, the total worldwide capacity of remote microgrids will grow from 286 megawatts (MW) in 2013 to nearly 980 MW in 2020.

BOULDER, Colo.--Remote microgrids target niche markets, such as mines and other commodity extraction facilities not connected to an existing grid, physical islands, rural villages in the developing world, and mobile and tactical applications for military agencies. While these remote power systems number in the thousands, many are still powered by diesel generation. Today, an increasing number of remote microgrids showcase smart and much cleaner combustion technologies capable of reducing diesel consumption by as much as one-third, even without any renewable generation. Click to tweet: According to a recent report from Navigant Research, the total worldwide capacity of remote microgrids will grow from 286 megawatts (MW) in 2013 to nearly 980 MW in 2020.

Under a more aggressive scenario, total capacity will reach 1,071 MW in 2020, the study concludes.

"Operating in isolation from the wider power grid, remote microgrids are multiplying thanks to a combination of factors, including high costs for existing energy services in many parts of the world and declining costs for solar photovoltaics and other renewable distributed energy generation technologies," says Peter Asmus, principal research analyst with Navigant Research. "These systems tend to be the most lucrative of current microgrid opportunities, in terms of per-megawatt vendor revenues, and while the majority of remote microgrids are being deployed in the developing world, activity is also increasing in Europe and North America."

In many cases, the most advanced creative controls technology approaches for microgrids are being pioneered with off-grid distribution networks. ABB, for instance, has combined a flywheel to provide frequency stabilization and a robust inverter with its own supervisory controls, enabling it to offer state-of-the-art optimization to grid-tied microgrids that feature high penetrations of renewables. Other remote microgrid innovators, such as Younicos, claim the ability to achieve 100 percent renewable penetration within remote microgrids.

The report, "Remote Microgrids", analyzes the global market for remote microgrids in four key segments: commodity extraction, physical islands, village electrification, and remote military. The study provides an analysis of the market issues, including business cases, opportunities, and implementation challenges, associated with remote microgrids. Global market forecasts for capacity and revenue, broken out by segment and region, extend through 2020. The report also examines the key technologies related to remote microgrids, as well as the competitive landscape. An Executive Summary of the report is available for free download on the Navigant Research website.

About Navigant Research

Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team's research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Utilities, Smart Transportation, and Smart Buildings sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.

About Navigant

Navigant is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.