Traditional grid vs microgrid consumption

TRADITIONAL GRID

High cost of last-mile installation

Consumer pays for option of getting electricity, and a modest amount for incremental consumption

Generation charges cover both fixed and variable costs

More diversity. Can handle incremental load

Can spread cost of unit out across

MICROGRID

Energy generation more expensive (because of limited diversity factor and need for reliability)

If solar, no fuel costs, so consumer averages fixed costs into expected consumption

Last-mile installation, operation & maintenance costs similar to traditional grid

Has less headroom to negotiate increased consumption load

Charged per unit