Microgrids: Opportunities and challenges for US airports

Steven L. Osit and Sarah M. Keane
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Steven L. Osit: Partner, Kaplan Kirsch & Rockwell, USA
Sarah M. Keane: Partner, Kaplan Kirsch & Rockwell, USA

Journal of Airport Management, 2021, vol. 15, issue 4, 322-332

Abstract: It is currently standard practice for airports in the United States and around the world to depend largely on their local electric utility for most day-to-day power needs, while having on-site back-up generation that can run essential operations during power outages or other emergencies. But recent cost declines and technology advances have made it possible for airports to install full microgrids, capable of supplying most or all of their basic power needs. While a microgrid can offer significant resiliency, cost and local control benefits for an airport, the sponsor needs to weigh many interrelated operational, legal and financial considerations to ensure a successful microgrid project and avoid unintended regulatory consequences. Among key areas to consider are structuring project governance and delivery, funding options, facility siting and potential environmental review, revenue use and diversion, and risks of utility regulation.

Keywords: power generation; renewable energy; microgrid; resiliency; cost savings (search for similar items in EconPapers)
JEL-codes: M1 M10 R4 R40 (search for similar items in EconPapers)
Date: 2021
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