Electrical Power & Protection


Microgrids in buildings pioneer the future of energy management

February 2025 Electrical Power & Protection

Microgrids are emerging as a game-changing concept, particularly within commercial and industrial buildings, in a world that continues to shift towards more sustainable practices. By offering a decentralised approach to energy, microgrids allow buildings to generate, manage and utilise their electricity more efficiently.

Additionally, commercial buildings in South Africa are increasingly looking to become more energy efficient as businesses try to offset the financial impacts of rising electricity tariffs and optimise their energy use.

Microgrids enable buildings to use solar power during the day to charge batteries, and then use the stored battery power during peak demand periods in the mornings and evenings. This helps them avoid high electricity costs and extra charges during peak times.


Anoop Hariparsad, digital energy business unit leader for Anglophone Africa at Schneider Electric.

Crucially, reduced grid electricity usage and increased use of renewable energy sources enabled by microgrids are the primary drivers behind their ability to lower carbon dioxide emissions. This aligns with the global push for carbon neutrality that is motivating many companies, especially multinationals, to adopt microgrid solutions.

The ability to closely monitor, model and predict a building’s energy usage patterns is a key advantage of advanced control systems integrated with microgrids. This enhances the microgrid’s performance and the building’s overall energy efficiency.

Integrating with BMS

Advanced control systems integrate with the building management system (BMS) to monitor and optimise energy use across various building systems like HVAC, lighting and occupancy. This allows the microgrid to be optimised to meet the building’s predicted energy needs most efficiently and cost-effectively, whether that’s through solar, batteries or the grid,.

These advanced systems can use weather data to model the building’s energy usage patterns. For example, they can predict how much air conditioning will be needed on days when the temperature is 25°C as opposed to 30°C.

Microgrids integrate with a BMS to receive data on energy usage and loads. The microgrid’s control algorithms then analyse this data, along with input from an energy management system, to determine the optimal way to power the building using solar, batteries or the grid.

This real-time optimisation allows the microgrid to manage and distribute the available energy sources intelligently to meet the building’s needs efficiently. The integration of the microgrid’s control algorithms with the building’s energy data is key to enabling this optimisation of energy consumption and costs.

Decentralised energy sources like microgrids are crucial for essential facilities such as hospitals and data centres. Microgrids offer a dependable backup power source, ensuring that hospitals can continue to operate fully even during grid outages. Likewise, for data centres a power loss can lead to significant downtime and financial losses, particularly for large enterprises that depend on uninterrupted operations.

Technology advancements

At the core of Schneider Electric’s microgrid technology are advancements in battery energy storage systems and solar power integration. Effectively managing these alternative energy sources is crucial. For solar power, it is about seamlessly incorporating it into the microgrid and optimising its utilisation. With battery storage, the focus is on ensuring tight coordination between the batteries and other microgrid components to best support the building’s energy needs.

We also emphasise the intelligent optimisation of backup generators. While generators provide resilience, their carbon emissions and fuel costs must be carefully managed, especially when solar and batteries are unavailable. The overarching goal is to find the right balance and integration between all the energy sources – grid, solar, batteries and generators.

This allows Schneider Electric to deliver microgrids that achieve optimal carbon neutrality and cost-effectiveness in powering buildings. Advanced control systems, energy source coordination and holistic optimisation are the key innovations driving our microgrid technology.

Ultimately, microgrids are an enduring solution that forward-thinking businesses in South Africa should strongly consider adopting, despite the recent changes in the local power reliability landscape. Their benefits in terms of carbon reduction and cost savings make them a technology with a bright future.


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