(C) Iowa Capital Dispatch
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Microgrid project led by ISU researchers to receive Department of Energy funding • Iowa Capital Dispatch [1]

['Brooklyn Draisey', 'More From Author', '- March']

Date: 2024-03

A project led by Iowa State University researchers will receive funds from the U.S. Department of Energy to help the city of Montezuma set up the state’s first electricity microgrid, which will reduce electricity costs in the community.

The project, proposed by the researchers and Montezuma Municipal Light & Power, would build a “small-scale electricity network,” replace aging substations and other equipment and put in two electric vehicle chargers, according to a news release.

The microgrid would generate power through solar panels and a battery storage system, and can work both independently and as part of the larger grid.

This project is one of 17 chosen for award negotiations through the Energy Improvements in Rural or Remote Areas program, according to a Department of Energy news release, with programs based in 20 states and 30 tribal nations.

Project leaders are asking for about $9.5 million in federal funding. With an additional $2.4 million in funding from Montezuma and ISU, the total project investment totals almost $12 million.

According to the release, the project will take around four years to complete. Zhaoyu Wang, project leader and ISU associate professor of electrical and computer engineering, said in an email they hope to start the project in late 2024 or early 2025.

Wang said the microgrid project will serve as a model for rural utilities, modernizing the community’s power system and offering more reliability and resistance.

“This is so much more than an R&D project because it will directly benefit more than 1,400 Montezuma residents and generate significant impacts on surrounding counties,” Wang said in the release. “It shows Iowa State University is working to bring real benefits to Iowans and boost local economies.”

Once in operation, the microgrid will generate 3 megawatts of renewable energy to local communities, county offices and small businesses, according to the release. Energy costs are estimated to drop by 18%, shrinking transmission costs by 34% and energy purchases by 3.5 gigawatt hours.

Montezuma Municipal Light & Power will also save hundreds of thousands of dollars a year, the release stated.

“This is a huge benefit for our customers and for local economic development because it provides long-term rate stability from the solar and the battery energy storage systems,” said Montezuma Municipal Light & Power Superintendent Kevin Kudart in the release. “Our reliability will increase with the new, more modern switchgear, and our outage time will be reduced by having new controls. And we’ll promote good customer relations by providing vehicle charging stations.”

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