Nanogrids in Modern Power Systems: A Comprehensive Review

Abstract

What are the main findings? Recent advancements in nanogrid architecture, control, energy management, and applications. The advantages and disadvantages of the existing and proposed nanogrid realizations. What is the implication of the main finding? There is room for improving the efficiency and reliability of the energy supply, reducing the cost of energy for prosumers, and prolonging the lifetime of assets through advancing architecture and the management of individual nanogrids and coordinated operation of clusters of nanogrids. Highlights: Nanogrids are becoming an essential part of modern home power systems, offering sustainable solutions for residential areas. These medium-to-low voltage, small-scale grids, operating at medium-to-low voltage, enable the integration of distributed energy resources such as wind turbines, solar photovoltaics, and battery energy storage systems. However, ensuring power quality, stability, and effective energy management remains a challenge due to the variability of renewable energy sources and evolving customer demands, including the increasing charging load of electric vehicles. This paper reviews the current research on nanogrid architecture, functionality in low-voltage distribution systems, energy management, and control systems. It also explores power-sharing strategies among nanogrids within a microgrid framework, focusing on their potential for supplying off-grid areas. Additionally, the application of blockchain technology in providing secure and decentralized energy trading transactions is explored. Potential challenges in future developments of nanogrids are also discussed.