---
title: How Does a Connected Microgrid Work?
description: Catalyst Power's Connected Microgrid solution helps your business avoid high-demand charges that lead to high energy bills. Contact us today to learn more!
image: https://blog.catalystpower.com/hubfs/Untitled%20design%20(84).jpg
---

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# How Does a Connected Microgrid Work?

[ Emiley Mallory ](https://blog.catalystpower.com/more-power-to-you/author/emiley-mallory) •  July 25, 2023

So, you’re considering solar energy for your business as a solution to having high energy bills, but don’t have a clue how it all works. If you’re looking for cost savings and the best way to get them, you came to the right place. Catalyst Power is [your go-to energy service provider](https://blog.catalystpower.com/what-is-an-energy-service-company-esco-0) (ESCO) for all things sustainable and eco-friendly. If you’re tired of high monthly energy bills, you’re going to love our one-of-a-kind [Connected Microgrid](https://catalystpower.com/our-solutions/connected-microgrid/) ® solution. It’s good for businesses with high-demand charges and the energy bills that result from it.  

**How Does It Work?**

A Connected Microgrid addresses all of the ways your business struggles with expensive monthly energy bills. Since [a Connected Microgrid is on-site solar generation](https://blog.catalystpower.com/connected-microgrid-faq) (we install custom-sized, non-penetrating solar panels), you are powering your business in-house. **Fun fact: Catalyst Power owns, operates, and maintains the Connected Microgrid for you, at no cost or hassle. That means your business is not responsible for the labor, materials, or any upfront costs typically forming a barrier to entry for solar.** 

When you’re faced with high-demand charges, you’re presented with an opportunity to shave expensive energy peaks. Peak shaving is all about reducing your dependency on the power grid during times when energy consumption is high, which results in peak pricing (hello, high energy bills). This creates a high-demand charge and using some of the power you generate on-site with a Connected Microgrid can reduce that expense since your business is using less of the overall energy load in the region.  

The connected part of the Connected Microgrid means that you’re still tied to the grid for the majority of your energy supply. Our Connected Microgrid product does not island you, so you get the best of both worlds—energy reliability and cost savings with an environmental benefit! 

**What Else Should I Know?** 

To take advantage of peak shaving and generate cost savings, you’ll need an interval meter. For a Connected Microgrid, you’ll also need at least 1 million kWh. A Connected Microgrid will cut down high peak costs with peak shaving while reducing your carbon emissions in the process. The solar energy you use from the solar array is a clean, renewable substitute for what you'd typically use from the grid during that same time. 

Once peak shaving begins, immediate savings are produced. This will provide a discount on your energy bill even after the costs are factored in, especially if your demand charges are high during peak hours. It’s a great way to establish budget certainty. 

**Let’s Get You Started** 

A Connected Microgrid comes with great financial and environmental benefits. You save money and the environment while powering your business. [Contact one of our Energy Experts](https://info.catalystpower.com/connected-microgrid-solution) today to learn more. 

[Connected Microgrid](https://blog.catalystpower.com/more-power-to-you/tag/connected-microgrid), [Immediate Savings](https://blog.catalystpower.com/more-power-to-you/tag/immediate-savings), [Budget Certainty](https://blog.catalystpower.com/more-power-to-you/tag/budget-certainty), [Outage Protection](https://blog.catalystpower.com/more-power-to-you/tag/outage-protection), [Positive Environmental Impact](https://blog.catalystpower.com/more-power-to-you/tag/positive-environmental-impact), [Product Education 101](https://blog.catalystpower.com/more-power-to-you/tag/product-education-101), [Education](https://blog.catalystpower.com/more-power-to-you/tag/education), [Operational](https://blog.catalystpower.com/more-power-to-you/tag/operational)

## About Catalyst Power

As an independent, integrated provider of commercial electricity and gas as well as distributed energy solutions, Catalyst Power helps your business get the most from your power supply.

[![](https://blog.catalystpower.com/hs-fs/hubfs/Untitled%20design%20-%202025-07-03T192958.636.jpg?width=720&name=Untitled%20design%20-%202025-07-03T192958.636.jpg) ](https://blog.catalystpower.com/more-power-to-you/how-a-connected-microgrid-can-scale-with-your-business)

### [How a Connected Microgrid Can Scale with Your Business](https://blog.catalystpower.com/more-power-to-you/how-a-connected-microgrid-can-scale-with-your-business)

 Scalable and adaptable, Catalyst Power’s Connected Microgrid provides flexible on-site energy solutions that grow with y…

[![](https://blog.catalystpower.com/hs-fs/hubfs/Untitled%20design%20-%202025-06-28T223902.205.jpg?width=720&name=Untitled%20design%20-%202025-06-28T223902.205.jpg) ](https://blog.catalystpower.com/more-power-to-you/decoding-your-commercial-energy-contract-key-terms-every-business-should-understand)

### [Decoding Your Commercial Energy Contract: Key Terms Every Business Should Understand](https://blog.catalystpower.com/more-power-to-you/decoding-your-commercial-energy-contract-key-terms-every-business-should-understand)

 Understand key terms in commercial energy contracts to avoid surprises and control costs. Empower your business with cle…

[![](https://blog.catalystpower.com/hs-fs/hubfs/Untitled%20design%20-%202025-06-20T134838.509.jpg?width=720&name=Untitled%20design%20-%202025-06-20T134838.509.jpg) ](https://blog.catalystpower.com/more-power-to-you/the-steep-cost-of-commercial-blackouts-and-how-to-prepare)

### [The Steep Cost of Commercial Blackouts—And How to Prepare](https://blog.catalystpower.com/more-power-to-you/the-steep-cost-of-commercial-blackouts-and-how-to-prepare)

 Learn about the financial impact of commercial blackouts and discover how onsite power generation can protect your busin…

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