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description: What is Distributed Energy Resources? They are power producing units connected at the distribution level to a larger power grid.
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# What is Distributed Energy Resources?

By [Elliot Clark](https://energytheory.com/author/elliot_clark/)November 17, 20232 Mins Read

![JAN23 What is Distributed Energy Resources?](https://energytheory.com/wp-content/uploads/2023/01/MicrosoftTeams-image-2023-01-31T045553.220-1024x683.jpg "What is Distributed Energy Resources?")

Distributed energy resources (DER) are a range of tiny, modular power generation technologies that, whether or not they are connected to an electricity grid, can be used in **conjunction with energy management and storage systems** to enhance the performance of the electricity delivery system.

A distributed energy resource (DER) is a localized, small-scale power producing unit that is connected at the distribution level to a larger power grid. **Solar panels, tiny natural gas-powered generators**, electric cars, and controllable loads like air conditioning and electric water heaters are examples of DER(s). A key difference of a DER is that the energy it generates is frequently used nearby.

The intermittent nature of some renewable resources necessitates the use of numerous renewable resources when using them, as well as a way to connect them, manage them, and store their output.

Hardware such as wind and other forms of [turbines](https://energytheory.com/onshore-vs-offshore-wind-turbines-all-you-need-to-know/), solar panels, and tidal producing units all require energy storage in the form of batteries and flywheels. These power sources and storage devices must be **closely regulated by electronic management tools**, such as inverters and software like Storage Distributed Resource Schedulers, in order to maximize the use of the energy produced (SDRS).

**Also Read: **[What is Distribution Power?](https://energytheory.com/what-is-distribution-power/)

**What are the benefits of Distributed Energy Resources (DER)?**

Using distributed energy resources could help consumers in a number of ways:

- Installing DER units may enable consumers to lower their electricity costs or achieve higher levels of reliability.
- Additionally, DER might lower the price of enhancing the power system, lowering the overall cost of supply that consumers must pay.
- By replacing other, more emissions-intensive generations, increased DER penetration may also aid in lowering the [NEM’s](https://aemo.com.au/en/energy-systems/electricity/national-electricity-market-nem/about-the-national-electricity-market-nem) overall emissions intensity.

While DER offers many advantages, it also incorporates a number of very recent and emerging technologies. To account for the implications of these new technologies, power systems and networks must be modified. To ensure that the advantages of DER may be fully realised, it is crucial that these initial challenges are acknowledged and solved.

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[Elliot Clark](https://energytheory.com/author/elliot_clark/)

Elliot is a passionate environmentalist and blogger who has dedicated his life to spreading awareness about conservation, green energy, and renewable energy. With a background in environmental science, he has a deep understanding of the issues facing our planet and is committed to educating others on how they can make a difference.

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