Abstract
A triple power shock of technological, economic and environmental trends is bringing electricity back to its roots, making a family of micropower systems viable choices for meeting electrical needs. Use of these generators, which range from reciprocating engines to fuel cells, avoids expensive investments in large central power stations and transmission and distribution systems, provides greater reliability and leaves a lighter ecological footprint. The advent of micropower has important implications for, and is being hastened by, the emerging information economy. A critical niche for micropower is in meeting the digital demands of the New Economy. Already, ageing grid equipment is causing costly flickers and outages in many industrial nations. Meanwhile, growing dependence on computerised processes for high-tech manufacturing and business transactions is creating demand for highly dependable power. As e-commerce becomes more prominent, so too will the need for ultra-reliable electricity supply that the traditional utility network is unable to provide. The importance of reliable power has been a major driver of the recent high stock valuations of several fuel cell, microturbine and solar photovoltaic companies. Micropower will also interact with the New Economy by creating opportunities to reduce energy and resource use and environmental stress. By providing reliable power, micropower may contribute to net energy savings that proponents believe the Internet economy will deliver. To the extent that the New Economy increases electricity use, a shift from central station to micropower would engender overall pollution reductions. Despite its potential to meet the electrical needs of the information economy and provide ecological benefits, micropower currently competes in a market environment that favours large-scale, central generation. Failure to revise these rules may inhibit the near-term market penetration of these innovations. Nonetheless, it is useful to think of micropower as a disruptive technology that is beginning to transform the business of electricity.