Summary
Arguably, the most important challenge nowadays in the energy industry is the utilization of intermittent renewable energy sources. On the one hand, renewable sources are the future in terms of sustainability. While on the other hand, several questions remain unanswered in connection with their day‐to‐day operation and system integration. Creating microgrids with local control of the distributed energy resources seems to offer solutions but there is a lack of practical experience. Especially in Europe, where a microgrid with islanding capability is connected to a widespread, synchronously operating grid, it is a complicated task, owing to the control methods. In this paper, the technical possibilities are presented, which are necessary to allow island mode operation of a microgrid. The case study discusses a “living lab” in which several energy generation technologies have been deployed thus it is a good representation of future renewable‐based microgrids. To support the island operation, numerical calculations and simulations are used to determine power and energy needs of necessary flexibility measures. Basis of the calculations is the year‐long data measured on‐site. Sizing and operation modes for energy storage and demand‐side resources and an architectural scheme are presented. Net present value for all technological options are compared to aid the selection of the best option. A sensitivity analysis is also performed to assess how potential change in various parameters of the economical calculation affect the results. It is shown that provision of uninterruptible power supply and thus island operation of the site can be provided within reasonable techno‐economical limits.