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This study aims to investigate the feasibility of proposed microgrid (MG) that comprises photovoltaic, wind turbines, battery energy storage and diesel generator to supply a residential building in Grindelwald which is chosen as the test location.

Three operational configurations were used to run the proposed MG. In the first configuration, the electric energy can be vended and procured utterly between the main-grid and MG. In the second configuration, the energy trade was performed within 15 kWh as the maximum allowable limit of energy to purchase and sell. In the third configuration, the system performance in the stand-alone operation mode was investigated. A whale optimization technique is used to determine the optimal size of MG in all proposed configurations. The cost of energy (COE) and other measures are used to evaluate the system performance.

The obtained results revealed that the first configuration is the most beneficial with COE of 0.253$/KWh and reliable 100%. Furthermore, the whale optimization algorithm is sufficiently feasible as compared to other techniques to apply in the applications of MG.

The value of the proposed research is to investigate to what extend the integration between MG and main-grid is beneficial economically and technically. As opposed to previous research studies that have focused predominantly only on the optimal size of MG.

This study aims to investigate the daily performance of the proposed microgrid (MG) that comprises photovoltaic, wind turbines and is connected to the main grid. The load demand is a residential area that includes 20 houses.

The daily operational strategy of the proposed MG allows to vend and procure utterly between the main grid and MG. The smart metre of every consumer provides the supplier with the daily consumption pattern which is amended by demand side management (DSM). The daily operational cost (DOC) CO2 emission and other measures are utilized to evaluate the system performance. A grey wolf optimizer was employed to minimize DOC including the cost of procuring energy from the main grid, the emission cost and the revenue of sold energy to the main grid.

The obtained results of winter and summer days revealed that DSM significantly improved the system performance from the economic and environmental perspectives. With DSM, DOC on winter day was −26.93 ($/kWh) and on summer day, DOC was 10.59 ($/kWh). While without considering DSM, DOC on winter day was −25.42 ($/kWh) and on summer day DOC was 14.95 ($/kWh).

As opposed to previous research that predominantly addressed the long-term operation, the value of the proposed research is to investigate the short-term operation (24-hour) of MG that copes with vital contingencies associated with selling and procuring energy with the main grid considering the environmental cost. Outstandingly, the proposed research engaged the consumers by smart meters to apply demand-sideDSM, while the previous studies largely focused on supply side management.