252 Copyright © 2019, IGI Global. Copying or distributing in print or electronic forms without written permission of IGI Global is prohibited. Chapter 10 DOI: 10.4018/978-1-5225-8030-0.ch010 ABSTRACT Microgrid (MG) is the vital technology that can be utilized to supply electricity to rural areas by fulfll- ing various aspects of electricity such as sustainability and reliability. Further, MG technology can also be used as localized generation sources and back up supply source. As MG can be worked in intercon- nected mode, various issues related to interconnection with utility grid are raised. Several issues such as technical, regulatory, and operational are associated with grid integration. Therefore, this chapter deals with the issues that are associated with the grid integration of microgrid. INTRODUCTION Traditional electricity grid is converted into the smart structure. The key feature of this smart system is the incorporation of the renewable energy sources at different levels such as distributed level and bulk level. International energy agency predicted that the energy generation from the renewable energy sources is increased up to three times till 2035 (Khan and Singh, 2017; Mulualem and Khan 2017). Further, the total energy production from the renewable energy sources will be increased to 31%, in which hydro, wind and solar will provide 50%, 25% and 7.5%, respectively. The two major issues with renewable en- ergy generation are intermittency and climate dependency of renewable sources. These problems make integration of these sources with conventional grid more difficult and complex. The above discussed problems can be minimized with the help of energy storage devices. These devices incorporated vari- ous storage systems such as batteries, heat buffers along with advanced generation techniques such as Issues Associated With Microgrid Integration Baseem Khan https://orcid.org/0000-0002-0562-0933 Hawassa University, Ethiopia Sudeep Tanwar Nirma University, India