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This article outlines the ongoing research, development, and demonstrates the microgrid operation currently in progress in Europe, the United States, Japan, and Canada. The penetration of distributed generation (DG) at medium and low voltages is increasing in developed countries worldwide. Microgrids are entities that coordinate DERs (distributed energy resources) in a consistently more decentralized way, thereby reducing the control burden on the grid and permitting them to provide their full benefits. In the context of this article, a microgrid comprises a LV locally-controlled cluster of DERs that behaves, from the grid's perspective, as a single producer or both electrically and in energy markets. A microgrid operates safely and efficiently within its local distribution network, but it is also capable of islanding.