Abstract: As decentralized electricity generation plays an important role in the reform of the energy system in the EU, electric residential microgrids merit an assessment of their position and potential. The work on this dissertation focuses on the synergy between the development of microgrids that are powered by PV panels, and the adoption of energy storage, with the aim to identify shortcomings and propose solutions. Techno-economic assessment indicates that, for a microgrid that aims to maximize its self-consumption, the electricity pricing mechanisms that are current practice across the EU are detrimental to the economic viability of using energy storage. Case studies and simulations in Belgium, Greece, Denmark, Italy, Finland, Spain and Germany show conclusively how existing tariff structures (Net-Metering, Time-of-Use, Feed-in Tariff, with or without the option of a Capacity tariff) are suitable for stimulating renewable generation, but not storage. Another underlying reason that affects the economic viability of a residential microgrid in the current context relates to the technology losses, which cannot be compensated by electricity pricing mechanisms. Having established the need for a different approach in order to improve the economic viability of microgrids with storage, this work investigated whether a form of direct support to the microgrid operator can be envisioned. A cost-benefit analysis revealed that the benefits coming from decentralized energy generation toward the main electricity grid can be compared with the cost of including and operating energy storage, and therefore a direct support from the network operator and the public can be justified in order to attain the economic viability of a microgrid with storage. This way, the electricity network can benefit from an increased number of flexible, enriched microgrids within the system, the microgrid operators are incentivized to include energy storage, and the society contributes towards a sturdier energy supply with more engaged prosumers and less polluting emissions. Entrepreneurial diversity: a career motives’ perspective – Ilse D