The distributed energy resources (DER) comprise several technologies, such as diesel engines, micro turbines, fuel cells, photovoltaic, small wind turbines, etc. The coordinated operation and control of DER together with controllable loads and storage devices, such as flywheels, energy capacitors and batteries are central to the concept of MicroGrid (MG). MG can operate interconnected to the main distribution grid, or in an islanded mode. This paper reviews the researches and studies on MG technology. The operation of MG and the MG in the market environment are also described in the paper.