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6 Factors to Consider When Choosing a Centralized vs Distributed UPS

To determine whether your environment is better suited for a centralized or decentralized UPS system, it is essential to understand the fundamental differences between the two approaches and consider their respective advantages and disadvantages.

What is a Centralized UPS?

centralized UPS (Uninterruptible Power Supply) is a single, larger unit that provides backup power to multiple pieces of equipment or an entire facility from a centralized location. Centralized UPS systems are known for their higher efficiency and reliability, as well as their ability to streamline maintenance, repair, and security to a single point. They also offer enhanced visibility into the power supply. However, centralized systems typically come with higher upfront costs, both for the equipment itself and the installation. The installation process is often more complex due to the need for specialized wiring and power distribution infrastructure.

What is a Decentralized UPS?

In contrast, a decentralized UPS, also known as a distributed UPS, involves multiple smaller units placed closer to the equipment they protect. These systems are more flexible, as they allow for easier installation and maintenance, along with lower initial investment costs. Additionally, decentralized setups can be moved or adjusted more easily to accommodate changes in the environment. However, they require more effort to monitor and manage, as each unit must be serviced individually. Decentralized systems may also lack the same level of security as centralized solutions.

6 Factors to Consider When Deciding Between Centralized or Decentralized UPS

It’s important to note that the two strategies are not mutually exclusive. Many industries, such as data centers and healthcare facilities, use a combination of centralized and decentralized UPS systems. For example, a hospital might rely on a centralized UPS to power critical systems, while individual decentralized UPS units provide added protection or extended runtime for specific departments, such as labs or intensive care units. This hybrid approach ensures redundancy and tailored power solutions for various needs within the facility.

When assessing whether your organization would be better suited for a centralized or decentralized UPS, it is important to weigh the following six considerations:

  1. Cost — When it comes to overall price tag, centralized and decentralized UPSs both offer distinct advantages. Distributed UPS systems require less capital to purchase, complemented by lower installation costs due to their plug-and-play setup capability. However, because they are comprised of multiple UPSs that must be serviced and monitored individually, decentralized systems often generate greater service expenses than their centralized counterparts. Meanwhile, centralized UPSs typically yield a better return on investment due to their higher efficiency rating, which reduces operating costs, coupled with lower maintenance expenses. Yet they may also require approval as a capital expenditure and their installation costs are higher.
  2. Reliability — Because many centralized UPS systems facilitate N+1 parallel redundancy, they tend to provide enhanced reliability over distributed power supplies. These larger systems tend to also have a longer lifespan. However, one potential drawback is that some centralized units are vulnerable to a single point-of-failure. If all resources are concentrated in one power system and damage occurs to that source, all connected equipment will be impacted. Because distributed UPSs have more components, they pose a greater likelihood of failing, necessitating additional monitoring and maintenance to prevent downtime.
  3. Flexibility — Across today’s ever-changing business landscape, it is not uncommon for power requirements to rapidly increase. When your uninterrupted power supply is capable of accommodating these changes, it can be extremely beneficial. This is the case with centralized UPSs, most of which provide simple, cost-effective scalability through the addition of power modules. On the other hand, if you outgrow the capacity of your decentralized system, you must purchase additional UPSs to support load demands. Yet distributed UPSs do offer flexibility in the event they need to be moved or relocated to a new facility.
  4. Space — Space is a factor that can be either a benefit or a detriment for both types of UPS systems, depending on your specific environment. While a centralized installation may require a separate room or location in order to house the larger UPS footprint and optional external battery cabinets, decentralized deployments require sufficient space alongside the protected equipment or within the rack where each UPS is placed.
  5. Installation — Because most decentralized UPS systems provide easy plug-and-play installation using existing wall sockets, they typically do not require rewiring for installation. Centralized UPSs, on the other hand, usually necessitate an electrician and/or support personnel due to specialized electrical outlets and three-phase power requirements.
  6. Service — Organizations that lack the time or manpower to monitor, manage and service multiple units will likely appreciate a centralized power system, which streamlines maintenance and repairs and reduces potential points of failure. Decentralized designs typically require more time and focus in order to stay on top of maintenance and battery replacement. However, a great option for either UPS type is to engage with a third-party service provider who can oversee all maintenance tasks on your behalf.

Discover the Benefits of Unified Power

Because every business is different, the type of UPS system you choose ― whether centralized or decentralized ― should match your unique needs and uptime requirements. It is also important to consider the complexities of your facility’s electrical system and your in-house capabilities when it comes to managing and maintaining the power system.

Unified Power is a partner you can trust to help meet all of your critical power equipment and service needs. From UPS and generator sales, to turnkey electrical solutions, to maintenance and repair of all major manufacturers’ equipment, Unified Power delivers unparalleled support on a nationwide scale. We can also custom-tailor power solutions and services to meet the individual needs of your business.

For additional information about our products and world-class services designed to optimize the reliability and performance of your critical power systems, please contact us today.

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