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Abstract: MicroSources and Renewable Energy sources refers to Distributed energy resources(DERs) and MicroGrids refers to a distribution network for electrical energy,starting from electricity generation to its transmission and storage with the ability to respond to dynamic changes on energy supply through co-generation and demand adjustment.Utilising potential of available distributed energy sources, MicroGrids can provide improved electric service reliability and better power quality to end users of electricity at conservative approach which might not be with the MicroGrids (centralized power grids). A worldwide research is going on MicroGrids, its application and control to overcome the weaknesses of the centralized power grids. In India due to power crisis a heavy load shedding has been carried out since last five years as load demand increasing day by day. Presently the concept of MicroGrids has been utilizing in rural areas of countries namely Canada, US, UK, Kenya etc. India is also having rich potential for Distributed energy resources (DERs). In this paper, potential of Distributed energy resources (DERs) in rural areas of Maharashtra state India has been predicted and suggested how application of Microgrids can reduce energy losses, improve power quality, deliver sustained power by Zero Load Shedding Model. [Copyright &y& Elsevier]