The present study uses numerical analysis to investigate the operating methods and costs of an independent microgrid incorporating a sodium-sulfur (NAS) battery or an energy storage system using organic hydrides. Details relating to the operation of the system and its installed capacity and cost were clarified, assuming the introduction of an independent microgrid in Kitami City, a cold region in Japan. Analysis results indicate that energy storage technology using the organic hydride system is economically inferior to the NAS battery owing to large losses associated with the water electrolyzer and dehydration reactor. Therefore, for the widespread use of the organic hydride system, it is necessary to improve the efficiency of these components. Copyright (C) 2013, Hydrogen Energy Publications, LLC. Published by Elsevier Ltd. All rights reserved.