A distributed “virtual” power plant is a solution that aggregates the capacities of hundreds or thousands of distributed energy resources (DERs) such as residential PV solar generation and batteries for the purposes of providing energy and other services to the grid.
Why do VPPs make sense now? A confluence of market and policy trends are enabling this commercial opportunity, as evidenced by:
- Grid is becoming bi-directional and transactive; load as supply
- sonnenBatterie Technology has been tested at a massive scale (40,000 connected homes in Germany)
- Customers are seeking increased choices and greater control; Prosumers
- Economic conditions are favorable
- Mitigation of climate change is an imperative