Virtual Power Plants (VPPs) are networks of small energy-producing systems (like solar panels) or storage devices (like home storage batteries), that are pooled together to serve the electricity grid.

With their owners’ approval, the energy within this distributed network of batteries can be tapped by utility companies during times of high demand, or can be reserved for later use. Owners of the devices are compensated for their participation.

So how might this work?

Peak electricity generation from solar in the UK doesn’t correlate to peak electricity demand. This is not actually the case in all countries. In Australia for instance, peak solar generation is very much in line with peak demand, which is driven by air conditioning units during the sunniest & hottest part of the year.

In the UK peak solar generation will be during the period from 10am to 3pm, but peak demand is from 4pm to 7pm.

Having a battery working alongside the solar generation is therefore ideal.

The VPP turns your domestic battery into a national energy asset. If 100,000 homes across the country were to have 10kWh home storage batteries that were linked to a central coordinating authority, and thus created a VPP, this would create a 1GWh power plant.

As at March 2023 the UK has over 300,000 battery electric vehicles on the road. These vehicles usually have batteries of at least 40kWh, with many larger vehicles such as a Skoda Enyaq having up to 80 kWh batteries. Working on the basis of a 40kWh battery in 300,000 vehicles, this is a potential 12GWh of battery storage.

Were a VPP of this scale to become a reality, it would be bigger than the ‘Electric Mountain’ pumped-storage hydroelectric plant in North Wales.

The future: Now!

In many ways the concept of a VPP is already within touching distance. EV chargers and Home Storage Batteries are usually already connected to cloud-based networks, and it is this cloud connectivity which allows you to remotely turn on your smart charger.

Myenergi recently completed a trial in which they remotely varied the charging speed of some Zappi chargers, proving that they could reduce electricity demand at scale. This trial was termed ‘demand response’ which might be useful if the grid was struggling to meet demand. Allowing the grid to be flexible will increase its resilience.

Meanwhile Indra are currently undertaking the worlds largest Vehicle to Home trial at the moment. The trial isn’t so much about the technology (which works) it is more about how the energy companies can incentivise desired consumer behaviour.

And as the National Grid ESO Future Energy Scenarios document laid out, the future energy grid will need to encompass a whole range of storage solutions, able to provide power for hours (home storage batteries), days (car batteries), multi-days and longer.

So the Virtual Power Plant seems almost certain to form a key component in our future energy system. And this will include homes like yours up and down the country.

Brimstone Energy can help you navigate this emerging technology.