Virtual Power Plants: Reshaping Energy Markets and Empowering Consumers

Virtual Power Plants: Reshaping Energy Markets and Empowering Consumers

AU Energy Compliance, Consumer, NT Energy Compliance
The traditional electricity grid is undergoing a fundamental shift as distributed energy resources (DERs) like solar panels, batteries, and smart appliances proliferate. Virtual Power Plants (VPPs) are at the forefront of this transformation. A VPP is a cloud-based network that intelligently links DERs, allowing them to collectively function as a distributed power plant This can provide crucial grid services like frequency regulation and voltage support [1]. How Do VPPs Impact Customers? VPPs open up new possibilities for customers both on an individual basis and collectively. Potential Cost Savings: VPPs allow customers to earn payments for making their energy resources accessible during peak times. This reduces reliance on costly fossil-fuel 'peaker plants', potentially lowering overall electricity bills [2]. Resilience and Reliability: VPPs can dispatch backup power from DERs during outages, improving grid resilience for customers [2].…
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