Virtual power plants can provide opportunities for Californians to deliver power back into the grid
SACRAMENTO, CA— A new study from Brattle Group evaluates the potential of five different consumer technologies that could improve California’s electricity grid.
Virtual Power Plants (VPPs) are systems of distributed energy resources (DERs)—such as solar panels, smart thermostats, electric vehicles, and onsite battery storage — that can deliver energy back into the grid efficiently and reliably. Households and businesses with these smart technologies can participate and connect to the grid through VPPs, allowing them to earn money from the energy they generate or store.
“VPPs offer a real opportunity for Californians to get paid back directly for helping keep the lights on in communities across the state,” said Advanced Energy United California Lead Edson Perez. “Dismantling policy barriers and creating a friendly environment for customers to participate in VPPs will significantly contribute to reaching our clean energy goals and ensuring our grid stays strong, reliable, and affordable.”
The study examines the market potential for VPP deployment in California and found that by using VPPs, the state can increase its peak capacity 5 times by 2035. Additionally, VPPs are an affordable resource that can reduce delays associated with connecting clean energy to the grid and also provide benefits directly to consumers.
“Reaching our clean energy goals will be impossible with just large-scale resources. We must use every tool in our toolbox, and that includes DERs,” Perez added.
Additional resources
Click here to learn more about Advanced Energy United’s work in California advocating for 100% clean energy.