A virtual power plant is a software-based technology that will play an essential role in future energy storage.
Australian electricity providers are already collecting energy from thousands of household solar batteries and storing it in their virtual power plants to help balance the electricity grid, reduce reliance on coal power, and reduce power bills for those signed up.
As a household with solar battery storage, you can participate by sharing power with the grid and get rewarded for it, either through direct payments or bill credits.
Virtual Power Plants explained
A Virtual Power Plant (VPP) is a network of energy storage systems centrally managed by software to provide energy to the grid during peak demand. Virtual Power Plants allow renewable energy to be harnessed quickly, keeping the network stable and reducing reliance on fossil fuels.
The software-based technology allows renewable energy to be injected into the grid with lightning speed to address voltage imbalances and local disturbances and keep the network stable. Ultimately it is helping create a future where energy is more affordable and renewable.
VPP power sources
The more common way for VPPs to collect energy from Australian households is through solar batteries. According to ARENA, Australians are leading globally for rooftop solar, installing more than 2.5 million systems with a collective capacity of more than 10 GW. Home batteries are also growing rapidly, with more than 73,000 systems storing almost 1.1 GW of power.
There are a variety of other energy assets and generators from which renewable energy can be sourced. An electric vehicle type is currently being trialled in the ACT that will have a vehicle-to-grid capability, offering households another significant renewable energy source in the future.
How you can get involved
Check if your electricity provider has a VPP program and compare it with other providers. Before signing up for one, you must ensure your battery is compatible with their system, as each VPP program has a different protocol. And if you have a specific VPP scheme in mind but haven’t installed solar yet, you’ll want to check this out before buying your battery.
The Ehlerth Electrical team are very experienced in solar repairs, replacements and installations. If you are interested in installing solar for your property, please reach out to our team today!
