Virtual Power Plants & Distributed Energy Resources

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 A Virtual Power Plant (VPP) is a network of distributed energy assets that work together to support the electric grid. Businesses are paid for providing flexibility during periods of high demand using assets they already own. 

 DERs are on-site energy assets such as generators, batteries, solar, HVAC systems, and flexible loads. Individually they are small, but when aggregated they become valuable grid resources. 

Businesses earn revenue by making their energy assets available and responding during rare grid events. Payments are market-based and tied to availability and performance, not utility rebates.

 The grid is under increasing strain from extreme weather and rising demand. Market rules now allow aggregated DERs to participate, making flexibility a paid asset for the first time.