INSIGHTSSERIES
Power & Utilities | Smart Grid
May 28, 2024
Virtual Power Plants Garner Attention to Meet Changing Grid Needs
Interest in virtual power plants is rising to keep pace with evolving grid requirements driven by increasing electrification and intermittent energy sources.
Regulators and lawmakers across the U.S. are increasingly exploring the possibilities of deploying virtual power plants (VPPs) as a cost-effective means to provide grid services. VPPs have garnered attention as…Read the full report
Key Takeaways
- New York regulators have launched a “Grid of the Future” proceeding to facilitate the deployment of flexible resources, such as virtual power plants, to achieve the state’s clean energy targets in a cost-effective and reliable manner.
- Colorado has enacted legislation requiring qualifying retail electric utilities to develop virtual power plant programs and seek regulatory approval to implement them.
- A DOE report estimates that deploying 80-160 GW of virtual power plants by 2030 could expand the U.S. grid’s capacity to reliably support rapid electrification and reduce overall grid costs by $10 billion per year.
