Business Model Innovations Can Drive Virtual Power Plant Growth

This Guidehouse Insights report discusses how VPP and DER business models are evolving and what role new, innovative business models can play in furthering the advancement of those technologies. The report provides recommendations to key stakeholders to increase the presence and impact of aggregated DER on grids around the world.

Table of Contents

Spark

Context

Recommendations

VPPs Are Becoming More Involved in Grid Operations

VPP Deployments Are Evolving

New Market Regulations Enable New Resource Participation

Case Study: Sunrun Residential VPP in ISO-NE

Utilities and End Consumers Will Need Assistance from VPP and DER Providers

Consumer Participation in Electricity Market and Grid Activities Is Increasing

Utility Software Use Cases Are Becoming More Complex

Case Study: AutoGrid and Clean Power Alliance

Incumbent VPP and DER Companies Have Opportunities to Adapt Their Offerings

Case Study: Generac Grid Services and Albuquerque Public Schools

VPP and DER Providers Must Continue to Modify Their Solution Offerings

VPP Platform Providers Should Develop Additional Services with Platform Sales

VPP and DER Providers Should Streamline Solution Offerings for Energy Consumers

System Operators and Regulators Should Develop Supportive Market Frameworks and Incentives for VPPs7

Utilities Should Adjust Their Retail Structures to Accommodate VPPs