Market Research Report
VPP (Virtual Power Plants) Transactive Energy Revenue Streams
|Published by||Navigant Research||Product code||519799|
|Published||Content info||18 Pages; 9 Tables, Charts & Figures
Delivery time: 1-2 business days
|VPP (Virtual Power Plants) Transactive Energy Revenue Streams|
|Published: June 26, 2017||Content info: 18 Pages; 9 Tables, Charts & Figures||
The concepts of virtual power plants (VPPs) and transactive energy (TE) are similar in that they place prosumers-formerly passive consumers that now also produce energy-at the forefront of an emerging market for grid services delivered by distributed energy resources (DER). Yet, industry stakeholders must consider significant differences as policymakers accommodate new technologies, business models, and software platforms associated with power generation, control, and transmission and distribution.
Both VPPs and TE are still somewhat vague in meaning, further clouding distinctions. Both portend a future where DER become the dominant resource based upon which future growth in energy service innovation is realized. Both hinge on the recognition of value embedded in DER that can only be unlocked with the right software and market redesigns. The key question facing market makers is: Do VPPs create opportunities for TE revenue streams or vice versa? Most likely, these two DER platforms will evolve in parallel. The resulting new business models will require new IT infrastructure that relies heavily on the analysis of huge volumes of data.
This Navigant Research report examines the core of the VPP and TE platforms and identifies potential revenue streams that could be created through the integration of both. Six potential revenue stream opportunities are identified: localized clean energy; virtual capacity; real-time demand response (DR); fast frequency regulation; smart voltage control; and big data from small sources. The report focuses on an envisioned integration of TE within VPPs and what types of services could result from such a marriage.