Generac Grid Services Blog

Guest blogger Peter Asmus of Navigant Research posts this week about the widening use of distributed energy resources around the world, virtual power plants and distributed energy resources management systems.

As distributed energy resources (DERs) continue to proliferate, so do the reliability challenges associated with the world’s aging grid infrastructure. The diversity of resources added to the power grid include plug-in EVs (PEVs) and rooftop solar PV coupled with energy storage devices at residences. As the grid was not designed for two-way power flows, these trends create challenges and opportunities for vendors and grid operators.

This week, we feature guest blogger Peter Asmus of Navigant Research, who talks about virtual power plants (VPPs) and their changing role in the utility industry.

The primary goal of a virtual power plant (VPP) is to achieve the greatest possible profit for asset owners—such as a resident with rooftop solar PV coupled with batteries—while maintaining the proper balance of the electricity grid at the lowest possible economic and environmental cost. The purpose is clear, but getting to this nirvana is not easy. Nevertheless, there are clear signs that the VPP market is maturing. New partnerships are pointing the way for control software platforms that can manage distributed energy resources (DER) in creative ways.