Just several years ago, Australia used to hold the dubious honour of being the country with the highest electricity rates in the world. Not only that, but fossil fuels have always been the country’s main source of energy supply for electricity generation, which is sad especially when you find out that fossil fuels are the biggest contributors of carbon emissions in the planet.
Thankfully, as technology has advanced, particularly with renewable energy technologies, Australians now have options when it comes to avoiding paying high utility rates and cutting down their carbon emissions. One option is Virtual Power Plants.
What is a Virtual Power Plant?
A Virtual Power Plant, commonly abbreviated as VPP, is a cloud-based network of homes with solar panels and energy storage systems that are linked and operated by a centralised smart control system.
The main objective of a VPP is to help maintain the stability of the grid during periods of peak demand by sending the energy generated by the participants of the power network back to the grid.
A compatible energy storage battery is one of the key requirements to participate in a VPP program.
What are the Benefits of Joining a Virtual Power Plant?
Joining a VPP has many benefits including increased energy savings, decreased carbon emissions, and improved grid stability, among others. Let’s take a closer look at each of these benefits:
Increased Energy Savings
We all know that a solar energy system with a battery storage unit can save you a lot of money by reducing your reliance on traditional energy sources. But when you join a VPP, you can get additional cost savings through direct payments, bill credit, or incentives.
Basically, you will earn depending on how much power you send back to the grid during demand events. In some VPP programs, you can even get credits for signing up.
Decreased Carbon Emissions
One of the requirements to join a VPP program is to have a battery system alongside your solar PV system, because the power that will be sent to support the grid will be drawn from your solar battery. This means that when you are part of a VPP network, the energy you’ll be sending back to the grid is clean and zero carbon.
Essentially, you'll be joining a network of other like-minded consumers who are making a conscious effort to make a positive impact on the environment through the production of renewable energy and the reduction of carbon emissions.
Improved Grid Stability
As mentioned earlier, the main goal of a VPP is to support the electricity grid when necessary. The reliable supply of solar energy produced by the participants of a VPP program can help to stabilise the grid during peak energy times, which significantly reduces the risk of blackouts and increases the security of the power supply for consumers.
Join Kratos Energy’s VPP Program
Kratos Energy recently teamed up with Discover Energy to provide VPP services to prospective residential customer with Battery Storage Systems. The feed-in tariff is $0.45 KWH, the highest in the state – and hence prospective customers will see their power bill come down to zero and will be cash positive by $50 to $100 per month. Indeed, a great value proposition. Get in touch so we can set up your VPP plan.