Smart Cities

Virtual Power Plants: Our Energy Future is Distributed, Efficient and Intelligent

Supply and demand resources can work together rather than against each other in the modern energy system. New technologies and greater intelligence are redefining the supply – demand relationship; increasing efficiency, enabling distributed generation and reducing overall consumption. At the forefront of this evolution is the Virtual Power Plant (VPP). VPPs take advantage of information and communication technologies (ICT) to bring together multiple forms of distributed electricity generation, typically small-scale renewables. VPPs also utilize artificial intelligence to take greater control over demand, by continuously re-prioritizing and re-scheduling demand activities to optimize the overall system. These dynamic systems are providing benefits to all stakeholders, from the utility to the end user, and represent a new era for energy. “Virtual power plants represent an ‘Internet of Energy'” said research analyst Peter Asmus back in 2011. “These systems tap existing grid networks to tailor electricity supply and demand services for a customer. VPPs maximize value for both the […]

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