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Published February 6th, 2017 by Kirsty WaterfordTweet
When the National Electricity Market (NEM) was established, generators provided both energy and stability services. Consumers were passive, using energy when needed. In the 1990s it was difficult to foresee that households would be able to provide energy or ancillary (balancing) services.
However, in recent years there has been rapid adoption of solar photovoltaic (PV) and we are now seeing a surge in electricity storage. Solar combined with battery systems and intelligent software such as Reposit’s GridCredits technology, mean consumers can now own personal power stations. These can sell energy and stability services to the National Electricity Market.
For a long time, the Grid has existed as a top-down distributed system – distributing power in a single direction. Because of the adoption of PV and battery systems the grid shape has evolved and is no longer distributing power in a single direction. This has introduced new challenges for retailers and networks including:
Virtual power plants are a cluster of distributed generation systems that can deliver peak load electricity or load-aware power generation at short notice. They can be made up distributed energy systems in homes or businesses, who use these systems for supplying their own needs when the VPP is inactive.
But VPPs can have a dark side.
Reposit believes in VPP’s that deliver a fair outcome for consumers, networks and retailers. It’s like the eBay of energy – where consumers and utilities trade with each other in a transparent market. With Reposit, a consumer is always free to change retailers. And with Reposit, any battery is free to join the VPP.
VPPs have the capability to be the foundation of a clean, reliable and cost-effective electricity grid. Reposit believes that creating a fair, open market is the only way for them to fulfil this capability.