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Repair Windows errors before they cause bigger problemsFix Now →Scan for outdated or missing drivers - takes under a minuteDriver Scan →Clear out junk files and repair common Windows errorsFree Scan →A virtual power plant (VPP) is a software-coordinated group of distributed energy resources—such as batteries, rooftop solar, electric vehicles, and controllable building equipment—that work together to support the electric grid. Instead of relying on one large generator, a VPP combines many smaller resources to shift demand, store or supply electricity, and provide grid services.
What is a virtual power plant?
The U.S. Department of Energy’s Loan Programs Office defines VPPs as “aggregations of distributed energy resources (DERs) such as rooftop solar with behind-the-meter batteries, electric vehicles (EVs) and chargers, electric water heaters, smart buildings and their controls, and flexible commercial and industrial loads that can balance electricity demand and supply and provide utility-scale and utility-grade grid services like a traditional power plant.” (DOE’s VPP overview)
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The defining feature is coordination: software and control systems combine numerous separate devices into a resource that can respond to grid needs. A VPP is not necessarily a physical power station, and it does not have to generate electricity. It may reduce or shift consumption, store electricity for later, discharge batteries, or combine these actions.
How does a VPP work?
A utility, energy company, or other aggregator enrolls eligible resources and coordinates them, often through software connected to devices or their controls. When the grid needs a response, the aggregator can direct participating resources to act in combination.
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- INSTALLS IN CIRCUIT PANEL of most homes with clamp-on sensors. Supports Single phase, Single-split phase, and 2-wire systems. 3-wire systems; 3-phase, 4-wire Wye systems with earthed (TN or TT) neutral (no-Delta) are supported with an additional 200A sensor (sold separately).
- 24/7 ENERGY MANAGEMENT AND MONITORING: Automate, manage and control your home's real power anywhere, anytime to prevent costly repairs, conserve energy, and save costs. Monitor solar / net metering. PROTECTED BY A 1-YEAR WARRANTY.
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- REAL-TIME ENERGY DATA: REQUIRES 2.4 GHz WIFI WITH AN INTERNET CONNECTION to monitor energy use with iPhone / Android / Web app. Vue sensors collect energy data and are accurate from ±2%. The Vue is UL and CE Listed for your safety. 1 second data is only available in the app (when actively open) and retained 3 hours. Minute and hour data are retained in the cloud. 1 minute data is retained 7 days, 1 hour data is retained indefinitely. Export cloud data whenever you want in the app.
- Shift flexible use: EV charging or water heating can be moved away from a period of high demand.
- Reduce demand: Building controls or other flexible loads can temporarily use less electricity.
- Supply or store energy: Batteries can charge when electricity is available and discharge when needed; rooftop solar can contribute generation.
Coordinated responses can help shave demand peaks and spread electricity use more evenly. The contribution of any one device may be small; aggregation is what makes the combined response useful at a larger scale.
What can be part of a VPP?
Potential resources include equipment that generates electricity, stores it, or changes when it consumes it. Examples identified by DOE and the Federal Energy Regulatory Commission (FERC) include:
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- ⚡ EASY INSTALLATION: Installs in circuit panel of most homes with clamp-on sensors. Supports single-phase up to 240VAC line-neutral; single, split-phase 120/240VAC; and three-phase up to 415Y/240VAC (no Delta). The branch lines can automatically match different phases and have no restrictions in terms of quantity and voltage.Panels with access only to busbars will need flexible sensors available from SEM-Meter.
- ⚡ ENERGY MONITORING ANYTIME, ANYWHERE: Monitor your home's real power anywhere, anytime to prevent costly repairs, conserve energy, and save costs. Monitor solar / net metering. Light commercial 3 phase option available as a separate bundle. Protected by a 1-year warranty.
- ⚡ VARIOUS ELECTRICAL APPLIANCE MONITORING: Comes with 16 50A sensors to accurately monitor your air conditioner, furnace, water heater, washer, dryer, range, etc.
- ⚡ LOWER YOUR ELECTRIC BILL: SEM-Meter measures real-time spending and gets actionable notifications to understand where savings can be made, both to lower your electric bill and to conserve energy and protect the planet’s resources. Be an environmentalist.
- ⚡ REAL-TIME ENERGY DATA: Connect SEM-Meter device via 2.4GHz WiFi to monitor energy usage, with an accuracy range of 1%. View usage in real time through Android/Apple software. Statistics of power usage in now/day/week/month/year format: the validity period of hourly exported data is 90 days, and the exported data of day/month/year data is permanent, available at any time Export from application.
- Rooftop solar, often paired with a behind-the-meter battery
- Battery storage
- Electric vehicles and charging equipment
- Smart thermostats and other building controls
- Electric water heaters and thermal storage
- Energy-efficiency measures and flexible commercial or industrial loads
A device’s presence in this list does not mean it is automatically compatible with a particular VPP or eligible for enrollment. Compatibility, location, utility rules, communications capability, and program terms all matter.
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Aggregation can make small resources useful to grid operators and, where market rules allow, can give them a route into wholesale electricity markets. FERC Order 2222, issued in 2020 and updated by Orders 2222-A and 2222-B in 2021, aims to enable aggregations of distributed energy resources to participate in wholesale markets run by regional transmission organizations and independent system operators. In general, the aggregator is the direct market participant; it may share compensation with resource owners under their agreements. (FERC’s Order 2222 explainer)
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That market access is subject to qualifications and local rules. Order 2222 does not apply in ERCOT, which is outside FERC’s jurisdiction and has its own DER integration pilot. Requirements can address aggregation size and location, metering and telemetry, and coordination among the market operator, aggregator, distribution utility, and local regulators. Participation in a retail program may also affect wholesale participation or compensation, including to avoid paying twice for the same service.
What is the scale of VPP potential in the United States?
DOE’s 2023 estimates put current U.S. VPP capacity at 30–60 gigawatts (GW). DOE projected that tripling capacity could bring it to 80–160 GW by 2030, potentially addressing 10–20% of peak demand and saving about $10 billion in annual grid costs. These are national estimates and projections, not real-time measurements or promised savings for individual customers. The projected system savings relate to avoided generation, deferred infrastructure, and reduced use of peaker plants. (DOE’s VPP overview; FERC’s 2024 demand-response assessment)
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- MAXIMIZE YOUR SOLAR SAVINGS (HOME ASSISTANT): This solar energy monitor integrates with Home Assistant to detect solar surplus and automatically power EV chargers, water heaters, and other high‑use appliances. Stop wasting solar energy—use it yourself and cut your electricity bill faster. The perfect home energy monitor for solar homes.
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The same FERC assessment summarizes a Brattle Group 2024 model estimating that California could have more than 7,500 MW of VPP market potential—over 15% of peak demand—by 2035. It also describes a projection of approximately $750 million in annual avoided power-plant investment, with around $550 million retained by consumers. These are modeled California projections, not measured outcomes or estimates for every state.
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Eligibility and benefits depend on the specific program, location, equipment, and agreement. Before enrolling, compare offers and check:
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- SAFETY YOU CAN TRUST WITH UL CERTIFICATION: With Emporia Energy, your home energy monitoring is safe, reliable, and certified. The Emporia Vue is UL Listed, meaning it has met rigorous safety standards for electrical products in the U.S. and Canada. This certification ensures that every component has been thoroughly tested to prevent hazards, such as overheating, short-circuiting, or fire, offering you peace of mind as you manage your home’s energy consumption.
- INSTALLS IN CIRCUIT PANEL of most homes with clamp-on sensors. Supports Single phase, Single-split phase, and 2-wire systems. 3-wire systems; 3-phase, 4-wire Wye systems with earthed (TN or TT) neutral (no-Delta) are supported with an additional 200A sensor (sold separately).
- 24/7 ENERGY MANAGEMENT AND MONITORING: Automate, manage and control your home's real power anywhere, anytime to prevent costly repairs, conserve energy, and save costs. Monitor solar / net metering. PROTECTED BY A 1-YEAR WARRANTY.
- LOWER YOUR ELECTRIC BILL: Configure settings in the Emporia Energy App to automate energy management for time of use, peak demand, excess solar, and rewards programs. You can even see live reporting and invaluable savings opportunities instantly. Gauge real-time spending and get actionable notifications and automated energy management to help you reduce costs.
- REAL-TIME ENERGY DATA: REQUIRES 2.4 GHz WIFI WITH AN INTERNET CONNECTION to monitor energy use with iPhone / Android / Web app. Vue sensors collect energy data and are accurate from ±2%. The Vue is UL and CE Listed for your safety. 1 second data is only available in the app (when actively open) and retained 3 hours. Minute and hour data are retained in the cloud. 1 minute data is retained 7 days, 1 hour data is retained indefinitely. Export cloud data whenever you want in the app.
- Device compatibility: Confirm that your exact device and configuration qualify.
- Location and utility eligibility: Check service-area and market requirements, as well as any local enrollment limits.
- Control rights: Understand what the aggregator can control, when it can dispatch your equipment, and whether you can opt out of an event.
- Compensation and contract: Review payment terms, contract duration, and conditions that may change or end compensation.
- Program conflicts: Ask how enrollment interacts with existing retail, net-metering, or demand-response arrangements.
- Technical requirements: Check metering, telemetry, internet or communications needs, and any equipment installation requirements.
There is no universal household payment or bill saving implied by the national capacity and cost estimates. The amount, if any, that a participant receives depends on the program and contract.
How is a VPP different from a traditional power plant?
A traditional power plant is a centralized facility that generates electricity. A VPP is an aggregation of separate, distributed resources coordinated to act together. Depending on its enrolled devices and the grid request, a VPP may contribute generation or stored energy, reduce demand, or shift electricity use. Its scale and grid services can be comparable to those of a conventional plant, but its physical makeup and operating model are different.
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