How Virtual Powers Plants Can Advance Electrification and Mitigate Infrastructure Needs As We Race to Meet Our Climate Challenges

This paper explores three contemporary case studies of how distributed energy resources have been aggregated into Virtual Power Plants (VPPs) to provide resilient, low carbon solutions for our climate challenge in a manner that can mitigate demands on our energy infrastructure. These recent case studies will analyze distributed energy resources and how they can be aggregated to participate in wholesale electric markets to reduce the demand for larger utility scale resources while also providing grid services locally. These case studies build on previous research on distributed energy resources we have performed at our Institute for Energy and the Environment. The cases will consider how Federal Energy Regulatory Commission (“FERC” or “Commission”) Orders 841 and 2222 will help remove the barriers to effective participation in regional markets and explore the remaining conflicts with overlapping state and federal jurisdiction. We will conclude with lessons learned to promote the growth of VPPs in a manner that enhances electrification and promotes resilience as we transition to a low carbon future