Portland General Electric, Oregon’s largest utility, is the latest energy player moving into the virtual power plant business, hailed by some as the energy collection and distribution model that will become the driving force of the power sector.
A virtual power plant is akin to an internet of energy — a network of decentralized and independent energy resources from various locations brought together to provide reliable energy 24 hours a day. The import of VPPs is they foster the power market’s energy transition, from a high-carbon to low-carbon future, by making accessible the smaller and decentralized power generation units that are expected to eventually dominate the market.
What’s more, VPPs are capable of bi-directional information and power flow, creating a so-called smart grid. The move from a traditional centralized grid to a decentralized smart grid has accelerated during the past couple of years, propelled by tech innovations, cost reductions, new busi
