Smart Devices, Smarter Grids: Unlocking Behind-the-Meter Flexibility with Karl Bach (CEO & Co-Founder @ Axle Energy)

Jun 3, 2025

Karl Bach, the Co-founder and CEO of Axle Energy, discusses the transformative impact of electrification on grid demand and flexibility. He explains how virtual power plants are orchestrating thousands of distributed devices like EVs and heat pumps to enhance grid reliability. The conversation highlights the critical need for aligning consumer benefits with grid requirements and the importance of building trust in smart home automation. Bach also delves into the challenges of navigating energy markets and the role of partnerships in driving innovative solutions for a sustainable energy future.

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INSIGHT

Flexibility from Electrification

Axel Energy transforms inflexible electric loads into grid-supporting assets by providing flexibility from devices like EVs and heat pumps.
This flexibility turns demand constraints into valuable resources for the electricity grid.

ANECDOTE

Partnering for Seamless Flexibility

Customers want charging that is cost-effective and ready on time without new apps or complexity.
Axel partners with trusted brands to provide flexibility value without adding consumer hassle.

ADVICE

Build Consumer Trust with Priorities

Prioritize consumer needs: their service comes first, they maintain control, it won't cost them money, and then they gain value.
Avoid putting consumer financial gain above reliability to build trust in flexibility services.

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As electricity systems decarbonise, the nature of flexibility is fundamentally shifting. Where grid operators once relied on fossil fuel generation to follow demand, today’s energy systems are increasingly turning to the demand side for flexibility. With more electric vehicles, heat pumps, and behind-the-meter batteries connecting to the grid every day, the potential for distributed assets to support reliability and earn revenue, is rapidly growing.

But tapping into that flexibility at scale is no small task. It requires coordination, intelligent optimisation, and a clear route into energy markets. In this episode of Transmission, we explore how software platforms are making it possible to turn thousands of individual devices into aggregated resources that respond dynamically to grid needs. From flexibility markets and revenue stacking to the evolving role of energy suppliers and the economics of decentralised participation, this conversation breaks down how the grid is being rebalanced from the bottom up.

Quentin is Joined by Co-Founder & CEO of Axle Energy - Karl Bach. Over the conversation they cover:

From load to resource: How electrification of heating, cooling, and transport is transforming grid demand into flexible capacity.
Virtual power plants in action: What it takes to orchestrate hundreds of thousands of distributed devices across diverse asset classes.
Consumer value meets system need: Why aligning grid requirements with consumer benefit is critical to unlocking participation.
The platform model: How software intermediaries are enabling hardware providers and energy retailers to enter flexibility markets.
Distributed flexibility as capex-light infrastructure: Why aggregating existing assets may offer faster returns than building new ones.

About our guest:

Karl Bach is the co-founder and CEO of Axle Energy, a platform that enables distributed energy assets - from EVs and heat pumps to residential batteries, to participate in electricity and flexibility markets. With over a gigawatt of connected capacity, Axle works behind the scenes to optimise assets and unlock value for hardware providers, energy suppliers, and the grid. Karl brings a systems-level perspective to the conversation, shaped by experience at the intersection of energy markets, technology, and scalable software infrastructure. For more information, head to their website.

About Modo Energy

Modo Energy helps the owners, operators, builders, and financiers of battery energy storage solutions understand the market - and make the most out of their assets.

All of our podcasts are available to watch or listen to on the Modo Energy site. To keep up with all of our latest updates, research, analysis, videos, podcasts, data visualizations, live events, and more, follow us on LinkedIn or Twitter. Check out The Energy Academy, our bite-sized video series breaking down how power markets work.