Volts Let's dig a little deeper into virtual power plants (VPPs)
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Jan 21, 2026 Seth Frader-Thompson, Founder and CEO of EnergyHub, dives into the world of virtual power plants (VPPs). He explains the different maturity levels of VPPs, highlighting what separates effective systems from mere demand response. Discussion includes the importance of diverse energy resources, the Huells test for VPP evaluation, and how VPPs can help avoid costly distribution upgrades. Seth also emphasizes the need for practical regulatory frameworks to boost VPP deployment and shares exciting goals for reaching 100 GW by 2035.
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What A VPP Actually Is
- A virtual power plant (VPP) is coordinated software control of distributed devices to act like a single resource on the grid.
- VPPs can produce, store, shift, or reduce power depending on device mix and coordination.
EnergyHub's Scale And Device Mix
- Seth says EnergyHub manages millions of DERs and recently grew via acquisition to ~2.5 million devices.
- He notes device counts skew to thermostats while megawatts come mainly from C&I systems, batteries, and EVs.
Utilities' Three Must-Haves
- Utilities need three core VPP qualities: visibility, schedulability, and availability to treat VPPs as power plants.
- Those translate to knowing what's available, shaping dispatch (ramps, durations), and reliable presence when called.