If you’ve been paying attention to the development of the Australian solar industry, you know that residential Virtual Power Plant programs are becoming increasingly popular.   ShineHub’s own Community VPP has already grown to more than 1600 batteries, meaning it can provide more than twice the power of AGL’s natural gas power plant at Regency Park. And most importantly – every participant is getting paid above the going rate for power whenever their battery power is used to support the grid.

But that’s just residential VPPs. If residential VPPs can achieve that kind of scale, it begs the question… what could a Commercial Virtual Power Plant be capable of?

That’s the exciting thing! As powerful as a residential Virtual Power Plant can be for homeowners, it’s just a fraction of what participating in a commercial VPP can do for business owners.

Want to find out what a commercial VPP can do for your business? Request a quote or drop us an email at commercial@shinehub.com.au. Or read on to learn more!

Commercial Virtual Power Plant – A Matter of Scale

Commercial VPPs are powerful because the batteries they use can be far larger than residential VPPs. Most residential VPPs usually feature a battery of between 10 and 20kWh.

Commercial VPPs can often have a battery capacity of hundreds of kWh. When you’re getting paid $0.45 per kWh* and you have hundreds of kWh available for sale to the grid, you can see the numbers start to add up quickly.

That scale makes it a great deal for your business. But it also makes it a great deal for the grid. Access to your battery power can have a substantial impact during peak energy usage times, and the grid can draw upon your energy to provide communities with power. This helps to drive down the cost of power for everyone while also limiting blackouts and brownouts.

Access to Multiple Value Stacks

Commercial Virtual Power Plants can access a range of different value stacks. These sources complement each other to maximise the value created by your VPP.

1. Lower your demand charge

When you’re living by the power companies’ rules, you have to pay what they tell you. This can be particularly painful during peak demand periods. However, a Solar & Battery system with VPP allows you to manage and redistribute your power usage throughout the day to avoid using grid energy during peak charge times.

2. Sell your power on the market

Rather than being at the mercy of charges based on demand, you can actually take advantage of them. When you’re on a VPP, peak demand times become your prime selling window. You can now sell back power during times of high demand and always make more than the going rate for power.

3. Participate in VPP events

This is the same value source that residential VPPs draw on. By participating in FCAS or other VPP events, you’re basically supplying power for use when the grid needs it for balancing frequency and voltage. When you’re on ShineHub’s VPP, you make the same premium rate of $0.45/kWh* whenever your battery power is used by the VPP.

Access the Grid Services Market

Our residential VPP is unlike many other residential VPPs on the market. It doesn’t tie you to a particular energy retailer. Instead, you can pick and choose your energy retailer to make sure you get the best deal.

A Commercial VPP offers even greater freedom. Commercial VPPs can access the grid services market more directly.

Because the volume of battery power in a commercial VPP is greater, they form an excellent tool for tackling peak demand times. The massive reserve of potential power available in a commercial VPP makes it an even more impactful commodity for the grid.

By accessing this market you can ensure that you get the best price for your power rather than what any one retailer thinks they should charge you.

Let’s Talk Money!

So, how much profit can you actually see from a Commercial Virtual Power Plant?

We’ve run down the value sources, but let’s talk chalk and cheese. First of all, you get the $0.45/kWh* premium payment from ShineHub every time the VPP uses your battery. You’ll probably also get an additional amount in feed-in tariffs whenever you sell it back to the market.

Based on our history of residential VPP event frequency, if you have a 100kWh Commercial Battery, you could be looking at an additional $3,000-$5,000 of revenue per year*!

And that’s all on top of the potential 46% energy savings* you’re already getting from using the power created by your system. Once you take all these sources of profit into account, you’re looking at a bona fide source of additional alternative revenue.

And thanks to ShineHub’s $0 deposit PPA* – it’s an alternative revenue stream that requires almost nothing to get off the ground!

Ready to start boosting your profits with a Solar and Battery with VPP? Request a quote or email us at commercial@shinehub.com.au to organise a chat with our commercial team! And you can always visit our Commercial Page to see more details about how we work!

*Powow PPA – approved customers only. Savings vary according to individual circumstances. Qualifying customers’ accounts will be credited with their energy usage based on the calculated solar generation and specifications of the solar generation unit installed at their premises under the PPA. Terms and conditions apply. Shinehub VPP terms and conditions apply.