RMI launches virtual power plant partnership with GM, Google, Ford

Energy transition nonprofit RMI announced the formation of the Virtual Power Plant Partnership. In recognition of the critical work needed to tackle scaling the market for virtual power plants, initial funding of the VP3 effort was made possible by General Motors (GM) and Google Nest (GOOGL). VP3 now includes founding members Ford (F), General Motors, Google Nest, OhmConnect, Olivine, SPAN, SunPower (SPWR), Sunrun (RUN), SwitchDin, and Virtual Peaker. VP3 is an initiative based at RMI that works to catalyze industry and transform policy to support scaling VPPs in ways that help advance affordable, reliable electric sector decarbonization by overcoming barriers to VPP market growth. Virtual power plants are portfolios comprised of hundreds or thousands of households and businesses that offer the latent potential of their electric vehicles, smart thermostats, appliances, batteries, solar arrays, and additional energy assets to support the grid. VP3 follows in the path of successful institutional spinoffs in the electric sector space previously incubated by RMI including the Clean Energy Buyers Association and the Energy Web Foundation. "Virtual power plants are poised for explosive growth, and RMI is committed to being at the forefront of their success by launching VP3," said RMI CEO Jon Creyts. "Our analysis shows that VPPs can reduce peak power demand and improve grid resilience in a world of increasingly extreme climate events. A growing VPP market also means revenue opportunities for hardware, software, and energy-service companies in the buildings and automotive industries. For large energy users, VPPs can significantly reduce energy spend while providing new revenue streams." Reference Link