VPP, an aggregation and valuation device for decentralized renewable energy sources.

A virtual power plant or VPP (Virtual Power Plant) is a combination of small energy sources (or available energy storage systems), which are activated and optimized by a computer system within a SMART GRID network, in order to carry out operations in the service of an electricity distribution operator or purchase options from a producer external to the production company.

The main advantage of virtual power plants lies in their flexibility: the fact that they can adapt their production quickly according to the needs of the electricity network allows them to offer their production optimally on the financial electricity markets.

Note that the development of the features and services offered by these VPPs are strictly linked to the structuring of the energy market in each country.

VPPs provide “control energy” and represent an alternative to traditional installations that often consume fossil fuels to cover peaks in consumption. Via the capacity mechanism, VPPs allow small players to position themselves in this market.