Virtual Power Plant

What is it

A Virtual Power Plant is a collection of decentralized power sources connected in a cloud-based network.  Through the cloud,  power is aggregated so it can serve as load balancing. Participating in such a network offers an extra source of revenue from offering the grid flexibility.  By flexibility we mean power on demand to meet load peaks. This is in addition to the revenue from the outright selling of energy.The decentralised energy storage offered can also help “absorb” any potential excess energy in the grid during peak output from renewables for example.

Why Virtual Power Plants?

As the oil & gas and transport sectors are electrified the demand for clean energy increases. This increase requires  substantial investments into new energy production and the grid to get  the required power to the end users. An alternative to this is to utilise distributed energy sources, such as residential housing with solar panels and battery systems, close to where the energy is needed. This can alleviate the need to invest in new energy sources or the grid. 


  • Make money off your battery
  • Reduce your carbon footprint
  • Reduce energy costs
  • Estimate solar panel output

Distribution System Operator

  • Flexibility in the form of power on demand 
  • Grid resilience from decentralised production
  •  More renewable energy without capital investments

Wattero’s role in the Virtual Power Plant

Wattero makes the software that enables the Virtual Power Plant. This software coordinates the various distributed sources of energy and coordinates with the distribution grid operator to release the energy when needed. The software keeps track of how much energy each participant in the network has available and how much of the payments for the flexibility they are due. In the longer term, predictive models are incorporated to estimate how much energy would be available the next day or over the next few hours for example. 

Current market size and growth

In 2019, the Virtual Power Plant (VPP) market revenue was 983 Million USD. This is estimated to reach 2106 Million USD in 2025, with a CAGR of 13.54% during 2020-2025.


What we are looking for

We are looking for partners in the energy industry, academia, hardware industry, and real estate developers who are interested in working with us to realise a demo project for a Virtual Power Plant. 

Contact us

Contact us at to get started.