Business models for virtual power plants and their impact on economic operation

Howorth, Gary and Kockar, Ivana and Tuohy, Paul and Flett, Graeme and Bingham, John (2023) Business models for virtual power plants and their impact on economic operation. In: 27th International Conference on Electricity Distribution (CIRED 2023), 2023-06-12 - 2023-06-15, Rome.

[thumbnail of Howorth-etal-CIRED-2023-Business-models-for-virtual-power-plants-and-their-impact-on-economic-operation]
Preview
 Text. Filename: Howorth_etal_CIRED_2023_Business_models_for_virtual_power_plants_and_their_impact_on_economic_operation.pdf
Final Published Version
License: Strathprints license 1.0
Download (576kB)| Preview

Abstract

Aggregation by Virtual Power Plants to provide flexibility to distribution and transmission networks is seen as an important element in the transition to Net-zero. This paper presents work carried out in the SIES 2022 ERA-Net project, which is investigating in detail the possible provision of flexibility by different technologies but thorough a lens of different business models. Thus, presented work relies on the real use cases and associated data. The focus of this work is on the value of different business models associated with a demonstrator plant in East Kilbride Scotland. Using an adapted business model structure with three strategic dimensions, along with a risk/reward portfolio framework, an illustrative case study is used to highlight the business model choices available to a small VPP owner.

CORE (COnnecting REpositories)