Virtual power plants (VPPs) explained
What is a VPP?
A VPP connects individual solar and battery systems into one smart, shared network.
Together, these systems work like a large, flexible power station, which shares energy with the grid when demand is high and drawing less when it’s not.
How it works
Your battery stores excess solar energy during the day
When the grid needs support, the VPP can draw small portions of that stored energy
In return, participants receive credits or payments for the energy they share
What are the benefits?
Earn more value from your battery
Support grid stability
Accelerate the renewable transition
Smarter energy management
Stay in control
What are the considerations?
Protect your energy and investment
Our future-proofing promise
At Summit + Shore, we help you understand the options so you can decide what’s right for your home, system, and goals.
Expert design
Objective guidance
Ongoing partnership
Frequently asked questions
Still unsure? We have the answers you need
Wait a minute, what's a VPP?
Virtual Power Plant (VPP) sounds fancy. It’s like having your battery join a team with thousands of other batteries across Australia. When the grid needs extra power during peak times, such as heatwaves, your battery can chip in and help out while you get paid for it. However, your battery always stores your solar energy first and only shares excess power when you don’t need it. You don’t have to join a VPP, but your battery needs to be VPP-ready to qualify for the federal rebate. Having that capability is like buying a ute with a tow bar; even if you’re not planning to tow anything tomorrow, it may come in handy someday.
Do I need to be connected to a Virtual Power Plant (VPP)?
Your battery must be VPP-capable, but you don’t need to actually join a VPP. The system just needs to have the technical ability to connect if you choose to in the future.
Will VPP participation affect my power when I need it?
VPP programmes prioritise your household energy needs and typically maintain reserve levels to ensure you have power during outages. However, reserve amounts vary between programmes.
How much can I earn by joining a VPP?
VPP earnings vary significantly based on programme structure, regional conditions, and your household energy patterns.
Do I still own and control my battery?
Yes. You retain full ownership and access to your stored energy. The VPP only uses a small portion of it during specific grid events and many programs allow you to opt in or out at any time.
Will joining a VPP shorten my battery lifespan?
Every charge and discharge cycle contributes to natural battery wear, but the impact from VPP participation is generally minimal. Quality systems and responsible management keep long-term performance strong.
What happens if the internet goes down?
Your system keeps operating normally, storing and supplying power to your home. It simply can’t communicate with the VPP network until connectivity returns.
Can I leave a VPP whenever I want?
That depends on the provider. Some programs allow flexible opt-out, while others have minimum participation periods. Always check the fine print before signing up.
What kind of data is shared in a VPP?
Only performance data from your system, which includes things like energy generation, export levels, and battery charge. Customer privacy and data security are protected under strict Australian energy data standards.
Does joining a VPP affect my feed-in tariff?
In most cases, no. You’ll still receive your normal feed-in tariff for exported energy outside of VPP events.
Is a VPP right for everyone?
Not always. VPPs are ideal for those who want to maximise the financial and environmental return on their battery. Others may prefer full independence. Summit + Shore helps you evaluate both paths before deciding.
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