Thread by @JigarShahDC

BREAKING: Amazing new report by @TheBrattleGroup (backed by @Google). VPP's can provide resource adequacy that is ~50% of the cost of the alternative options; 60 GW of #VirtualPowerPlant deployment at $15–$35 billion less than the cost of the alternative
prnewswire.com/news-releases/…

"Over the past decade, the U.S. added over 100 GW of new capacity intended largely to maintain resource adequacy. This amounted to over $120 billion of capital investment, primarily in gas fired generators and lithium ion batteries."

Once you account of additional societal benefits, a VPP is the only resource that could actual have a negative net cost. "60 GW of VPP could provide over $20B in additional societal benefits over a 10 year period." And the money for demand flexibility is paid to households!

Customers are deploying Distributed Energy Resources (DER) at a blistering pace that will allow for all of these benefits to be unlocked before 2030. But only if electric utility companies want to keep rates low - many choose to go slow because they fear change.

The reason VPPs are superior is they save in five categories: Energy, Ancillary Services, Emissions, T&D Investment Deferral, and Resilience. So many benefits, and the capital is paid by consumers when they buy EVs, back-up batteries, water heaters, and thermostats. #PayThem

In summary, only way to integrate millions of EVs and heat pumps cost effectively is through the full deployment of #VirtualPowerPlants. And if it is done right, it is the only idea that anyone has that will actually reduce bills for consumers -- especially for LMI customers.