How it works
What is a Virtual Power Plant (VPP)?
Updated 3 June 2026
Quick answer
- A VPP is a network of home batteries coordinated to act like a single power station.
- It earns revenue through energy arbitrage and grid-stabilisation services — which can subsidise the cost of your system.
- With Pi, your battery joins the VPP automatically and Pi handles all optimisation while your backup needs stay covered.
A virtual power plant (VPP) is a fleet of distributed energy resources — mostly home solar and batteries — that is coordinated by software to behave like one large, flexible power station. Instead of a single physical plant, the "plant" is thousands of homes acting together.
How does a virtual power plant work?
Each enrolled battery is monitored and dispatched centrally. When wholesale prices spike or the grid needs support, the VPP can discharge stored energy across many homes at once; when energy is cheap or solar is abundant, it charges them. Coordinating thousands of small assets produces grid services that a single home never could.
Why do VPPs matter for the cost of solar?
The revenue a VPP earns from energy arbitrage and grid-stabilisation services is exactly what lets a provider offer no-cost solar and battery. The aggregated battery network is the revenue engine that subsidises the hardware — which is why Pi can install premium systems at no equipment cost.
Does joining a VPP affect my backup power?
No. Pi installs a high-capacity battery sized to your home — typically larger than a standard residential battery — specifically so the system can support VPP participation and keep your home powered during outages, with your solar recharging it each day. Pi manages the optimisation; your backup security comes first.
Frequently asked questions
It is a network of home batteries linked by software so they can act together like one big power station, supporting the grid and earning revenue.
See if your home qualifies
Pi's no-cost solar & battery offer currently serves the Gold Coast to Brisbane corridor on the Energex network, with expansion planned.