Frontier Forum: Why utilities should go big on VPPs

In this podcast, the conversation centers around Arizona Public Service's (APS) impressive rollout of a 190-megawatt virtual power plant (VPP) that integrates smart thermostats, demand response programs, and batteries. Initially viewed with skepticism, the VPP demonstrated its reliability during intense heat waves, earning the confidence of APS's operations team. The discussion underscores the significance of putting customers first in VPP design, explores the potential of a diverse resource mix—including electric vehicles and pool pumps—and highlights the vital role of AI in enhancing future VPPs to accommodate increasing energy demands, especially in rapidly growing areas. The speakers stress the importance of utilities adopting an iterative approach to program development and the substantial cost and reliability advantages that VPPs can offer.