Report Description

The US Virtual Power Plant Market is anticipated to grow robustly in the forecast period 2024-2028. The key drivers for the virtual power plant market growth during the projected period are drivers of a virtual power plant in the energy industry, a rise in government initiatives, and investments in energy infrastructure. A virtual power plant combines many power sources to provide a dependable overall power supply. The sources frequently consist of a variety of centrally controlled dispatchable and non-dispatchable, controllable, or flexible load (CL or FL) distributed generation (DG) systems, such as microCHPs, small-scale wind power plants, photovoltaics, run-of-river hydroelectricity plants, small hydro, biomass, backup generators, and energy storage systems (ESS). Benefits of this system include its capacity to rapidly generate load-following power or distribute electricity during peak load. Such a VPP (Virtual Power Plant) can take the position of a traditional power plant while offering more flexibility and efficiency, allowing the system to respond to load changes more effectively.

Rising In Demand of Renewable Energy and IoT/Cloud Platform Across the Nation

Leading economies across the country are increasingly using renewable energy sources to generate electricity, and this need has emerged as a significant growth driver for the market for US virtual power plants. Additionally, a significant movement from centralized to distributed generation is anticipated to boost demand for virtual power plants and support future market expansion.

Growth of the market is credited to the power industry's increasing adoption of cutting-edge technologies like the internet of things (IoT) and cloud platforms, along with the growing awareness of the advantages of renewable energy, the simplicity of obtaining power through platforms for virtual power plants (VPP), and the increasing focus on cost-effectiveness in power generation.

Moreover, the low cost and readily available raw materials has increased competition in the market for PV modules. Regulations are promoting the development of renewable energy, accelerating industrial growth. For instance, Solar power company Sunrun declared in December 2022 that it had been effective in supplying electricity to consumers in the months of June, July, and August via a virtual power plant in Massachusetts that integrated an estimated 5,000 small-scale solar energy installations. This aspect  is expected to grow the market further in the forecast period.

Latest Trend of VPP in United States

A significant industry trend that is being examined is the rising investment in the construction of new virtual power plants. The building and operation of a conventional power plant requires large amounts of money. VPP, on the other hand, is a centralized control system that is connected to power generating and transmission units. As a result, it costs less and can combine different dispersed energy resources.

Governmental measures have strained national resources, forced reconsideration of switching to renewable energy sources, and delayed reforms to the power industry. For instance, in just 10 years, renewable energy’s segment of US electricity generation gets doubled over—from 10% in 2010 to 20% in 2020. More than 100 gigawatts (GW) of solar and 122.5 GW of wind capacity were available in the nation, in the end of 2020.


Energy storage is a key component for the optimal integration of renewable energy, carrying with it the benefits of compact power generation and a clean, reliable energy supply, both of which are essential in this industry. For instance, according to the U.S. Energy Storage Monitor report, 345 MW of new energy storage systems reportedly went online in the second quarter of 2021.

Market Segmentation

The United States virtual power plant market is segmented based on technology, end user, source, component, company, and region. Based on technology, the market is segmented into demand response, distributed generation, mixed asset. Based on source, the market is segmented into renewables, CHP, energy storage, other local generation. Based on end user, the market can be residential, commercial, industrial (petroleum refining, chemicals industry, metals & mining, others. Based on component, the market is segmented into software and service.

Market player

Major players operating in the United States virtual power plant market include Enel X, EnerNOC, Inc., Comverge, Cpower, ABB Ltd, Siemens AG, Schneider Electric SE, General Electric Company, Flexitricity Limited, AGL Energy, etc.

Recent Developments 

  • The Massachusetts Department of Energy Resources must set a 1,000 MWh energy storage goal by 2025, for instance, as a result of House Bill 4857 (An Act to Advance Clean Energy), which was created by the state of Massachusetts in the United States in August 2018. Rising solar energy cost competitiveness and governmental efforts to build energy storage systems are therefore expected to increase the demand for VPPs during the forecast period. Funding to hasten the company's goal of installing 26,000 energy storage devices in buildings and residences while integrating them with Swell's 600MWh of virtual power plants (VPP) across the US. 
  • According to Carrington, Stem (Company located in carrington) is aiming for "full participation and value" of its VPPs in U.S. wholesale markets by providing voltage support, frequency regulation, renewable energy integration, reserve capacity, and other grid services.



Base Year


Historic Data

2018– 2021

Estimated Year


Forecast Period

2024 – 2028

Quantitative Units

Revenue in USD Million, value, and CAGR for 2018 -2022 and 2023 - 2028

Report coverage

Revenue forecast, Company Share, growth factors, and trends

Segments covered





Regional scope

Midwest, West, Northeast, South

Key companies profiled

EnerNOC, Inc., Comverge, Cpower, ABB Ltd, Siemens AG, Schneider Electric SE, General Electric Company, Flexitricity Limited, AGL Energy and others.

Customisation scope

10% free report customisation with purchase. Addition or alteration to country, regional & segment scope.

Pricing and purchase options

Avail customised purchase options to meet your exact research needs. Explore purchase options

Delivery Format

PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request)


Report Scope:

In this report, US Virtual Power Plant Markethas been segmented into the following categories, in addition to the industry trends which have also been detailed below:

·         US Virtual Power Plant Market, By Technology:

o    Demand Response

o   Distributed Generation

o   Mixed Asset

·         US Virtual Power Plant Market, By End-User:

o   Residential

o   Commercial

o   Industrial

o   Petroleum Refining

o   Chemicals Industry

o   Metals & Mining

o   Others

·         US Virtual Power Plant Market, By Source:

o   Renewables

o   CHP

o   Energy Storage

o   Local Generation

o   Other

·         US Virtual Power Plant Market, By Components:

o   Software

o   Service

·         US Virtual Power Plant Market, By Region:

o   Midwest

o   West

o   Northeast

o   South

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the US Virtual Power Plant Market

Available Customizations:

US Virtual Power Plant Market report with the given market data, Tech Sci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

  • Detailed analysis and profiling of additional market players (up to five).

The US Virtual Power Plant Market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]

Table of content

1.     Product Overview

2.     Research Methodology

3.     Impact of COVID-19 of US Virtual Power Plant Market

4.     Executive Summary

5.     Voice of Customer/Customer Insight

6.     US Virtual Power Plant Market Outlook

6.1.   Market Size & Forecast

6.1.1. By Value

6.2.   Market Share & Forecast

6.2.1. By Technology (Demand Response, Distributed Generation, Mixed Asset)

6.2.2. By End User (Residential, Commercial, Industrial (Petroleum Refining, Chemicals Industry, Metals & Mining, Others))

6.2.3. By Source (Renewables, CHP, Energy Storage, Other Local Generation)

6.2.4. By Component (Software and Service)

6.2.5. By Region (Midwest, West, North East, South)

6.2.6. By Company

6.3.   Product Market Map

7.    Midwest US Virtual Power Plant Market Outlook

7.1.   Market Size & Forecast

7.1.1. By Value

7.2.   Market Share & Forecast

7.2.1. By Technology

7.2.2. By End User

7.2.3. By Source

7.2.4. By Component

8.     West US Virtual Power Plant Market Outlook

8.1.   Market Size & Forecast

8.1.1. By Value

8.2.   Market Share & Forecast

8.2.1. By Technology

8.2.2. By End User

8.2.3. By Source

8.2.4. By Component

9.    Northeast US Virtual Power Plant Market Outlook

9.1.   Market Size & Forecast

9.1.1. By Value

9.2.   Market Share & Forecast

9.2.1. By Technology

9.2.2. By End User

9.2.3. By Source

9.2.4. By Component

10.  South US Virtual Power Plant Market Outlook

10.1.              Market Size & Forecast

10.1.1.   By Value

10.2.              Market Share & Forecast

10.2.1.   By Technology

10.2.2.   By End User

10.2.3.   By Source

10.2.4.   By Component

11.  Market Dynamics

12.  Drivers/Opportunities


12.1.              Rise in government initiatives

12.2.              Adoption of Internet of things (IoT) and cloud platforms

12.3.              Low cost and readily available raw material

13.  Challenges/Restraints

13.1.              Rise in government initiatives

13.2.              Adoption of Internet of things (IoT) and cloud platforms

13.3.              Low cost and readily available raw material

13.4.              Challenges/Restraints

13.4.1.    High cost of VPP

13.4.2.   Skilled employees are required

14.  Market Trends & Development

14.1.1.   Government investments in energy infrastructure

14.1.2.   Latest projects of Energy storage plants

14.1.3.   VPP adoption in energy distribution

15.  Policies and Regulatory Framework supporting VPP

16.  US Economic Profile

17.  Competitive Landscape

17.1.              Enel X

17.1.1.  Business Overview

17.1.2.  Key Revenue and Financials

17.1.3.  Recent Developments

17.1.4.  Key Personnel

17.2.              Key Product/Services

17.3.              EnerNOC, Inc.

17.3.1.  Business Overview

17.3.2.  Key Revenue and Financials

17.3.3.  Recent Developments

17.3.4.  Key Personnel

17.3.5.  Key Product/Services

17.4.              Comverge

17.4.1.  Business Overview

17.4.2.  Key Revenue and Financials

17.4.3.  Recent Developments

17.4.4.  Key Personnel

17.4.5.  Key Product/Services

17.5.              Cpower

17.5.1.  Business Overview

17.5.2.  Key Revenue and Financials

17.5.3.  Recent Developments

17.5.4.  Key Personnel

17.5.5.  Key Product/Services

17.6.              ABB Ltd

17.6.1.  Business Overview

17.6.2.  Key Revenue and Financials

17.6.3.  Recent Developments

17.6.4.  Key Personnel

17.6.5.  Key Product/Services

17.7.              Siemens AG

17.7.1.  Business Overview

17.7.2.  Key Revenue and Financials

17.7.3.  Recent Developments

17.7.4.  Key Personnel

17.7.5.  Key Product/Services

17.8.              Schneider Electric SE

17.8.1.  Business Overview

17.8.2.  Key Revenue and Financials

17.8.3.  Recent Developments

17.8.4.  Key Personnel

17.8.5.  Key Product/Services

17.9.              General Electric Company

17.9.1.  Business Overview

17.9.2.  Key Revenue and Financials

17.9.3.  Recent Developments

17.9.4.  Key Personnel

17.9.5.  Key Product/Services

17.10.            Flexitricity Limited

17.10.1.                Business Overview

17.10.2.                Key Revenue and Financials

17.10.3.                Recent Developments

17.10.4.                Key Personnel

17.10.5.                Key Product/Services

17.11.            AGL Energy

17.11.1.                Business Overview

17.11.2.                Key Revenue and Financials

17.11.3.                Recent Developments

17.11.4.                Key Personnel

17.11.5.                Key Product/Services

18.  Strategic Recommendations

19. About Us & Disclaimer

Figures and Tables

Frequently asked questions


The supply and demand of energy are balanced in part via VPPs. To assist controlled energy flow and lessen dependency on the grid during times of increased demand, they connect homes and their batteries through networks.


A network of decentralized, medium-scale power generating devices, adaptable power consumers, and storage systems make up a virtual power plant (VPP).


A VPP's consistent solar energy output not only contributes to grid stability (reducing blackouts during periods of high demand), but it is also a more environmentally friendly energy source than a traditional power plant. Less coal is used in utilizing a virtual power plant.


A Virtual Power Plant (VPP) is a collection of various sites, technologies, and assets that are integrated together using specialized software and hardware to create a virtual energy network that can be centrally controlled while maintaining independence. This stands in contrast with a microgrid, which is frequently as a single site.


Parvati Sharma

Account Manager BD
Press Release

U.S. Virtual Power Plant Market is Projected to Grow at Impressive Rate through 2028

Jan, 2023

US Virtual Power Plant Market is Driven by Extensive Use of Renewable Energy and IoT/Cloud Platform Across the Nation.